Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved compared to the same quarter one year earlier, driven by higher revenue and operating cash flow. Relative to the immediately preceding quarter, free cash flow was slightly lower despite a small increase in revenue.
- Revenue increased while operating cash flow decreased slightly from the prior quarter, resulting in a lower free cash flow margin. Compared to the year-ago quarter, operating cash flow and free cash flow margin both improved significantly.
- Compared to the prior quarter, free cash flow was lower and the free cash flow margin weakened, even though revenue was higher. Versus the same quarter last year, all metrics improved: revenue, operating cash flow, free cash flow, and margin were all higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$6.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$1.6B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$2.3B
Cash generated by operations before capital spending.
CapEx
$727.0M
Capital spending and related asset purchases.
FCF margin
28.4%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $5.7B | $2.5B | $875.0M | $1.6B | 28.9% |
| 2025-03-31 | $5.0B | $2.0B | $826.0M | $1.2B | 24.1% |
| 2025-06-30 | $5.3B | $2.4B | $674.0M | $1.7B | 32.2% |
| 2025-09-30 | $5.5B | $2.3B | $727.0M | $1.6B | 28.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 85.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 13.2% | Lower capital intensity usually supports FCF margin. |
| Net cash | $459.0M | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Revenue Growth
Revenue was higher than both the prior quarter and the year-ago quarter, providing a stronger base for cash generation. Operating cash flow improved year-over-year, supporting free cash flow growth.
Higher revenue was the strongest observable driver of improved free cash flow compared to the year-ago period.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased while operating cash flow decreased slightly from the prior quarter, resulting in a lower free cash flow margin. Compared to the year-ago quarter, operating cash flow and free cash flow margin both improved significantly.
Compared to the prior quarter, free cash flow was lower and the free cash flow margin weakened, even though revenue was higher. Versus the same quarter last year, all metrics improved: revenue, operating cash flow, free cash flow, and margin were all higher.
Monitor the relationship between operating cash flow and capital expenditure, as a slight decline in operating cash flow combined with higher capital expenditure reduced free cash flow sequentially.