Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow both increased versus the prior quarter and the same quarter last year. Free cash flow margin improved sequentially and strongly year-over-year.
- Operating cash flow rose relative to revenue, driving free cash flow higher after capital expenditure. The free cash flow margin expanded compared with both the preceding quarter and the year-ago quarter.
- Compared with the prior quarter, revenue was slightly higher, operating cash flow and free cash flow were higher, and free cash flow margin improved. Versus the same quarter last year, all metrics were higher, with a notably stronger free cash flow margin.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.9B
Trailing twelve-month free cash flow.
Quarter free cash flow
$556.2M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$847.2M
Cash generated by operations before capital spending.
CapEx
$290.9M
Capital spending and related asset purchases.
FCF margin
5.3%
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 |
|---|---|---|---|---|---|
| 2024-08-02 | $10.2B | $988.9M | $353.7M | $635.2M | 6.2% |
| 2024-11-01 | $10.2B | $542.4M | $341.4M | $201.0M | 2.0% |
| 2025-01-31 | $10.3B | $800.9M | $272.8M | $528.1M | 5.1% |
| 2025-05-02 | $10.4B | $847.2M | $290.9M | $556.2M | 5.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 141.9% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.8% | 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.
Operating Cash Flow Strength
Operating cash flow increased versus both the prior quarter and the year-ago quarter, outpacing revenue growth. This was the primary factor behind the expansion in free cash flow and free cash flow margin.
Higher operating cash flow directly lifted free cash flow and widened 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 rose relative to revenue, driving free cash flow higher after capital expenditure. The free cash flow margin expanded compared with both the preceding quarter and the year-ago quarter.
Compared with the prior quarter, revenue was slightly higher, operating cash flow and free cash flow were higher, and free cash flow margin improved. Versus the same quarter last year, all metrics were higher, with a notably stronger free cash flow margin.
Monitor whether operating cash flow can sustain its increased level relative to revenue in subsequent quarters.