Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
In the current quarter, free cash flow and margin improved compared to both the prior quarter and the same quarter last year, driven by higher operating cash flow even as revenue was lower year over year. The company's cash generation is supported by its historical operational cash flow and available debt facilities.
- Revenue was lower than the year-ago quarter but higher than the prior quarter. Operating cash flow increased significantly, enabling free cash flow to rise and the free cash flow margin to expand.
- Compared to the preceding quarter, free cash flow was higher and the margin strengthened. Versus the same quarter one year earlier, free cash flow was higher even though revenue was lower, and the margin improved.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$691.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
$219.8M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$227.1M
Cash generated by operations before capital spending.
CapEx
$7.3M
Capital spending and related asset purchases.
FCF margin
5.3%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $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% |
| 2025-06-30 | $4.1B | $227.1M | $7.3M | $219.8M | 5.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 144.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.2% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.2B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Operating cash flow improvement
Operating cash flow rose substantially from both the prior quarter and the year-ago quarter, outpacing the change in revenue. This improvement was the primary factor behind the higher free cash flow and margin.
The stronger operating cash flow directly lifted free cash flow and the free cash flow margin to their highest levels among the three periods.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was lower than the year-ago quarter but higher than the prior quarter. Operating cash flow increased significantly, enabling free cash flow to rise and the free cash flow margin to expand.
Compared to the preceding quarter, free cash flow was higher and the margin strengthened. Versus the same quarter one year earlier, free cash flow was higher even though revenue was lower, and the margin improved.
Monitor the level of receivables and contract assets, as these are key working capital items that can affect future cash conversion.