Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved versus the prior quarter, driven by higher operating cash flow, while revenue was stable. Compared to the same quarter last year, free cash flow was slightly higher and the margin strengthened modestly.
- Revenue was unchanged sequentially, but operating cash flow increased, leading to a higher free cash flow margin. Capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter.
- Compared to the prior quarter, free cash flow and margin both improved as operating cash flow rose. Versus the same quarter last year, free cash flow was slightly higher and the margin was modestly stronger, with revenue essentially flat.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$5.7B
Trailing twelve-month free cash flow.
Quarter free cash flow
$1.3B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.3B
Cash generated by operations before capital spending.
CapEx
$40.0M
Capital spending and related asset purchases.
FCF margin
341.8%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $369.0M | $1.7B | $60.0M | $1.6B | 438.5% |
| 2024-12-31 | $373.0M | $1.9B | $26.0M | $1.8B | 495.4% |
| 2025-03-31 | $366.0M | $985.0M | $38.0M | $947.0M | 258.7% |
| 2025-06-30 | $366.0M | $1.3B | $40.0M | $1.3B | 341.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 125.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 10.9% | 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 Strength
Operating cash flow increased from the prior quarter, which was the primary factor behind the higher free cash flow and margin. The year-ago comparison also showed a slight improvement in operating cash flow.
The improvement in operating cash flow directly lifted free cash flow and margin without a change in revenue.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was unchanged sequentially, but operating cash flow increased, leading to a higher free cash flow margin. Capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter.
Compared to the prior quarter, free cash flow and margin both improved as operating cash flow rose. Versus the same quarter last year, free cash flow was slightly higher and the margin was modestly stronger, with revenue essentially flat.
Monitor whether operating cash flow can sustain its sequential improvement given stable revenue.