Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
This quarter's free cash flow was higher than both the prior quarter and the same quarter last year, driven by a substantial increase in operating cash flow. The free cash flow margin improved from the prior quarter but was slightly lower than a year ago.
- Revenue was higher than both the prior quarter and the same quarter last year. Operating cash flow increased substantially from the prior quarter and was slightly higher than a year ago, resulting in a higher free cash flow. Capital expenditure was also higher than both comparison periods.
- Compared to the prior quarter, operating cash flow and free cash flow improved markedly, while the margin strengthened. Compared to the same quarter last year, operating cash flow and free cash flow were slightly higher, but the margin was slightly lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$732.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$798.0M
Cash generated by operations before capital spending.
CapEx
$66.0M
Capital spending and related asset purchases.
FCF margin
24.3%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $3.0B | $1.1B | $86.0M | $984.0M | 32.7% |
| 2025-03-29 | $2.5B | $510.0M | $37.0M | $473.0M | 18.7% |
| 2025-06-28 | $2.8B | $273.0M | $48.0M | $225.0M | 8.1% |
| 2025-09-27 | $3.0B | $798.0M | $66.0M | $732.0M | 24.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 130.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.2% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$7.5B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Strong operating cash flow
Operating cash flow was substantially higher than the prior quarter and slightly higher than a year ago, supported by higher earnings as indicated in the filing.
This drove a significant improvement in free cash flow compared to the prior quarter and maintained a level similar to the year-ago quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was higher than both the prior quarter and the same quarter last year. Operating cash flow increased substantially from the prior quarter and was slightly higher than a year ago, resulting in a higher free cash flow. Capital expenditure was also higher than both comparison periods.
Compared to the prior quarter, operating cash flow and free cash flow improved markedly, while the margin strengthened. Compared to the same quarter last year, operating cash flow and free cash flow were slightly higher, but the margin was slightly lower.
Monitor the impact of the acquisition of Silvus, which resulted in significant cash used in investing activities during the first nine months of the fiscal year.