Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was lower than both the prior quarter and the year-ago quarter. However, free cash flow margin improved significantly compared to the year-ago period, driven by higher operating cash flow relative to revenue.
- Operating cash flow was higher than the year-ago quarter, while capital expenditure increased. The resulting free cash flow was higher year over year, and the free cash flow margin expanded.
- Compared to the immediately preceding quarter, revenue turned positive from negative, but operating cash flow and free cash flow were lower. Capital expenditure was higher. Versus the same quarter one year earlier, revenue was lower, but operating cash flow, free cash flow, and margin all improved.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$528.7M
Trailing twelve-month free cash flow.
Quarter free cash flow
$401.6M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$752.0M
Cash generated by operations before capital spending.
CapEx
$350.4M
Capital spending and related asset purchases.
FCF margin
10.2%
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 |
|---|---|---|---|---|---|
| 2022-07-30 | $6.8B | -$17.9M | $276.2M | -$294.1M | -4.3% |
| 2022-10-29 | $6.9B | $213.5M | $391.2M | -$177.7M | -2.6% |
| 2023-01-28 | -$5.2B | $880.7M | $281.8M | $598.9M | -11.5% |
| 2023-04-29 | $3.9B | $752.0M | $350.4M | $401.6M | 10.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 134.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 8.9% | 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.
Free cash flow margin expansion
The free cash flow margin rose from the year-ago quarter, supported by a higher proportion of revenue converted into operating cash flow.
This improvement indicates a stronger cash generation efficiency relative to sales.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was higher than the year-ago quarter, while capital expenditure increased. The resulting free cash flow was higher year over year, and the free cash flow margin expanded.
Compared to the immediately preceding quarter, revenue turned positive from negative, but operating cash flow and free cash flow were lower. Capital expenditure was higher. Versus the same quarter one year earlier, revenue was lower, but operating cash flow, free cash flow, and margin all improved.
Monitor the trend in capital expenditure, which increased from both the prior quarter and the year-ago quarter.