Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased from the prior quarter and from the same quarter last year. Free cash flow margin weakened compared to the prior quarter but was stable relative to the year-ago quarter.
- Operating cash flow was lower than the prior quarter but similar to the year-ago quarter, while capital expenditure decreased from both comparison periods. Free cash flow declined from the prior quarter but was slightly higher than the year-ago quarter, resulting in a free cash flow margin that was lower than the prior quarter and slightly below the year-ago level.
- Compared to the prior quarter, revenue was higher but operating cash flow and free cash flow were lower, leading to a weakened free cash flow margin. Versus the same quarter last year, revenue was higher, operating cash flow was slightly lower, and free cash flow was marginally higher, with the free cash flow margin showing a slight decline.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.3B
Trailing twelve-month free cash flow.
Quarter free cash flow
$395.3M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$540.7M
Cash generated by operations before capital spending.
CapEx
$145.4M
Capital spending and related asset purchases.
FCF margin
10.9%
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 | $3.2B | $180.0M | $143.3M | $36.8M | 1.1% |
| 2025-06-30 | $3.4B | $324.2M | $121.1M | $203.1M | 6.0% |
| 2025-09-30 | $3.4B | $841.5M | $166.1M | $675.4M | 19.7% |
| 2025-12-31 | $3.6B | $540.7M | $145.4M | $395.3M | 10.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 168.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 4.0% | 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 decline relative to revenue
Revenue rose from the prior quarter, yet operating cash flow decreased, causing free cash flow to fall despite lower capital expenditure. This divergence is the strongest observable driver of the quarter's cash conversion performance.
The weakened cash conversion efficiency reduced the free cash flow margin compared to the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was lower than the prior quarter but similar to the year-ago quarter, while capital expenditure decreased from both comparison periods. Free cash flow declined from the prior quarter but was slightly higher than the year-ago quarter, resulting in a free cash flow margin that was lower than the prior quarter and slightly below the year-ago level.
Compared to the prior quarter, revenue was higher but operating cash flow and free cash flow were lower, leading to a weakened free cash flow margin. Versus the same quarter last year, revenue was higher, operating cash flow was slightly lower, and free cash flow was marginally higher, with the free cash flow margin showing a slight decline.
Monitor the relationship between revenue growth and operating cash flow, as revenue increased while operating cash flow declined from the prior quarter.