Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow increased versus both the prior quarter and the same quarter last year, supporting a higher free cash flow margin. Capital expenditure was lower than the prior quarter but higher than a year earlier.
- Revenue rose compared with both the prior quarter and the same quarter a year ago. Operating cash flow expanded, leading to free cash flow growth; the free cash flow margin improved sequentially and year-over-year.
- Revenue, operating cash flow, free cash flow, and free cash flow margin were higher than both the immediately preceding quarter and the same quarter one year earlier. Capital expenditure was lower than the prior quarter but higher than the year-ago quarter.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$13.3B
Trailing twelve-month free cash flow.
Quarter free cash flow
$4.0B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$4.2B
Cash generated by operations before capital spending.
CapEx
$217.0M
Capital spending and related asset purchases.
FCF margin
27.4%
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.
| Period | Revenue | Operating CF | CapEx | FCF | FCF margin |
|---|---|---|---|---|---|
| 2024-10-26 | $13.8B | $3.7B | $217.0M | $3.4B | 24.9% |
| 2025-01-25 | $14.0B | $2.2B | $210.0M | $2.0B | 14.5% |
| 2025-04-26 | $14.1B | $4.1B | $261.0M | $3.8B | 26.8% |
| 2025-07-26 | $14.7B | $4.2B | $217.0M | $4.0B | 27.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 157.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.5% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$16.3B | 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 Expansion
Operating cash flow increased sequentially and year-over-year, outpacing the growth in revenue. This allowed free cash flow to rise and free cash flow margin to strengthen.
The higher operating cash flow provided the primary support for the improved free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue rose compared with both the prior quarter and the same quarter a year ago. Operating cash flow expanded, leading to free cash flow growth; the free cash flow margin improved sequentially and year-over-year.
Revenue, operating cash flow, free cash flow, and free cash flow margin were higher than both the immediately preceding quarter and the same quarter one year earlier. Capital expenditure was lower than the prior quarter but higher than the year-ago quarter.
Monitor the trend in capital expenditure, which moved lower from the prior quarter but remains above the year-ago level.