Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow and margin improved versus both the prior quarter and the same quarter last year, driven by stronger operating cash flow while capital expenditure was lower than a year ago.
- Revenue remained stable, while operating cash flow rose, leading to higher free cash flow and an expanded free cash flow margin.
- Compared with the prior quarter, free cash flow and margin improved despite higher capital expenditure. Versus the same quarter a year earlier, free cash flow and margin also improved and capital expenditure was lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$720.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.3B
Cash generated by operations before capital spending.
CapEx
$551.0M
Capital spending and related asset purchases.
FCF margin
23.2%
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 | $951.0M | $675.0M | $276.0M | 9.1% |
| 2025-03-31 | $3.0B | $950.0M | $449.0M | $501.0M | 16.7% |
| 2025-06-30 | $3.1B | $1.1B | $475.0M | $602.0M | 19.4% |
| 2025-09-30 | $3.1B | $1.3B | $551.0M | $720.0M | 23.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 101.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 17.8% | 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 Strength
Operating cash flow increased compared with both the prior quarter and the same quarter last year, providing the primary lift to free cash flow and margin.
The higher operating cash flow directly improved free cash flow and margin without requiring a change in revenue.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue remained stable, while operating cash flow rose, leading to higher free cash flow and an expanded free cash flow margin.
Compared with the prior quarter, free cash flow and margin improved despite higher capital expenditure. Versus the same quarter a year earlier, free cash flow and margin also improved and capital expenditure was lower.
Capital expenditure trends should be monitored, as the current quarter shows an increase from the prior period but a decrease from the year-ago level.