Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow turned strongly positive this quarter, driving a significant free cash flow margin. Revenue increased compared to both the prior quarter and the same quarter one year earlier, while capital expenditure remained low.
- Revenue was higher than the prior quarter, and operating cash flow shifted from negative to positive, while capital expenditure was lower. This resulted in a positive free cash flow and a substantial margin.
- Compared to the immediately preceding quarter, free cash flow improved from negative to positive. Versus the same quarter one year earlier, free cash flow also turned positive from negative, with revenue higher in both comparisons.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$511.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$821.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$823.0M
Cash generated by operations before capital spending.
CapEx
$2.0M
Capital spending and related asset purchases.
FCF margin
52.4%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $1.4B | $62.0M | $6.0M | $56.0M | 4.1% |
| 2024-12-31 | $1.1B | -$80.0M | $3.0M | -$83.0M | -7.7% |
| 2025-03-31 | $1.2B | -$279.0M | $4.0M | -$283.0M | -24.5% |
| 2025-06-30 | $1.6B | $823.0M | $2.0M | $821.0M | 52.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -2831.0% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.1% | 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 Turnaround
Operating cash flow improved from negative in both the prior quarter and the same quarter last year to positive this quarter, contributing to a strong free cash flow margin.
The positive operating cash flow was the primary factor behind the current quarter's free cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was higher than the prior quarter, and operating cash flow shifted from negative to positive, while capital expenditure was lower. This resulted in a positive free cash flow and a substantial margin.
Compared to the immediately preceding quarter, free cash flow improved from negative to positive. Versus the same quarter one year earlier, free cash flow also turned positive from negative, with revenue higher in both comparisons.
The sustainability of the positive operating cash flow is a key item to monitor, given the seasonal nature of the business noted in the filing.