Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased from both the prior quarter and the same quarter one year earlier. Free cash flow improved from the prior quarter but weakened compared to the year-ago quarter.
- Operating cash flow and free cash flow remained negative, resulting in a deeply negative free cash flow margin. Capital expenditure was minimal relative to operating cash flow.
- Compared to the prior quarter, operating cash flow and free cash flow improved while revenue increased. Relative to the same quarter last year, operating cash flow and free cash flow weakened despite higher revenue.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$208.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$53.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$53.5M
Cash generated by operations before capital spending.
CapEx
$206000
Capital spending and related asset purchases.
FCF margin
-6086.6%
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 |
|---|---|---|---|---|---|
| 2023-09-30 | $164000 | -$50.8M | $192000 | -$51.0M | -31116.5% |
| 2023-12-31 | $23000 | -$40.9M | $64000 | -$41.0M | -178269.6% |
| 2024-03-31 | $304000 | -$62.3M | $615000 | -$62.9M | -20680.3% |
| 2024-06-30 | $882000 | -$53.5M | $206000 | -$53.7M | -6086.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 79.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 23.4% | Lower capital intensity usually supports FCF margin. |
| Net cash | $33.5M | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Revenue growth and operating cash flow improvement
Revenue increased from the prior quarter and the year-ago quarter, and operating cash flow improved sequentially. The improvement in operating cash flow relative to the prior quarter was the most notable change in cash conversion.
The positive movement in revenue was accompanied by a reduction in negative operating cash flow compared to the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow and free cash flow remained negative, resulting in a deeply negative free cash flow margin. Capital expenditure was minimal relative to operating cash flow.
Compared to the prior quarter, operating cash flow and free cash flow improved while revenue increased. Relative to the same quarter last year, operating cash flow and free cash flow weakened despite higher revenue.
Monitor the trajectory of operating cash flow as revenue develops, given the persistent negative free cash flow.