Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue grew sequentially and year-over-year, but operating cash flow declined, leading to lower free cash flow and a narrower free cash flow margin. Cash conversion weakened relative to both prior periods.
- The company generated positive free cash flow, though at a lower margin compared to the preceding quarter and the same quarter last year. Operating cash flow as a share of revenue decreased, while capital expenditure increased.
- Revenue was higher compared to both the preceding quarter and the same quarter one year earlier, while operating cash flow, free cash flow, and free cash flow margin were lower. Capital expenditure was higher in both comparisons.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$906.4M
Trailing twelve-month free cash flow.
Quarter free cash flow
$191.9M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$208.1M
Cash generated by operations before capital spending.
CapEx
$16.1M
Capital spending and related asset purchases.
FCF margin
23.7%
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 | $766.5M | $202.8M | $8.1M | $194.7M | 25.4% |
| 2025-03-31 | $731.1M | $256.6M | $10.5M | $246.1M | 33.7% |
| 2025-06-30 | $780.4M | $282.2M | $8.5M | $273.7M | 35.1% |
| 2025-09-30 | $810.1M | $208.1M | $16.1M | $191.9M | 23.7% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 100.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.0% | 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.
Cash Conversion Weakening
Operating cash flow was lower compared to both the prior quarter and the year-ago quarter, despite higher revenue. This weakness was the primary factor behind the reduction in free cash flow and margin.
The lower cash conversion constrained free cash flow generation relative to revenue growth.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
The company generated positive free cash flow, though at a lower margin compared to the preceding quarter and the same quarter last year. Operating cash flow as a share of revenue decreased, while capital expenditure increased.
Revenue was higher compared to both the preceding quarter and the same quarter one year earlier, while operating cash flow, free cash flow, and free cash flow margin were lower. Capital expenditure was higher in both comparisons.
Monitor the trajectory of operating cash flow, as it declined sequentially and year-over-year despite revenue growth.