Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable versus the prior quarter and higher than a year ago. Free cash flow and free cash flow margin improved sequentially and were substantially higher year over year.
- Operating cash flow increased sharply from the prior quarter and from the same quarter last year, while capital expenditure was lower in both comparisons. The resulting free cash flow rose accordingly, and free cash flow margin expanded significantly.
- Compared to the immediately preceding quarter, revenue was stable, operating cash flow and free cash flow were higher, and free cash flow margin improved. Compared to the same quarter one year earlier, revenue was higher, operating cash flow and free cash flow were substantially higher, and free cash flow margin strengthened markedly.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.3B
Trailing twelve-month free cash flow.
Quarter free cash flow
$457.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$484.0M
Cash generated by operations before capital spending.
CapEx
$27.0M
Capital spending and related asset purchases.
FCF margin
35.0%
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 |
|---|---|---|---|---|---|
| 2024-07-31 | $1.2B | $255.0M | $33.0M | $222.0M | 18.2% |
| 2024-10-31 | $1.3B | $359.0M | $38.0M | $321.0M | 24.9% |
| 2025-01-31 | $1.3B | $378.0M | $32.0M | $346.0M | 26.7% |
| 2025-04-30 | $1.3B | $484.0M | $27.0M | $457.0M | 35.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 177.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.1% | Lower capital intensity usually supports FCF margin. |
| Net cash | $586.0M | 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 Strength
Operating cash flow rose sequentially and year over year, while capital expenditure remained relatively contained. This combination lifted free cash flow and free cash flow margin to levels well above both prior periods.
The higher operating cash flow was the strongest observable driver of the quarter's free cash flow improvement.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow increased sharply from the prior quarter and from the same quarter last year, while capital expenditure was lower in both comparisons. The resulting free cash flow rose accordingly, and free cash flow margin expanded significantly.
Compared to the immediately preceding quarter, revenue was stable, operating cash flow and free cash flow were higher, and free cash flow margin improved. Compared to the same quarter one year earlier, revenue was higher, operating cash flow and free cash flow were substantially higher, and free cash flow margin strengthened markedly.
Monitor the trajectory of operating cash flow, as it drove the improvement in free cash flow and margin this quarter.