Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved sharply from the prior quarter, driven by higher operating cash flow on similar revenue. Compared to the same quarter last year, free cash flow was lower despite unchanged revenue, as operating cash flow declined.
- Revenue was unchanged from a year ago, but operating cash flow was lower, resulting in a weakened free cash flow margin. The current quarter's free cash flow margin was higher than the prior quarter, reflecting a stronger conversion of revenue into cash after capital expenditure.
- Compared to the prior quarter, revenue, operating cash flow, and free cash flow all increased, with free cash flow margin rising sharply. Versus the same quarter last year, revenue was stable, but operating cash flow and free cash flow were lower, and free cash flow margin weakened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$921.7M
Trailing twelve-month free cash flow.
Quarter free cash flow
$959.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.1B
Cash generated by operations before capital spending.
CapEx
$183.2M
Capital spending and related asset purchases.
FCF margin
26.4%
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 |
|---|---|---|---|---|---|
| 2025-05-04 | $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% |
| 2026-02-01 | $3.6B | $1.1B | $183.2M | $959.7M | 26.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 163.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 5.0% | 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 increased substantially from the prior quarter, driving a large improvement in free cash flow. This was the strongest observable change in the current quarter.
Free cash flow margin rose from the prior quarter, reflecting better cash generation efficiency.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was unchanged from a year ago, but operating cash flow was lower, resulting in a weakened free cash flow margin. The current quarter's free cash flow margin was higher than the prior quarter, reflecting a stronger conversion of revenue into cash after capital expenditure.
Compared to the prior quarter, revenue, operating cash flow, and free cash flow all increased, with free cash flow margin rising sharply. Versus the same quarter last year, revenue was stable, but operating cash flow and free cash flow were lower, and free cash flow margin weakened.
Monitor the trend in operating cash flow relative to revenue, as it declined year-over-year despite flat revenue.