Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue decreased from both the prior quarter and the same quarter last year. Free cash flow margin improved compared to both periods, supported by strong operating cash flow relative to revenue.
- Operating cash flow remained robust in absolute terms while capital expenditure was stable. This led to an improvement in free cash flow margin, as free cash flow held up well against a lower revenue base.
- Compared to the preceding quarter, free cash flow was slightly lower as revenue declined, but the margin improved. Relative to the year-ago quarter, both free cash flow and margin were substantially higher, driven by a large increase in operating cash flow.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$568.7M
Trailing twelve-month free cash flow.
Quarter free cash flow
$107.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$111.3M
Cash generated by operations before capital spending.
CapEx
$4.3M
Capital spending and related asset purchases.
FCF margin
13.0%
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 |
|---|---|---|---|---|---|
| 2025-02-01 | $1.3B | $162.3M | $3.5M | $158.8M | 12.4% |
| 2025-05-03 | $732.4M | $192.5M | $2.9M | $189.6M | 25.9% |
| 2025-08-02 | $972.2M | $117.4M | $4.1M | $113.3M | 11.7% |
| 2025-11-01 | $821.0M | $111.3M | $4.3M | $107.0M | 13.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 138.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.5% | 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.
Improved Free Cash Flow Margin
The free cash flow margin increased sequentially and year over year, reflecting operating cash flow that was higher as a percentage of revenue despite a decline in revenue.
This strengthened the company's cash generation efficiency.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow remained robust in absolute terms while capital expenditure was stable. This led to an improvement in free cash flow margin, as free cash flow held up well against a lower revenue base.
Compared to the preceding quarter, free cash flow was slightly lower as revenue declined, but the margin improved. Relative to the year-ago quarter, both free cash flow and margin were substantially higher, driven by a large increase in operating cash flow.
Monitor the reclassification of certain investment portfolio balances to assets held for sale, as noted in the filing.