Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow increased compared to both the prior quarter and the same quarter last year. Capital expenditure was lower than the prior quarter but higher than a year ago, resulting in improved free cash flow and margin.
- Operating cash flow rose more than proportionally to revenue, while capital expenditure declined sequentially, leading to a higher free cash flow and an improved free cash flow margin.
- Compared with the prior quarter, revenue, operating cash flow, and free cash flow were all higher, while capital expenditure was lower. Versus the same quarter last year, revenue and operating cash flow were higher, capital expenditure was higher, yet free cash flow and margin also improved.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
$1.4B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$2.0B
Cash generated by operations before capital spending.
CapEx
$592.0M
Capital spending and related asset purchases.
FCF margin
12.6%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $8.9B | $2.7B | $943.0M | $1.8B | 20.1% |
| 2025-03-31 | $6.8B | -$659.0M | $645.0M | -$1.3B | -19.3% |
| 2025-06-30 | $10.2B | $1.4B | $655.0M | $723.0M | 7.1% |
| 2025-09-30 | $11.1B | $2.0B | $592.0M | $1.4B | 12.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 93.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 5.3% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$14.4B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Stronger Operating Cash Flow
Operating cash flow increased substantially from both the prior quarter and the same quarter last year, providing the primary lift to free cash flow.
This drove a higher free cash flow margin despite a higher capital expenditure compared to a year ago.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow rose more than proportionally to revenue, while capital expenditure declined sequentially, leading to a higher free cash flow and an improved free cash flow margin.
Compared with the prior quarter, revenue, operating cash flow, and free cash flow were all higher, while capital expenditure was lower. Versus the same quarter last year, revenue and operating cash flow were higher, capital expenditure was higher, yet free cash flow and margin also improved.
Monitor capital expenditure trends, as the current quarter's level was higher than the same quarter last year despite a sequential decline.