Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was higher than both the prior quarter and a year earlier. Operating cash flow was lower in both comparisons, yet a substantial decline in capital expenditure resulted in free cash flow and free cash flow margin being higher than in either of the two prior periods.
- Free cash flow margin rose compared to both the prior quarter and the year-ago period, supported by a lower capital expenditure relative to revenue.
- Compared to the prior quarter, revenue edged up while operating cash flow declined; however, capital expenditure fell sharply, making free cash flow and its margin higher. Versus the same quarter a year ago, revenue grew, operating cash flow was slightly lower, capital expenditure decreased markedly, and free cash flow and margin improved.
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
$444.2M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$457.1M
Cash generated by operations before capital spending.
CapEx
$12.9M
Capital spending and related asset purchases.
FCF margin
1365.1%
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 | $31.0M | $408.3M | $258.1M | $150.2M | 485.0% |
| 2025-03-31 | $30.9M | $481.4M | $117.1M | $364.3M | 1178.9% |
| 2025-06-30 | $32.0M | $543.9M | $180.7M | $363.2M | 1133.4% |
| 2025-09-30 | $32.5M | $457.1M | $12.9M | $444.2M | 1365.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 267.6% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 39.8% | 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.
Capital Expenditure Reduction
Capital expenditure was significantly lower than both the prior quarter and the same quarter last year, while revenue showed modest growth. This allowed free cash flow to rise despite a decline in operating cash flow.
The lower capital expenditure was the strongest observable driver of free cash flow growth in the current quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Free cash flow margin rose compared to both the prior quarter and the year-ago period, supported by a lower capital expenditure relative to revenue.
Compared to the prior quarter, revenue edged up while operating cash flow declined; however, capital expenditure fell sharply, making free cash flow and its margin higher. Versus the same quarter a year ago, revenue grew, operating cash flow was slightly lower, capital expenditure decreased markedly, and free cash flow and margin improved.
Monitor the level of capital expenditure moving forward, as the current quarter's reduction was the primary contributor to free cash flow improvement.