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 preceding quarter and the same quarter a year earlier, but operating cash flow declined sharply, resulting in a negative free cash flow. The company's filing discussion noted a shift in focus toward long-term profitable growth, which may influence cash flow patterns.
- The cash conversion from revenue weakened as operating cash flow fell despite higher revenue, and capital expenditure increased slightly, leading to a negative free cash flow.
- Compared with the immediately preceding quarter, revenue was higher but operating cash flow and free cash flow were lower, and the margin turned negative. Versus the same quarter one year earlier, revenue was also higher while both operating cash flow and free cash flow were lower, and the margin weakened from positive to negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$615.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$2.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$29.0M
Cash generated by operations before capital spending.
CapEx
$31.0M
Capital spending and related asset purchases.
FCF margin
-0.0%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $3.7B | $403.0M | $27.0M | $376.0M | 10.3% |
| 2024-12-31 | $3.5B | $60.0M | $24.0M | $36.0M | 1.0% |
| 2025-03-31 | $4.2B | $232.0M | $27.0M | $205.0M | 4.8% |
| 2025-06-30 | $4.8B | $29.0M | $31.0M | -$2.0M | -0.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -1.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.6% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$3.8B | 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 decline
Operating cash flow decreased compared to both prior periods, while capital expenditure increased moderately, causing free cash flow to turn negative.
The company's ability to generate cash from operations weakened, reversing the positive free cash flow seen in the two preceding quarters.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
The cash conversion from revenue weakened as operating cash flow fell despite higher revenue, and capital expenditure increased slightly, leading to a negative free cash flow.
Compared with the immediately preceding quarter, revenue was higher but operating cash flow and free cash flow were lower, and the margin turned negative. Versus the same quarter one year earlier, revenue was also higher while both operating cash flow and free cash flow were lower, and the margin weakened from positive to negative.
Monitor the trend of operating cash flow relative to revenue, as the decline in cash conversion efficiency is a key area to watch.