Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow was higher than the same quarter one year earlier, reflecting an increase in operating cash flow and a reduction in capital expenditure. Sequentially, free cash flow was lower, as operating cash flow and revenue both decreased.
- The free cash flow margin was higher than the year-ago quarter, as operating cash flow grew while capital expenditure fell. However, the margin was lower than the prior quarter, due to a larger decline in operating cash flow relative to revenue.
- Compared to the prior quarter, revenue, operating cash flow, capital expenditure, and free cash flow were all lower. Versus the same quarter last year, revenue, operating cash flow, and free cash flow were higher, while capital expenditure was lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.5B
Trailing twelve-month free cash flow.
Quarter free cash flow
$218.8M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$320.8M
Cash generated by operations before capital spending.
CapEx
$102.0M
Capital spending and related asset purchases.
FCF margin
6.4%
The share of revenue converted into free cash flow.
TTM FCF yield
n/a
TTM FCF divided by market capitalization.
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 |
|---|---|---|---|---|---|
| 2025-06-30 | $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% |
| 2026-03-31 | $3.4B | $320.8M | $102.0M | $218.8M | 6.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 110.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.0% | 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.
Year-over-Year Cash Flow Growth
Operating cash flow increased substantially compared to the same quarter last year, supported by higher net income and non-cash items, partially offset by working capital changes, as detailed in the filing.
This improvement drove a higher free cash flow and a stronger free cash flow margin relative to the year-ago quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
The free cash flow margin was higher than the year-ago quarter, as operating cash flow grew while capital expenditure fell. However, the margin was lower than the prior quarter, due to a larger decline in operating cash flow relative to revenue.
Compared to the prior quarter, revenue, operating cash flow, capital expenditure, and free cash flow were all lower. Versus the same quarter last year, revenue, operating cash flow, and free cash flow were higher, while capital expenditure was lower.
Monitor the trend in capital expenditure, which decreased from both the prior quarter and the year-ago period.
Valuation context
A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.
| Market capitalization | n/a | Used as the denominator for FCF yield. |
| TTM FCF yield | n/a | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | n/a | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.