Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable compared to the year-ago quarter. Operating cash flow and free cash flow improved sequentially but declined from the same period last year.
- Free cash flow margin strengthened from the preceding quarter as operating cash flow increased and capital expenditure edged lower. The margin remained below the year-ago level.
- Compared to the preceding quarter, free cash flow improved significantly, driven by higher operating cash flow. Versus the year-ago quarter, free cash flow weakened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$573.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$770.0M
Cash generated by operations before capital spending.
CapEx
$197.0M
Capital spending and related asset purchases.
FCF margin
13.8%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $4.1B | $958.0M | $160.0M | $798.0M | 19.3% |
| 2024-12-31 | $4.1B | $817.0M | $209.0M | $608.0M | 14.8% |
| 2025-03-31 | $4.1B | $327.0M | $204.0M | $123.0M | 3.0% |
| 2025-06-30 | $4.2B | $770.0M | $197.0M | $573.0M | 13.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 112.6% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 4.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | n/a | 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 rose sharply from the prior quarter, providing the primary lift to free cash flow. The improvement partially offset the year-over-year weakness.
This driver reversed the sequential decline in free cash flow seen in the preceding quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Free cash flow margin strengthened from the preceding quarter as operating cash flow increased and capital expenditure edged lower. The margin remained below the year-ago level.
Compared to the preceding quarter, free cash flow improved significantly, driven by higher operating cash flow. Versus the year-ago quarter, free cash flow weakened.
Monitor the sustainability of operating cash flow given its sequential recovery but year-over-year decline.