Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue, operating cash flow, and free cash flow all increased compared to both the prior quarter and the same quarter a year ago. The free cash flow margin strengthened relative to the prior year period.
- Operating cash flow increased more than revenue from both comparative periods, while capital expenditure was moderately higher than the prior quarter but similar to a year ago. This resulted in higher free cash flow and an improved free cash flow margin.
- Revenue, operating cash flow, and free cash flow were all higher than the prior quarter and the same quarter a year ago. The free cash flow margin was slightly above the prior quarter and notably higher than the year-ago quarter.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$116.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
$41.3M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$50.7M
Cash generated by operations before capital spending.
CapEx
$9.4M
Capital spending and related asset purchases.
FCF margin
22.6%
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 |
|---|---|---|---|---|---|
| 2024-06-30 | $177.4M | $27.2M | $9.9M | $17.4M | 9.8% |
| 2024-09-30 | $168.6M | $31.6M | $9.6M | $22.0M | 13.0% |
| 2024-12-31 | $161.7M | $42.6M | $6.7M | $35.9M | 22.2% |
| 2025-03-31 | $183.1M | $50.7M | $9.4M | $41.3M | 22.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 806.0% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 5.1% | 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 growth
Revenue increased compared to both prior periods, and operating cash flow rose even more proportionally, providing the primary lift to free cash flow.
The improvement in operating cash flow was the strongest observable driver of the increase in free cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow increased more than revenue from both comparative periods, while capital expenditure was moderately higher than the prior quarter but similar to a year ago. This resulted in higher free cash flow and an improved free cash flow margin.
Revenue, operating cash flow, and free cash flow were all higher than the prior quarter and the same quarter a year ago. The free cash flow margin was slightly above the prior quarter and notably higher than the year-ago quarter.
Monitor the cash outflow related to the acquisition of Formation Nation and its effect on future free cash flow.