Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Current quarter free cash flow was negative, with a weakened margin compared to both the prior quarter and the same quarter last year. The decline was driven by operating cash flow turning negative despite revenue being higher than the year-ago quarter.
- Operating cash flow was negative, resulting in negative free cash flow after capital expenditures. The free cash flow margin was lower than the prior quarter and the year-ago quarter.
- Sequentially, revenue and operating cash flow were much lower, while free cash flow swung from positive to negative. Compared to the same quarter last year, revenue was higher but operating cash flow was more negative, leading to a larger free cash flow deficit.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$194.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$95.0M
Cash generated by operations before capital spending.
CapEx
$99.0M
Capital spending and related asset purchases.
FCF margin
-3.4%
The share of revenue converted into free cash flow.
TTM FCF yield
4.8%
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 |
|---|---|---|---|---|---|
| 2025-06-27 | $5.4B | $640.0M | $88.0M | $552.0M | 10.2% |
| 2025-10-03 | $5.7B | $546.0M | $119.0M | $427.0M | 7.5% |
| 2026-01-02 | $21.9B | $2.0B | $158.0M | $1.8B | 8.3% |
| 2026-04-03 | $5.7B | -$95.0M | $99.0M | -$194.0M | -3.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -37.9% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.7% | 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.
Negative operating cash flow
Operating cash flow turned negative this quarter, contrasting with a positive level in the prior quarter and a smaller negative in the year-ago quarter. This shift outweighed the lower capital expenditure compared to the prior quarter.
The negative operating cash flow was the primary reason for the free cash flow deficit, more than offsetting any benefit from lower capital spending.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was negative, resulting in negative free cash flow after capital expenditures. The free cash flow margin was lower than the prior quarter and the year-ago quarter.
Sequentially, revenue and operating cash flow were much lower, while free cash flow swung from positive to negative. Compared to the same quarter last year, revenue was higher but operating cash flow was more negative, leading to a larger free cash flow deficit.
Monitor the trajectory of operating cash flow, as it remains a key factor in achieving positive free cash flow.
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 | $53.8B | Used as the denominator for FCF yield. |
| TTM FCF yield | 4.8% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | n/a | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.