Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow turned negative, leading to a free cash flow deficit that widened compared to both the prior quarter and the same quarter last year. The free cash flow margin weakened significantly, reflecting a larger cash outflow relative to revenue.
- Revenue was lower than the prior quarter but slightly below the year-ago level. Operating cash flow was negative, and after capital expenditure, free cash flow was also negative, resulting in a negative free cash flow margin.
- Compared to the immediately preceding quarter, revenue, operating cash flow, and free cash flow all moved lower, with operating cash flow shifting from positive to negative. Versus the same quarter one year earlier, revenue was slightly lower, while operating cash flow and free cash flow were more negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$148.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$462.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$395.0M
Cash generated by operations before capital spending.
CapEx
$67.0M
Capital spending and related asset purchases.
FCF margin
-16.9%
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 |
|---|---|---|---|---|---|
| 2024-06-30 | $3.0B | -$9.0M | $90.0M | -$99.0M | -3.3% |
| 2024-09-30 | $2.7B | $213.0M | $77.0M | $136.0M | 4.9% |
| 2024-12-31 | $3.0B | $391.0M | $114.0M | $277.0M | 9.2% |
| 2025-03-31 | $2.7B | -$395.0M | $67.0M | -$462.0M | -16.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -310.1% | 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 Swing
The strongest observable driver was the shift in operating cash flow from positive in the prior quarter to negative in the current quarter. The filing notes that trade working capital increased significantly compared to the year-ago period, contributing to the cash used in operations.
This swing drove free cash flow from positive to negative and widened the free cash flow deficit compared to the year-ago quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was lower than the prior quarter but slightly below the year-ago level. Operating cash flow was negative, and after capital expenditure, free cash flow was also negative, resulting in a negative free cash flow margin.
Compared to the immediately preceding quarter, revenue, operating cash flow, and free cash flow all moved lower, with operating cash flow shifting from positive to negative. Versus the same quarter one year earlier, revenue was slightly lower, while operating cash flow and free cash flow were more negative.
Monitor the trajectory of operating cash flow, as it turned negative this quarter after being positive in the prior quarter.