Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased compared to both the prior quarter and the same quarter one year earlier. Free cash flow improved substantially versus both periods, supported by higher operating cash flow.
- Operating cash flow rose more than revenue, leading to a higher free cash flow margin. Capital expenditure also increased but at a slower rate than operating cash flow, resulting in improved free cash flow conversion.
- Compared to the previous quarter, free cash flow and margin were higher, driven by a larger increase in operating cash flow relative to capital expenditure. Versus the same quarter a year ago, both revenue and free cash flow were higher, with the margin also improved.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$189.2M
Trailing twelve-month free cash flow.
Quarter free cash flow
$118.5M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$207.5M
Cash generated by operations before capital spending.
CapEx
$89.0M
Capital spending and related asset purchases.
FCF margin
11.8%
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 |
|---|---|---|---|---|---|
| 2023-10-31 | $927.1M | $174.2M | $145.0M | $29.2M | 3.1% |
| 2024-01-31 | $931.6M | $122.7M | $118.1M | $4.6M | 0.5% |
| 2024-04-30 | $942.6M | $111.0M | $74.1M | $36.9M | 3.9% |
| 2024-07-31 | $1.0B | $207.5M | $89.0M | $118.5M | 11.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 113.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 8.9% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$2.5B | 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 Strength
Operating cash flow increased significantly from both the prior quarter and the year-ago quarter, outpacing revenue growth. This was the primary factor behind the higher free cash flow.
The higher operating cash flow directly supported a stronger free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow rose more than revenue, leading to a higher free cash flow margin. Capital expenditure also increased but at a slower rate than operating cash flow, resulting in improved free cash flow conversion.
Compared to the previous quarter, free cash flow and margin were higher, driven by a larger increase in operating cash flow relative to capital expenditure. Versus the same quarter a year ago, both revenue and free cash flow were higher, with the margin also improved.
The relationship between operating cash flow and capital expenditure, as capital expenditure growth could affect future free cash flow conversion.