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.
- Operating cash flow was higher than capital expenditure, resulting in positive free cash flow. The conversion of revenue into free cash flow improved.
- Compared to the immediately preceding quarter, free cash flow was higher and the margin improved. Versus the same quarter one year earlier, both free cash flow and margin were also higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$7.7B
Trailing twelve-month free cash flow.
Quarter free cash flow
$964.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.6B
Cash generated by operations before capital spending.
CapEx
$603.0M
Capital spending and related asset purchases.
FCF margin
4.7%
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 |
|---|---|---|---|---|---|
| 2025-05-02 | $20.9B | $3.4B | $518.0M | $2.9B | 13.7% |
| 2025-08-01 | $24.0B | $4.2B | $495.0M | $3.7B | 15.6% |
| 2025-10-31 | $20.8B | $687.0M | $597.0M | $90.0M | 0.4% |
| 2026-01-30 | $20.6B | $1.6B | $603.0M | $964.0M | 4.7% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 96.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.9% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$38.8B | 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 was higher than both the prior quarter and the year-ago quarter, while capital expenditure was relatively stable.
This drove a notable improvement in free cash flow and margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was higher than capital expenditure, resulting in positive free cash flow. The conversion of revenue into free cash flow improved.
Compared to the immediately preceding quarter, free cash flow was higher and the margin improved. Versus the same quarter one year earlier, both free cash flow and margin were also higher.
Monitor the level of capital expenditure relative to operating cash flow, as it remained similar to prior periods.