Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and free cash flow margin both improved compared to the same quarter last year, while operating cash flow turned positive from a negative position in the prior quarter. The company generated positive free cash flow this quarter after a negative result in the immediately preceding quarter.
- Revenue was lower than the prior quarter but higher than a year ago. Operating cash flow turned positive this quarter compared to a negative figure in the prior quarter, and was also higher than the same quarter last year. Capital expenditure decreased slightly versus both comparison periods. Free cash flow was positive and its margin improved from a negative margin in the prior quarter and a near-zero margin a year ago.
- Compared to the prior quarter, revenue was lower and free cash flow improved from a negative to a positive figure. Versus the same quarter last year, revenue was higher, operating cash flow was higher, and free cash flow margin strengthened from near zero.
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
$119.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$304.0M
Cash generated by operations before capital spending.
CapEx
$185.0M
Capital spending and related asset purchases.
FCF margin
3.4%
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 |
|---|---|---|---|---|---|
| 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% |
| 2025-12-31 | $3.5B | $304.0M | $185.0M | $119.0M | 3.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 58.0% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 5.2% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$748.0M | 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 turnaround
Operating cash flow shifted from a negative position in the prior quarter to a positive amount this quarter, and was also higher than the same quarter last year. This was the strongest observable change among the metrics.
The positive operating cash flow directly enabled positive free cash flow after a negative result in the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was lower than the prior quarter but higher than a year ago. Operating cash flow turned positive this quarter compared to a negative figure in the prior quarter, and was also higher than the same quarter last year. Capital expenditure decreased slightly versus both comparison periods. Free cash flow was positive and its margin improved from a negative margin in the prior quarter and a near-zero margin a year ago.
Compared to the prior quarter, revenue was lower and free cash flow improved from a negative to a positive figure. Versus the same quarter last year, revenue was higher, operating cash flow was higher, and free cash flow margin strengthened from near zero.
Monitor whether the positive operating cash flow can be sustained, given the prior quarter showed a significant negative figure.