Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow turned positive compared to a negative figure one year earlier, driven by a shift from negative to positive operating cash flow. Revenue was stable versus the prior quarter but higher year over year, while free cash flow margin improved from a negative level to a positive level.
- Operating cash flow was positive and exceeded capital expenditure, resulting in positive free cash flow. The free cash flow margin was positive, indicating that a portion of revenue was converted into free cash flow after capital spending.
- Compared to the prior quarter, operating cash flow and free cash flow were lower, and free cash flow margin weakened. Compared to the same quarter one year earlier, operating cash flow and free cash flow improved from negative to positive, and free cash flow margin strengthened significantly.
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
$353.5M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$450.9M
Cash generated by operations before capital spending.
CapEx
$97.4M
Capital spending and related asset purchases.
FCF margin
22.5%
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 |
|---|---|---|---|---|---|
| 2025-03-31 | $1.4B | $280.4M | $56.0M | $224.4M | 15.9% |
| 2025-06-30 | $1.5B | $290.2M | $49.3M | $240.9M | 15.7% |
| 2025-09-30 | $1.6B | $573.7M | $57.5M | $516.2M | 33.2% |
| 2025-12-31 | $1.6B | $450.9M | $97.4M | $353.5M | 22.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 387.6% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 6.2% | 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 recovery
Operating cash flow turned from negative one year earlier to positive in the current quarter, which was the primary factor behind the improvement in free cash flow. Revenue was higher year over year, supporting the cash flow shift.
Free cash flow moved from negative to positive, and free cash flow margin improved from negative to positive.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was positive and exceeded capital expenditure, resulting in positive free cash flow. The free cash flow margin was positive, indicating that a portion of revenue was converted into free cash flow after capital spending.
Compared to the prior quarter, operating cash flow and free cash flow were lower, and free cash flow margin weakened. Compared to the same quarter one year earlier, operating cash flow and free cash flow improved from negative to positive, and free cash flow margin strengthened significantly.
Monitor whether operating cash flow can sustain its positive level given the decline from the prior quarter.