CI
CIEN
May 3, 2025
Quarter ended May 3, 2025 · FY2025 Q2

Ciena Corporation stock research

Ciena (CIEN) Free Cash Flow — Quarter Ended May 3, 2025

Revenue was stable sequentially and higher year-over-year, while operating cash flow increased significantly, lifting free cash flow and margin. The company's liquidity assessment indicates sufficient resources to meet anticipated needs.

Free cash flow takeaway

A quick read on the company's cash generation and what it means for investors.

Revenue was stable sequentially and higher year-over-year, while operating cash flow increased significantly, lifting free cash flow and margin. The company's liquidity assessment indicates sufficient resources to meet anticipated needs.

  • Operating cash flow exceeded capital expenditure, generating positive free cash flow. The free cash flow margin improved as a result of the higher operating cash flow relative to revenue.
  • Compared to the prior quarter, revenue was stable while operating cash flow, free cash flow, and margin were higher. Versus the same quarter last year, all metrics were higher, with revenue and operating cash flow showing notable increases.

FCF snapshot

Quarterly and TTM cash-flow metrics with the minimum valuation context.

TTM free cash flow

$291.9M

Trailing twelve-month free cash flow.

Quarter free cash flow

$128.2M

Free cash flow in the selected fiscal quarter.

Operating cash flow

$156.9M

Cash generated by operations before capital spending.

CapEx

$28.7M

Capital spending and related asset purchases.

FCF margin

11.4%

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.

PeriodRevenueOperating CFCapExFCFFCF margin
2024-07-27$942.3M-$159.4M$19.6M-$179.0M-19.0%
2024-11-02$1.1B$349.4M$83.5M$265.8M23.6%
2025-02-01$1.1B$103.7M$26.9M$76.8M7.2%
2025-05-03$1.1B$156.9M$28.7M$128.2M11.4%

Cash conversion quality

Checks that separate high-quality free cash flow from accounting noise or working-capital timing.

FCF / net income1429.5%Shows whether accounting earnings convert into cash.
CapEx / revenue2.6%Lower capital intensity usually supports FCF margin.
Net cash-$590.6MCash and equivalents minus total debt.

Recent events shaping cash flow

Near-term business events that help explain the free cash flow result.

Supportive

Operating Cash Flow Growth

Operating cash flow rose substantially compared to the prior year quarter and also increased sequentially. This improvement was the primary factor behind the free cash flow gains.

The higher operating cash flow drove the free cash flow margin higher.

What the cash flow says

How to interpret the company's free cash flow beyond the headline number.

Operating cash flow exceeded capital expenditure, generating positive free cash flow. The free cash flow margin improved as a result of the higher operating cash flow relative to revenue.

Compared to the prior quarter, revenue was stable while operating cash flow, free cash flow, and margin were higher. Versus the same quarter last year, all metrics were higher, with revenue and operating cash flow showing notable increases.

Monitor capital expenditure trends, as they are a key cash use and are discussed in the company's liquidity outlook.