Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow turned positive from negative in the prior quarter, driven by a substantial increase in operating cash flow. Compared to the same quarter a year earlier, free cash flow was lower despite higher revenue, reflecting a weakened margin.
- Revenue increased both sequentially and compared to the same quarter last year. Operating cash flow improved significantly from the prior quarter but was lower than a year earlier, while capital expenditure rose slightly. Free cash flow margin improved from a near-zero level sequentially but declined from a year ago.
- Sequentially, free cash flow shifted from negative to positive, with operating cash flow much higher. Year over year, free cash flow and margin were lower, even though revenue was higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$546.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$307.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$345.0M
Cash generated by operations before capital spending.
CapEx
$38.0M
Capital spending and related asset purchases.
FCF margin
5.4%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $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% |
| 2025-09-30 | $5.6B | $345.0M | $38.0M | $307.0M | 5.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 203.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$3.0B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Sequential operating cash flow recovery
Operating cash flow increased substantially from the prior quarter, driving free cash flow positive after a near-zero margin in the previous quarter.
This allowed the company to generate positive free cash flow after a near-zero margin in the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased both sequentially and compared to the same quarter last year. Operating cash flow improved significantly from the prior quarter but was lower than a year earlier, while capital expenditure rose slightly. Free cash flow margin improved from a near-zero level sequentially but declined from a year ago.
Sequentially, free cash flow shifted from negative to positive, with operating cash flow much higher. Year over year, free cash flow and margin were lower, even though revenue was higher.
Monitor the free cash flow margin relative to revenue growth, as it declined from the prior year despite higher revenue.