Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and free cash flow were higher than the preceding quarter, while free cash flow was similar to the same quarter one year earlier. The free cash flow margin improved sequentially but was lower than the year-ago level.
- Operating cash flow increased from the preceding quarter and remained steady compared to the same quarter last year. Capital expenditure was higher in both comparisons, yet free cash flow rose sequentially and matched the year-ago figure, resulting in a free cash flow margin that was higher than the prior quarter but lower than the prior year.
- Revenue was higher than both the preceding quarter and the same quarter one year earlier. Operating cash flow was higher than the preceding quarter and unchanged from the year-ago quarter, while capital expenditure increased in both periods.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$3.7B
Trailing twelve-month free cash flow.
Quarter free cash flow
$1.1B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.2B
Cash generated by operations before capital spending.
CapEx
$75.0M
Capital spending and related asset purchases.
FCF margin
38.7%
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 |
|---|---|---|---|---|---|
| 2023-09-30 | $2.4B | $768.0M | $43.0M | $725.0M | 29.8% |
| 2023-12-31 | $2.7B | $969.0M | $86.0M | $883.0M | 33.1% |
| 2024-03-31 | $2.8B | $1.0B | $58.0M | $951.0M | 34.0% |
| 2024-06-30 | $2.9B | $1.2B | $75.0M | $1.1B | 38.7% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 177.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.6% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$20.9B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Revenue Growth
Revenue was higher compared to both the preceding quarter and the same quarter one year earlier, which supported an increase in operating cash flow and free cash flow relative to the prior quarter.
The higher revenue was the primary observable factor behind the sequential improvement in free cash flow and margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow increased from the preceding quarter and remained steady compared to the same quarter last year. Capital expenditure was higher in both comparisons, yet free cash flow rose sequentially and matched the year-ago figure, resulting in a free cash flow margin that was higher than the prior quarter but lower than the prior year.
Revenue was higher than both the preceding quarter and the same quarter one year earlier. Operating cash flow was higher than the preceding quarter and unchanged from the year-ago quarter, while capital expenditure increased in both periods.
Monitor the effect of equity method investment losses, primarily related to Bakkt, which are partially offset by profits from OCC, as discussed in the filing.