Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
In the current quarter, free cash flow and margin improved compared to both the prior quarter and the same quarter last year, driven by a higher operating cash flow relative to revenue. Capital expenditure was slightly higher than the prior quarter but remained stable compared to the year-ago period.
- Revenue increased while operating cash flow rose more sharply, resulting in a higher free cash flow margin. The conversion of revenue into cash improved notably.
- Compared to the immediately preceding quarter, free cash flow and margin were higher. Versus the same quarter one year earlier, both metrics also improved.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$573.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$338.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$381.0M
Cash generated by operations before capital spending.
CapEx
$43.0M
Capital spending and related asset purchases.
FCF margin
9.8%
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 |
|---|---|---|---|---|---|
| 2025-03-29 | $3.2B | $37.0M | $31.0M | $6.0M | 0.2% |
| 2025-06-28 | $3.2B | $120.0M | $32.0M | $88.0M | 2.7% |
| 2025-09-27 | $3.3B | $174.0M | $33.0M | $141.0M | 4.2% |
| 2025-12-27 | $3.4B | $381.0M | $43.0M | $338.0M | 9.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 334.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.3% | 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 Improvement
Operating cash flow was higher than both the prior quarter and the year-ago quarter, leading to a stronger free cash flow and margin. This improvement occurred without a proportional increase in capital spending.
The stronger cash generation from operations directly supported higher free cash flow and an improved margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased while operating cash flow rose more sharply, resulting in a higher free cash flow margin. The conversion of revenue into cash improved notably.
Compared to the immediately preceding quarter, free cash flow and margin were higher. Versus the same quarter one year earlier, both metrics also improved.
Monitor the impact of working capital requirements, particularly inventory forward buy-in opportunities and payment terms, as noted in the filing.