Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue decreased compared to both the prior quarter and the year-ago quarter. Operating cash flow turned positive year-over-year but declined sequentially, resulting in free cash flow moving from negative to positive versus the prior year, though lower than the preceding quarter.
- Cash conversion was supported by positive operating cash flow and relatively low capital expenditure, yielding a free cash flow margin that improved from the year-ago negative level but weakened from the prior quarter. The relationship between revenue and operating cash flow shows that cash generation improved significantly year-over-year despite lower revenue.
- Compared to the immediately preceding quarter, revenue and operating cash flow were lower, leading to a lower free cash flow margin. Compared to the same quarter one year earlier, revenue was lower, but operating cash flow improved from negative to positive, significantly improving free cash flow and margin.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$631.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
$103.2M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$106.5M
Cash generated by operations before capital spending.
CapEx
$3.3M
Capital spending and related asset purchases.
FCF margin
2.5%
The share of revenue converted into free cash flow.
Cash flow trend
A short quarterly history shows whether FCF is scaling with revenue or only spiking for one period.
| Period | Revenue | Operating CF | CapEx | FCF | FCF margin |
|---|---|---|---|---|---|
| 2024-06-30 | $4.5B | $166.4M | $6.6M | $159.8M | 3.6% |
| 2024-09-30 | $4.6B | $108.1M | $4.7M | $103.3M | 2.2% |
| 2024-12-31 | $4.2B | $267.9M | $2.7M | $265.3M | 6.3% |
| 2025-03-31 | $4.0B | $106.5M | $3.3M | $103.2M | 2.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 76.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.1% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.3B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Year-over-year operating cash flow turnaround
Operating cash flow shifted from negative in the year-ago quarter to positive in the current quarter, while capital expenditure decreased. The filing notes that the company has historically generated substantial cash from operations, consistent with this quarter's positive cash generation.
This change drove free cash flow from negative to positive year-over-year, despite lower revenue.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Cash conversion was supported by positive operating cash flow and relatively low capital expenditure, yielding a free cash flow margin that improved from the year-ago negative level but weakened from the prior quarter. The relationship between revenue and operating cash flow shows that cash generation improved significantly year-over-year despite lower revenue.
Compared to the immediately preceding quarter, revenue and operating cash flow were lower, leading to a lower free cash flow margin. Compared to the same quarter one year earlier, revenue was lower, but operating cash flow improved from negative to positive, significantly improving free cash flow and margin.
Monitor the sequential decline in operating cash flow, as it directly impacts the magnitude of free cash flow generation.