Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow improved sharply versus both the prior quarter and the year-ago quarter, driving a swing from negative to positive free cash flow. The free cash flow margin turned positive after two consecutive negative quarters.
- Revenue increased compared with both the prior quarter and the year-ago quarter. Operating cash flow rose more than proportionally, and capital expenditure declined, resulting in positive free cash flow and a positive margin.
- Compared with the immediately preceding quarter, revenue, operating cash flow, and free cash flow all improved, while capital expenditure was lower. Versus the same quarter one year earlier, revenue and operating cash flow were higher, capital expenditure was lower, and free cash flow turned from negative to positive.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$690.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$421.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.0B
Cash generated by operations before capital spending.
CapEx
$628.0M
Capital spending and related asset purchases.
FCF margin
13.1%
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 |
|---|---|---|---|---|---|
| 2024-06-30 | $2.4B | $482.0M | $837.0M | -$355.0M | -14.7% |
| 2024-09-30 | $2.6B | $623.0M | $768.0M | -$145.0M | -5.5% |
| 2024-12-31 | $2.5B | $367.0M | $978.0M | -$611.0M | -24.8% |
| 2025-03-31 | $3.2B | $1.0B | $628.0M | $421.0M | 13.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 71.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 19.5% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$22.1B | 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 substantially from both the prior quarter and the year-ago quarter, outpacing revenue growth. This was the strongest observable driver of the positive free cash flow.
Higher operating cash flow, combined with lower capital expenditure, converted free cash flow from negative to positive.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased compared with both the prior quarter and the year-ago quarter. Operating cash flow rose more than proportionally, and capital expenditure declined, resulting in positive free cash flow and a positive margin.
Compared with the immediately preceding quarter, revenue, operating cash flow, and free cash flow all improved, while capital expenditure was lower. Versus the same quarter one year earlier, revenue and operating cash flow were higher, capital expenditure was lower, and free cash flow turned from negative to positive.
Monitor whether capital expenditure remains at a lower level relative to the prior two quarters, as it was a key factor in the free cash flow improvement.