NF
NFLX
Jun 30, 2025
Quarter ended Jun 30, 2025 · FY2025 Q2

Netflix, Inc. stock research

Netflix (NFLX) Free Cash Flow — Quarter Ended Jun 30, 2025

Revenue rose from both the prior quarter and the year-ago quarter. Free cash flow margin weakened sequentially but improved sharply from the same quarter last year.

Free cash flow takeaway

A quick read on the company's cash generation and what it means for investors.

Revenue rose from both the prior quarter and the year-ago quarter. Free cash flow margin weakened sequentially but improved sharply from the same quarter last year.

  • Operating cash flow was higher than capital expenditure, resulting in positive free cash flow. The free cash flow margin was solid, though lower than the immediate prior quarter.
  • Compared to the prior quarter, operating cash flow and free cash flow were lower, and the free cash flow margin weakened. Versus the same quarter last year, all cash flow metrics were higher and the margin improved.

FCF snapshot

Quarterly and TTM cash-flow metrics with the minimum valuation context.

TTM free cash flow

$8.5B

Trailing twelve-month free cash flow.

Quarter free cash flow

$2.3B

Free cash flow in the selected fiscal quarter.

Operating cash flow

$2.4B

Cash generated by operations before capital spending.

CapEx

$155.9M

Capital spending and related asset purchases.

FCF margin

20.5%

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.

PeriodRevenueOperating CFCapExFCFFCF margin
2024-09-30$9.8B$2.3B$126.9M$2.2B22.3%
2024-12-31$10.2B$1.5B$158.7M$1.4B13.5%
2025-03-31$10.5B$2.8B$128.3M$2.7B25.2%
2025-06-30$11.1B$2.4B$155.9M$2.3B20.5%

Cash conversion quality

Checks that separate high-quality free cash flow from accounting noise or working-capital timing.

FCF / net income72.5%Shows whether accounting earnings convert into cash.
CapEx / revenue1.4%Lower capital intensity usually supports FCF margin.
Net cashn/aCash and equivalents minus total debt.

Recent events shaping cash flow

Near-term business events that help explain the free cash flow result.

Supportive

Year-over-year cash flow expansion

Operating cash flow and free cash flow were substantially higher than the same quarter last year, driving a notable improvement in free cash flow margin.

This year-over-year strengthening in cash generation supports the company's financial flexibility.

What the cash flow says

How to interpret the company's free cash flow beyond the headline number.

Operating cash flow was higher than capital expenditure, resulting in positive free cash flow. The free cash flow margin was solid, though lower than the immediate prior quarter.

Compared to the prior quarter, operating cash flow and free cash flow were lower, and the free cash flow margin weakened. Versus the same quarter last year, all cash flow metrics were higher and the margin improved.

Monitor the trend in operating cash flow relative to revenue, as it declined sequentially despite higher revenue.