Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved compared to both the prior quarter and the same quarter last year, driven by higher operating cash flow. The free cash flow margin strengthened sequentially and year-over-year.
- Revenue was stable sequentially and slightly lower year-over-year, while operating cash flow increased significantly from the year-ago quarter. Capital expenditure rose from both comparison periods, but free cash flow still improved, resulting in a higher free cash flow margin.
- Compared to the immediately preceding quarter, free cash flow and free cash flow margin were lower, as operating cash flow decreased and capital expenditure increased. Compared to the same quarter one year earlier, free cash flow and free cash flow margin were higher, with operating cash flow higher and capital expenditure slightly higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$249.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$428.0M
Cash generated by operations before capital spending.
CapEx
$179.0M
Capital spending and related asset purchases.
FCF margin
6.7%
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 |
|---|---|---|---|---|---|
| 2024-06-30 | $4.0B | $440.0M | $90.0M | $350.0M | 8.8% |
| 2024-09-29 | $3.9B | $249.0M | $59.0M | $190.0M | 4.9% |
| 2024-12-29 | $3.7B | $793.0M | $132.0M | $661.0M | 18.1% |
| 2025-03-30 | $3.7B | $428.0M | $179.0M | $249.0M | 6.7% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 77.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 4.8% | 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 Improvement
Operating cash flow was higher year-over-year, which the filing attributes primarily to net changes in working capital balances, including timing of payments, value-added tax receivables, and sales relative to collections.
This was the strongest observable driver of the year-over-year free cash flow improvement.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was stable sequentially and slightly lower year-over-year, while operating cash flow increased significantly from the year-ago quarter. Capital expenditure rose from both comparison periods, but free cash flow still improved, resulting in a higher free cash flow margin.
Compared to the immediately preceding quarter, free cash flow and free cash flow margin were lower, as operating cash flow decreased and capital expenditure increased. Compared to the same quarter one year earlier, free cash flow and free cash flow margin were higher, with operating cash flow higher and capital expenditure slightly higher.
Monitor the trend in capital expenditure, as it increased from both the prior quarter and the year-ago quarter.