Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased compared to both the prior quarter and the same quarter last year. However, operating cash flow decreased, leading to a lower free cash flow and a narrower free cash flow margin.
- Operating cash flow as a percentage of revenue declined, as revenue growth outpaced cash generation. Capital expenditure was slightly lower than both comparison periods, but the drop in operating cash flow drove free cash flow lower.
- Compared to the prior quarter, free cash flow and its margin were lower, while revenue was higher. Versus the same quarter last year, free cash flow was also lower despite higher revenue, and the margin contracted.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$82.4M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$249.9M
Cash generated by operations before capital spending.
CapEx
$167.4M
Capital spending and related asset purchases.
FCF margin
3.2%
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 |
|---|---|---|---|---|---|
| 2025-02-02 | $3.6B | $1.4B | $235.0M | $1.2B | 32.3% |
| 2025-05-04 | $2.4B | -$119.0M | $152.3M | -$271.2M | -11.4% |
| 2025-08-03 | $2.5B | $328.7M | $177.9M | $150.8M | 6.0% |
| 2025-11-02 | $2.6B | $249.9M | $167.4M | $82.4M | 3.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 26.9% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 6.5% | 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.
Cash Conversion Efficiency
Revenue increased but operating cash flow fell, indicating lower cash conversion efficiency. This was the primary factor behind the decline in free cash flow and margin.
Free cash flow margin contracted by a notable amount compared to both prior periods.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow as a percentage of revenue declined, as revenue growth outpaced cash generation. Capital expenditure was slightly lower than both comparison periods, but the drop in operating cash flow drove free cash flow lower.
Compared to the prior quarter, free cash flow and its margin were lower, while revenue was higher. Versus the same quarter last year, free cash flow was also lower despite higher revenue, and the margin contracted.
Monitor the trend in operating cash flow relative to revenue, as the gap widened this quarter.