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 prior quarter and the same quarter a year ago, but operating cash flow and free cash flow were lower, narrowing the free cash flow margin. The filing reports a liquidity position of cash, equivalents, and investments, an accumulated deficit, and historical funding from operations and equity.
- Operating cash flow declined relative to the prior quarter and the year-ago quarter, even as revenue grew. Capital expenditure was lower than the prior quarter but higher than the year-ago quarter, resulting in free cash flow that was lower than both comparative periods.
- Compared to the prior quarter, free cash flow margin weakened significantly, driven by a larger drop in operating cash flow relative to revenue. Versus the same quarter a year ago, the margin also narrowed, as operating cash flow declined while revenue increased.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.2B
Trailing twelve-month free cash flow.
Quarter free cash flow
$367.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$421.0M
Cash generated by operations before capital spending.
CapEx
$54.0M
Capital spending and related asset purchases.
FCF margin
9.3%
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 |
|---|---|---|---|---|---|
| 2025-03-31 | $3.0B | $635.0M | $74.0M | $561.0M | 18.5% |
| 2025-06-30 | $3.3B | $504.0M | $66.0M | $438.0M | 13.3% |
| 2025-09-30 | $3.4B | $871.0M | $63.0M | $808.0M | 23.4% |
| 2025-12-31 | $4.0B | $421.0M | $54.0M | $367.0M | 9.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 172.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.4% | Lower capital intensity usually supports FCF margin. |
| Net cash | n/a | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Cash conversion efficiency
Revenue increased in the current quarter compared to both the prior quarter and the year-ago quarter, but operating cash flow decreased, resulting in a lower free cash flow and a narrower margin.
The decline in operating cash flow relative to revenue reduced free cash flow generation and compressed the free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow declined relative to the prior quarter and the year-ago quarter, even as revenue grew. Capital expenditure was lower than the prior quarter but higher than the year-ago quarter, resulting in free cash flow that was lower than both comparative periods.
Compared to the prior quarter, free cash flow margin weakened significantly, driven by a larger drop in operating cash flow relative to revenue. Versus the same quarter a year ago, the margin also narrowed, as operating cash flow declined while revenue increased.
Monitor the trend of operating cash flow relative to revenue, as the current quarter showed a weaker conversion of revenue into cash.