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 compared to the prior quarter and the same quarter last year, resulting in a higher free cash flow margin. The cash conversion performance strengthened from both periods.
- Operating cash flow grew more than revenue, while capital expenditure was lower than the prior quarter, leading to a higher free cash flow and a stronger free cash flow margin. The margin improved relative to both the prior quarter and the year-ago quarter.
- Compared to the immediately preceding quarter, revenue and operating cash flow were higher, and capital expenditure was slightly lower, resulting in a larger free cash flow. Year over year, revenue and operating cash flow also increased, while capital expenditure was higher, yet free cash flow still improved.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.2B
Trailing twelve-month free cash flow.
Quarter free cash flow
$436.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$544.0M
Cash generated by operations before capital spending.
CapEx
$108.0M
Capital spending and related asset purchases.
FCF margin
15.8%
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 | $2.5B | $356.0M | $106.0M | $250.0M | 10.0% |
| 2024-12-31 | $2.6B | $464.0M | $123.0M | $341.0M | 13.0% |
| 2025-03-31 | $2.7B | $314.0M | $117.0M | $197.0M | 7.4% |
| 2025-06-30 | $2.8B | $544.0M | $108.0M | $436.0M | 15.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 154.6% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.9% | 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 Improvement
Operating cash flow increased from both the prior quarter and the year-ago quarter, serving as the primary driver of the free cash flow increase.
The higher operating cash flow directly supported a stronger 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 grew more than revenue, while capital expenditure was lower than the prior quarter, leading to a higher free cash flow and a stronger free cash flow margin. The margin improved relative to both the prior quarter and the year-ago quarter.
Compared to the immediately preceding quarter, revenue and operating cash flow were higher, and capital expenditure was slightly lower, resulting in a larger free cash flow. Year over year, revenue and operating cash flow also increased, while capital expenditure was higher, yet free cash flow still improved.
Monitor the level of cash and cash equivalents, which declined from the end of the prior fiscal year as noted in the filing.