Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow was negative this quarter, reflecting negative operating cash flow. Revenue was higher than both the prior quarter and the same quarter last year.
- Revenue grew, but operating cash flow was negative, resulting in negative free cash flow and a negative free cash flow margin. Capital expenditure was lower than both comparable periods.
- Compared to the immediately preceding quarter, cash conversion weakened sharply as operating cash flow turned from positive to negative. Relative to the same quarter one year earlier, cash conversion improved, with a smaller negative free cash flow.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.0B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$436.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$340.0M
Cash generated by operations before capital spending.
CapEx
$96.0M
Capital spending and related asset purchases.
FCF margin
-12.5%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $4.0B | $1.1B | $132.0M | $925.0M | 23.1% |
| 2025-03-31 | $3.5B | $284.0M | $122.0M | $162.0M | 4.6% |
| 2025-06-30 | $3.4B | $601.0M | $207.0M | $394.0M | 11.6% |
| 2025-09-30 | $3.5B | -$340.0M | $96.0M | -$436.0M | -12.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -927.7% | 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.
Improved free cash flow year over year
Free cash flow, though still negative, was significantly less negative than the same quarter last year, driven by higher revenue and lower capital expenditure.
This improvement, if continued, could help preserve cash balances and reduce reliance on external funding.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue grew, but operating cash flow was negative, resulting in negative free cash flow and a negative free cash flow margin. Capital expenditure was lower than both comparable periods.
Compared to the immediately preceding quarter, cash conversion weakened sharply as operating cash flow turned from positive to negative. Relative to the same quarter one year earlier, cash conversion improved, with a smaller negative free cash flow.
Monitor the level of cash and cash equivalents, which declined from the prior quarter end according to the filing.