Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow for the current quarter was higher than the same quarter one year earlier but lower than the preceding quarter. The free cash flow margin improved from the prior year quarter but weakened sequentially.
- Revenue increased compared to both the prior quarter and the year-ago quarter. Operating cash flow was lower than the preceding quarter but higher than the year-ago period. Capital expenditure was slightly higher than both comparison periods. The resulting free cash flow and margin were lower sequentially but higher year-over-year.
- Compared to the immediately preceding quarter, free cash flow decreased while revenue increased. Compared to the same quarter one year earlier, both revenue and free cash flow were higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$324.4M
Trailing twelve-month free cash flow.
Quarter free cash flow
$64.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$87.2M
Cash generated by operations before capital spending.
CapEx
$22.4M
Capital spending and related asset purchases.
FCF margin
7.4%
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 |
|---|---|---|---|---|---|
| 2023-06-30 | $839.9M | $132.0M | $25.9M | $106.1M | 12.6% |
| 2023-09-30 | $858.9M | $52.8M | $27.1M | $25.7M | 3.0% |
| 2023-12-31 | $817.7M | $148.4M | $20.5M | $127.9M | 15.6% |
| 2024-03-31 | $880.7M | $87.2M | $22.4M | $64.7M | 7.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 52.0% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.5% | 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 free cash flow improvement
Free cash flow and margin were higher compared to the same quarter last year, with revenue growth exceeding the combined increase in operating cash flow and capital expenditure.
The improvement in free cash flow margin indicates a more efficient conversion of revenue into free cash flow than in the prior year period.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased compared to both the prior quarter and the year-ago quarter. Operating cash flow was lower than the preceding quarter but higher than the year-ago period. Capital expenditure was slightly higher than both comparison periods. The resulting free cash flow and margin were lower sequentially but higher year-over-year.
Compared to the immediately preceding quarter, free cash flow decreased while revenue increased. Compared to the same quarter one year earlier, both revenue and free cash flow were higher.
Monitor the level of operating cash flow relative to revenue, as it declined sequentially despite revenue growth.