Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was higher than the prior quarter and the same quarter a year ago. Operating cash flow was lower than the prior quarter but higher than the year-ago quarter, while free cash flow followed a similar pattern.
- Revenue was higher than both the prior quarter and the year-ago quarter. Operating cash flow increased relative to a year ago but decreased from the immediately preceding quarter. Capital expenditure remained stable, resulting in free cash flow that was higher than the year-ago quarter but lower than the prior quarter. The free cash flow margin improved compared to a year ago but weakened versus the prior quarter.
- Compared to the prior quarter, free cash flow was lower despite higher revenue, driven by lower operating cash flow. Compared to the same quarter a year earlier, free cash flow was higher, supported by an improvement in operating cash flow.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$847.7M
Trailing twelve-month free cash flow.
Quarter free cash flow
$207.9M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$238.0M
Cash generated by operations before capital spending.
CapEx
$30.0M
Capital spending and related asset purchases.
FCF margin
20.8%
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 |
|---|---|---|---|---|---|
| 2024-06-30 | $1.0B | $248.3M | $33.3M | $215.0M | 21.4% |
| 2024-09-30 | $975.5M | $220.1M | $28.1M | $192.0M | 19.7% |
| 2024-12-31 | $954.3M | $262.0M | $29.3M | $232.8M | 24.4% |
| 2025-03-31 | $998.4M | $238.0M | $30.0M | $207.9M | 20.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 85.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.0% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$456.8M | 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 Year-over-Year
Operating cash flow was higher than the same quarter a year ago, which directly supported a higher free cash flow despite similar capital expenditure levels. This was the strongest observable driver for the year-over-year free cash flow increase.
The year-over-year improvement in operating cash flow was the primary factor behind the higher free cash flow in the current quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was higher than both the prior quarter and the year-ago quarter. Operating cash flow increased relative to a year ago but decreased from the immediately preceding quarter. Capital expenditure remained stable, resulting in free cash flow that was higher than the year-ago quarter but lower than the prior quarter. The free cash flow margin improved compared to a year ago but weakened versus the prior quarter.
Compared to the prior quarter, free cash flow was lower despite higher revenue, driven by lower operating cash flow. Compared to the same quarter a year earlier, free cash flow was higher, supported by an improvement in operating cash flow.
Monitor the change in cash and cash equivalents, which decreased compared to the prior quarter-end according to the balance sheet.