Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable sequentially, but operating cash flow turned positive from a negative prior quarter, leading to a smaller free cash flow deficit. Compared to the same quarter last year, revenue and operating cash flow were lower, resulting in a negative free cash flow versus a positive one.
- Operating cash flow was well below revenue, while capital expenditure exceeded operating cash flow, resulting in negative free cash flow. The free cash flow margin turned negative, reflecting insufficient operating cash generation to cover investment outlays.
- Sequentially, revenue was stable, but operating cash flow improved from negative to positive, significantly reducing the free cash flow deficit and improving the margin. Versus the year-ago quarter, revenue was lower, operating cash flow weakened sharply, and free cash flow swung from positive to negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$463.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$188.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$351.0M
Cash generated by operations before capital spending.
CapEx
$539.0M
Capital spending and related asset purchases.
FCF margin
-2.5%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $8.6B | $670.0M | $368.0M | $302.0M | 3.5% |
| 2024-12-31 | $7.8B | $1.9B | $504.0M | $1.4B | 18.1% |
| 2025-03-31 | $7.7B | -$579.0M | $483.0M | -$1.1B | -13.8% |
| 2025-06-30 | $7.7B | $351.0M | $539.0M | -$188.0M | -2.5% |
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 | 7.0% | 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 vs. Capital Expenditure
Operating cash flow improved sequentially from negative to positive, but remained well below the level needed to fund capital expenditure, resulting in negative free cash flow. This dynamic is the strongest observable factor in the cash conversion trend.
The gap between operating cash flow and capital expenditure narrowed sequentially but remains significant, keeping free cash flow negative.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was well below revenue, while capital expenditure exceeded operating cash flow, resulting in negative free cash flow. The free cash flow margin turned negative, reflecting insufficient operating cash generation to cover investment outlays.
Sequentially, revenue was stable, but operating cash flow improved from negative to positive, significantly reducing the free cash flow deficit and improving the margin. Versus the year-ago quarter, revenue was lower, operating cash flow weakened sharply, and free cash flow swung from positive to negative.
Monitor whether operating cash flow can sustain a level sufficient to fully cover capital expenditure in upcoming quarters.