Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow and free cash flow both improved compared to the prior quarter and the same quarter last year. The free cash flow margin strengthened, supported by higher revenue and a lower capital expenditure relative to operating cash flow.
- Revenue increased from the prior quarter and from the same quarter a year ago. Operating cash flow rose, and with capital expenditure lower than the prior quarter, free cash flow improved. The free cash flow margin was higher than both comparison periods.
- Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin were all higher. Versus the same quarter one year earlier, all metrics were higher, with operating cash flow and free cash flow showing a notable improvement.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$3.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$694.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$779.0M
Cash generated by operations before capital spending.
CapEx
$85.0M
Capital spending and related asset purchases.
FCF margin
15.2%
The share of revenue converted into free cash flow.
TTM FCF yield
4.1%
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 | $4.6B | $1.1B | $93.0M | $977.0M | 21.5% |
| 2025-09-30 | $4.9B | $1.0B | $168.0M | $842.0M | 17.3% |
| 2025-12-31 | $4.3B | $699.0M | $97.0M | $602.0M | 13.9% |
| 2026-03-31 | $4.6B | $779.0M | $85.0M | $694.0M | 15.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 112.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.9% | 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 Strength
Operating cash flow was higher than both the prior quarter and the same quarter last year, providing the primary support for free cash flow growth. The increase occurred alongside higher revenue.
Higher operating cash flow drove free cash flow higher and expanded the free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased from the prior quarter and from the same quarter a year ago. Operating cash flow rose, and with capital expenditure lower than the prior quarter, free cash flow improved. The free cash flow margin was higher than both comparison periods.
Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin were all higher. Versus the same quarter one year earlier, all metrics were higher, with operating cash flow and free cash flow showing a notable improvement.
Monitor the trend in capital expenditure relative to operating cash flow, as a lower ratio contributed to the current quarter's free cash flow improvement.
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 | $76.2B | Used as the denominator for FCF yield. |
| TTM FCF yield | 4.1% | 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.