Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow increased, leading to higher free cash flow and an improved free cash flow margin compared to both the prior quarter and the same quarter last year. Cash generation strengthened across all key metrics.
- Operating cash flow as a proportion of revenue was higher, and after deducting capital expenditure, free cash flow also increased. The free cash flow margin improved, reflecting stronger cash conversion from revenue.
- Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin were all higher. Year-over-year comparisons also showed improvements across the same metrics.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$530.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$654.0M
Cash generated by operations before capital spending.
CapEx
$124.0M
Capital spending and related asset purchases.
FCF margin
24.4%
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 |
|---|---|---|---|---|---|
| 2025-03-31 | $1.9B | $253.0M | $119.0M | $134.0M | 6.9% |
| 2025-06-30 | $2.1B | $446.0M | $102.0M | $344.0M | 16.8% |
| 2025-09-30 | $2.1B | $531.0M | $108.0M | $423.0M | 20.2% |
| 2025-12-31 | $2.2B | $654.0M | $124.0M | $530.0M | 24.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 142.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 5.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$2.3B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Strong free cash flow improvement
Free cash flow and its margin reached their highest levels among the reported periods, with revenue and operating cash flow also increasing.
The higher free cash flow enhances the company's financial flexibility for operations and strategic initiatives.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow as a proportion of revenue was higher, and after deducting capital expenditure, free cash flow also increased. The free cash flow margin improved, reflecting stronger cash conversion from revenue.
Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin were all higher. Year-over-year comparisons also showed improvements across the same metrics.
Monitor the planned financing for the proposed CAM acquisition noted in the filing, as it may affect future capital allocation and cash flow.