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 prior quarter, driven by higher operating cash flow, while capital expenditure increased. The free cash flow margin was stable relative to the same quarter last year.
- Revenue was unchanged from the prior quarter, but operating cash flow rose, leading to higher free cash flow and a slightly improved free cash flow margin. Capital expenditure increased, partially offsetting the cash flow gain.
- Compared to the prior quarter, free cash flow and operating cash flow were higher, while capital expenditure also increased. Versus the same quarter last year, revenue and operating cash flow were higher, but free cash flow margin was slightly lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$3.0B
Trailing twelve-month free cash flow.
Quarter free cash flow
$560.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$628.0M
Cash generated by operations before capital spending.
CapEx
$68.0M
Capital spending and related asset purchases.
FCF margin
24.5%
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.
| Period | Revenue | Operating CF | CapEx | FCF | FCF margin |
|---|---|---|---|---|---|
| 2024-07-31 | $2.2B | $512.7M | $47.4M | $465.3M | 21.3% |
| 2024-10-31 | $2.1B | $1.5B | $44.0M | $1.5B | 68.5% |
| 2025-01-31 | $2.3B | $557.0M | $48.0M | $509.0M | 22.6% |
| 2025-04-30 | $2.3B | $628.0M | $68.0M | $560.0M | 24.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 213.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.0% | 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 Growth
Operating cash flow increased compared to both the prior quarter and the same quarter last year, providing the primary support for the improvement in free cash flow.
Higher operating cash flow directly boosted free cash flow despite an increase in capital expenditure.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was unchanged from the prior quarter, but operating cash flow rose, leading to higher free cash flow and a slightly improved free cash flow margin. Capital expenditure increased, partially offsetting the cash flow gain.
Compared to the prior quarter, free cash flow and operating cash flow were higher, while capital expenditure also increased. Versus the same quarter last year, revenue and operating cash flow were higher, but free cash flow margin was slightly lower.
Monitor the trend in capital expenditure, as it increased from both the prior quarter and the year-ago quarter.