Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue declined from both the prior quarter and the same quarter last year. Operating cash flow turned negative compared to a year ago but improved from the preceding quarter, leading to a less negative free cash flow margin.
- Operating cash flow was negative, and capital expenditure exceeded it, resulting in negative free cash flow. The free cash flow margin was negative, which was an improvement from the prior quarter but a decline from the positive margin a year ago.
- Compared to the preceding quarter, operating cash flow was less negative and free cash flow margin improved, despite higher capital expenditure. Compared to the same quarter one year earlier, all cash flow metrics turned from positive to negative, and free cash flow margin weakened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$88.2M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$5.1M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$2.4M
Cash generated by operations before capital spending.
CapEx
$2.7M
Capital spending and related asset purchases.
FCF margin
-4.6%
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 | $111.4M | -$23.3M | $723000 | -$24.1M | -21.6% |
| 2024-09-30 | $116.1M | -$41.0M | $426000 | -$41.4M | -35.7% |
| 2024-12-31 | $120.7M | -$17.3M | $284000 | -$17.6M | -14.6% |
| 2025-03-31 | $111.1M | -$2.4M | $2.7M | -$5.1M | -4.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 0.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.5% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$8.1B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Reduction in operating cash outflow
Operating cash flow moved from a larger deficit in the prior quarter to a smaller deficit, while capital expenditure increased. This shift drove the improvement in free cash flow.
The narrower negative free cash flow margin reduced the cash burn rate compared to the prior quarter, but the year-over-year reversal remains a point of attention.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was negative, and capital expenditure exceeded it, resulting in negative free cash flow. The free cash flow margin was negative, which was an improvement from the prior quarter but a decline from the positive margin a year ago.
Compared to the preceding quarter, operating cash flow was less negative and free cash flow margin improved, despite higher capital expenditure. Compared to the same quarter one year earlier, all cash flow metrics turned from positive to negative, and free cash flow margin weakened.
Monitor the collection of accounts receivable, which the filing identifies as a principal source of liquidity, as it directly influences operating cash flow.