Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased compared to both the prior quarter and the same quarter last year. However, operating cash flow turned sharply lower from the prior quarter, and free cash flow remained negative, though less negative than a year ago.
- Operating cash flow was a small fraction of revenue, resulting in a negative free cash flow margin. Capital expenditure exceeded operating cash flow, driving free cash flow into negative territory.
- Compared to the prior quarter, revenue was lower while operating cash flow and free cash flow both weakened significantly. Versus the same quarter last year, revenue was higher and free cash flow improved, though still negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$406.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$41.0M
Cash generated by operations before capital spending.
CapEx
$447.0M
Capital spending and related asset purchases.
FCF margin
-2.1%
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 |
|---|---|---|---|---|---|
| 2025-03-22 | $17.9B | -$973.0M | $603.0M | -$1.6B | -8.8% |
| 2025-06-14 | $22.7B | $2.0B | $904.0M | $1.1B | 4.7% |
| 2025-09-06 | $23.9B | $4.5B | $992.0M | $3.5B | 14.5% |
| 2026-03-21 | $19.4B | $41.0M | $447.0M | -$406.0M | -2.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -17.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.3% | 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 Weakness
Operating cash flow was substantially lower than the prior quarter and only a small positive amount relative to revenue. This was the primary factor behind the negative free cash flow.
The weak operating cash flow, combined with capital expenditure, resulted in a negative free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was a small fraction of revenue, resulting in a negative free cash flow margin. Capital expenditure exceeded operating cash flow, driving free cash flow into negative territory.
Compared to the prior quarter, revenue was lower while operating cash flow and free cash flow both weakened significantly. Versus the same quarter last year, revenue was higher and free cash flow improved, though still negative.
Monitor whether operating cash flow can recover to a level that covers capital expenditure, given the current negative free cash flow.