Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Current quarter free cash flow turned positive from a year ago, driven by a substantial improvement in operating cash flow. Revenue was slightly lower than the prior year, while capital expenditure declined.
- Revenue was lower than the prior year, but operating cash flow improved significantly, leading to positive free cash flow. The free cash flow margin turned positive, compared to negative a year ago.
- Compared to the immediately preceding quarter, operating cash flow, capital expenditure, and free cash flow were all lower, resulting in a lower free cash flow margin. Versus the same quarter a year ago, operating cash flow and free cash flow improved, while revenue was slightly lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$400.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$92.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$257.0M
Cash generated by operations before capital spending.
CapEx
$165.0M
Capital spending and related asset purchases.
FCF margin
3.4%
The share of revenue converted into free cash flow.
TTM FCF yield
2.1%
TTM FCF divided by market capitalization.
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 |
|---|---|---|---|---|---|
| 2025-06-30 | $2.8B | $241.0M | $95.0M | $146.0M | 5.3% |
| 2025-09-30 | $2.7B | $164.0M | $132.0M | $32.0M | 1.2% |
| 2025-12-31 | $2.6B | $318.0M | $188.0M | $130.0M | 5.0% |
| 2026-03-31 | $2.7B | $257.0M | $165.0M | $92.0M | 3.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 54.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 6.0% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$5.3B | 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 significantly from the year-ago quarter, turning free cash flow positive despite a slight decline in revenue.
The improvement in cash generation from operations was the primary factor behind the swing to positive free cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was lower than the prior year, but operating cash flow improved significantly, leading to positive free cash flow. The free cash flow margin turned positive, compared to negative a year ago.
Compared to the immediately preceding quarter, operating cash flow, capital expenditure, and free cash flow were all lower, resulting in a lower free cash flow margin. Versus the same quarter a year ago, operating cash flow and free cash flow improved, while revenue was slightly lower.
Monitor the level of capital expenditure relative to operating cash flow, as it absorbed a notable portion of cash generated from operations.
Valuation context
A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.
| Market capitalization | $19.1B | Used as the denominator for FCF yield. |
| TTM FCF yield | 2.1% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | 60.9x | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.