Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
In the current quarter, free cash flow turned positive as revenue rose and operating cash flow shifted from negative to positive, while capital expenditure was slightly higher than the prior quarter. Compared to both the immediately preceding quarter and the same quarter one year ago, all key cash flow metrics improved significantly.
- Revenue was higher than both the prior quarter and the year-ago quarter. Operating cash flow moved from negative to positive, and free cash flow followed the same pattern, resulting in a positive free cash flow margin that contrasted with the negative margins reported in the two comparison periods.
- Compared with the immediately preceding quarter, revenue was higher and operating cash flow improved from a negative to a positive figure, while free cash flow and free cash flow margin also improved. Relative to the same quarter one year earlier, revenue was higher and operating cash flow similarly improved from negative to positive, with free cash flow and margin also showing improvement.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.8B
Trailing twelve-month free cash flow.
Quarter free cash flow
$168.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$210.1M
Cash generated by operations before capital spending.
CapEx
$42.1M
Capital spending and related asset purchases.
FCF margin
4.2%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $3.9B | $568.7M | $31.3M | $537.4M | 13.8% |
| 2024-12-31 | $4.3B | $1.9B | $47.0M | $1.9B | 43.5% |
| 2025-03-31 | $3.7B | -$786.8M | $29.5M | -$816.3M | -22.1% |
| 2025-06-30 | $4.0B | $210.1M | $42.1M | $168.0M | 4.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 65.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.0% | 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 Reversal
Operating cash flow shifted from a large negative balance in the prior quarter to a positive amount in the current quarter, which was the primary factor turning free cash flow from negative to positive. Revenue also increased, providing additional support.
This reversal enabled the company to generate positive free cash flow in the quarter, a marked improvement from the negative free cash flow in both comparison periods.
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 year-ago quarter. Operating cash flow moved from negative to positive, and free cash flow followed the same pattern, resulting in a positive free cash flow margin that contrasted with the negative margins reported in the two comparison periods.
Compared with the immediately preceding quarter, revenue was higher and operating cash flow improved from a negative to a positive figure, while free cash flow and free cash flow margin also improved. Relative to the same quarter one year earlier, revenue was higher and operating cash flow similarly improved from negative to positive, with free cash flow and margin also showing improvement.
Monitor whether operating cash flow can sustain its positive trajectory, given that the two preceding quarters reported negative operating cash flow.