Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow and free cash flow improved markedly from the prior quarter, with free cash flow margin rising to a level above both the prior quarter and the same quarter last year. Revenue was stable compared to a year earlier and higher than the preceding quarter.
- Revenue increased from the prior quarter while operating cash flow grew substantially, leading to a higher free cash flow after a moderate increase in capital expenditure. The free cash flow margin improved significantly compared to both the prior quarter and the year-ago period.
- Compared to the immediately preceding quarter, operating cash flow and free cash flow were much higher, and the margin strengthened. Versus the same quarter one year earlier, free cash flow and margin were slightly higher, while revenue was similar.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$785.3M
Trailing twelve-month free cash flow.
Quarter free cash flow
$220.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$260.6M
Cash generated by operations before capital spending.
CapEx
$39.9M
Capital spending and related asset purchases.
FCF margin
14.9%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $1.4B | $227.0M | $38.2M | $188.8M | 13.1% |
| 2024-12-31 | $1.3B | $432.4M | $68.0M | $364.4M | 27.3% |
| 2025-03-31 | $1.4B | $37.4M | $26.0M | $11.4M | 0.8% |
| 2025-06-30 | $1.5B | $260.6M | $39.9M | $220.7M | 14.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 90.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.1B | 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 recovery
Operating cash flow increased sharply from the prior quarter, driving a substantial improvement in free cash flow and margin despite a higher capital expenditure.
The quarter's cash generation was significantly stronger than the prior period and modestly ahead of the year-ago level.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased from the prior quarter while operating cash flow grew substantially, leading to a higher free cash flow after a moderate increase in capital expenditure. The free cash flow margin improved significantly compared to both the prior quarter and the year-ago period.
Compared to the immediately preceding quarter, operating cash flow and free cash flow were much higher, and the margin strengthened. Versus the same quarter one year earlier, free cash flow and margin were slightly higher, while revenue was similar.
Monitor the impact of working capital changes, particularly accounts receivable and payable timing, as noted in the filing.