Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue rose from the previous quarter and from the same quarter a year ago. Free cash flow was lower sequentially but stable versus the prior year, reflecting a mixed cash conversion picture.
- Operating cash flow decreased from the prior quarter even as revenue increased, resulting in a lower free cash flow margin. Compared with the year-ago quarter, operating cash flow and free cash flow were both marginally lower, while the margin narrowed slightly.
- Revenue was higher than both the immediate prior quarter and the same quarter one year earlier. Free cash flow was lower than the preceding quarter but comparable to the year-ago level. Operating cash flow weakened sequentially but was broadly stable year-over-year. Capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter.
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
$218.2M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$255.3M
Cash generated by operations before capital spending.
CapEx
$37.2M
Capital spending and related asset purchases.
FCF margin
14.5%
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 | $1.3B | $357.4M | $45.5M | $311.9M | 24.4% |
| 2023-12-30 | $1.5B | $465.9M | $48.6M | $417.3M | 28.1% |
| 2024-03-30 | $1.4B | $435.3M | $33.2M | $402.1M | 29.1% |
| 2024-06-29 | $1.5B | $255.3M | $37.2M | $218.2M | 14.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 72.6% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.5% | 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.
Operating cash flow contraction
Operating cash flow decreased from the prior quarter while revenue increased, compressing the free cash flow margin from the preceding level. This was the most observable shift in the cash generation profile.
If the lower cash conversion persists, free cash flow may not parallel future revenue changes.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow decreased from the prior quarter even as revenue increased, resulting in a lower free cash flow margin. Compared with the year-ago quarter, operating cash flow and free cash flow were both marginally lower, while the margin narrowed slightly.
Revenue was higher than both the immediate prior quarter and the same quarter one year earlier. Free cash flow was lower than the preceding quarter but comparable to the year-ago level. Operating cash flow weakened sequentially but was broadly stable year-over-year. Capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter.
Monitor operating cash flow trends, as it declined sequentially despite higher revenue.