Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased quarter-over-quarter and year-over-year. Operating cash flow grew more than proportionally, resulting in higher free cash flow and an improved free cash flow margin.
- The company's revenue rose, while operating cash flow increased at a faster pace. Capital expenditure remained relatively stable, so free cash flow and its margin both improved compared to the prior quarter and the same quarter last year.
- Compared to the immediately preceding quarter, operating cash flow, free cash flow, and margin all improved. Year-over-year comparisons also show higher operating cash flow, free cash flow, and margin, despite a slightly higher capital expenditure.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.8B
Trailing twelve-month free cash flow.
Quarter free cash flow
$425.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$531.2M
Cash generated by operations before capital spending.
CapEx
$106.3M
Capital spending and related asset purchases.
FCF margin
15.2%
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 |
|---|---|---|---|---|---|
| 2025-02-28 | $2.6B | $620.5M | $99.9M | $520.6M | 20.0% |
| 2025-05-31 | $2.7B | $640.3M | $114.6M | $525.7M | 19.7% |
| 2025-08-31 | $2.7B | $414.5M | $102.0M | $312.5M | 11.5% |
| 2025-11-30 | $2.8B | $531.2M | $106.3M | $425.0M | 15.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 85.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.8% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$2.2B | 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 Growth
Operating cash flow increased compared to both the prior quarter and the same quarter last year, exceeding the rate of revenue growth. The company's filing notes that operating cash flows have historically been a primary source of liquidity.
The improvement in operating cash flow directly contributed to higher free cash flow and an expanded margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
The company's revenue rose, while operating cash flow increased at a faster pace. Capital expenditure remained relatively stable, so free cash flow and its margin both improved compared to the prior quarter and the same quarter last year.
Compared to the immediately preceding quarter, operating cash flow, free cash flow, and margin all improved. Year-over-year comparisons also show higher operating cash flow, free cash flow, and margin, despite a slightly higher capital expenditure.
Monitor the level of capital expenditure, which remained relatively stable, for any impact on free cash flow generation.