Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased versus both the prior quarter and the same quarter last year, but operating cash flow turned negative, resulting in negative free cash flow. The free cash flow margin improved from the year-ago quarter but weakened sequentially.
- Revenue grew while operating cash flow was negative, indicating that cash conversion from revenue weakened significantly. Combined with capital expenditure similar to prior periods, free cash flow became negative with a negative margin.
- Compared to the prior quarter, revenue was higher but operating cash flow shifted from positive to negative, causing free cash flow to decline sharply. Versus the same quarter last year, revenue was higher and operating cash flow improved from a larger negative figure, leading to a smaller free cash flow deficit.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$3.0B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$686.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$497.0M
Cash generated by operations before capital spending.
CapEx
$189.0M
Capital spending and related asset purchases.
FCF margin
-15.5%
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 | $3.2B | $198.0M | $191.0M | $7.0M | 0.2% |
| 2025-03-31 | $3.0B | $3.0B | $196.0M | $2.8B | 92.2% |
| 2025-06-30 | $3.8B | $1.1B | $200.0M | $921.0M | 24.3% |
| 2025-09-30 | $4.4B | -$497.0M | $189.0M | -$686.0M | -15.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -71.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 4.3% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$390.0M | 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 Swing
Revenue rose, yet operating cash flow turned negative this quarter after being positive in the prior quarter, and improved from a larger negative a year ago. Capital expenditure remained relatively stable.
The negative free cash flow and margin this quarter are driven by the operating cash outflow, despite revenue growth and stable capital spending.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue grew while operating cash flow was negative, indicating that cash conversion from revenue weakened significantly. Combined with capital expenditure similar to prior periods, free cash flow became negative with a negative margin.
Compared to the prior quarter, revenue was higher but operating cash flow shifted from positive to negative, causing free cash flow to decline sharply. Versus the same quarter last year, revenue was higher and operating cash flow improved from a larger negative figure, leading to a smaller free cash flow deficit.
Monitor the trajectory of operating cash flow, as its swing from positive to negative is the primary factor behind the current free cash flow deficit.