Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow both improved versus the prior quarter and the year-ago quarter, driving a positive swing in free cash flow. The free cash flow margin strengthened compared with both periods.
- Operating cash flow as a proportion of revenue increased relative to both the preceding quarter and the same quarter last year, while capital expenditure was lower than a year ago. This combination resulted in higher free cash flow and an improved free cash flow margin.
- Compared with the immediately preceding quarter, revenue, operating cash flow, and free cash flow all improved, with free cash flow turning from negative to positive. Versus the same quarter one year earlier, revenue and operating cash flow were higher, capital expenditure was lower, and free cash flow and its margin both strengthened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$5.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
$1.5B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$2.3B
Cash generated by operations before capital spending.
CapEx
$819.0M
Capital spending and related asset purchases.
FCF margin
6.2%
The share of revenue converted into free cash flow.
TTM FCF yield
3.1%
TTM FCF divided by market capitalization.
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 |
|---|---|---|---|---|---|
| 2025-06-14 | $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% |
| 2026-06-13 | $24.2B | $2.3B | $819.0M | $1.5B | 6.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 50.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.4% | 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 Recovery
Operating cash flow increased substantially from the prior quarter and was higher than the year-ago quarter, providing the primary lift to free cash flow. This improvement occurred alongside higher revenue.
The stronger operating cash flow was the key factor behind the positive free cash flow and the expansion of the 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 as a proportion of revenue increased relative to both the preceding quarter and the same quarter last year, while capital expenditure was lower than a year ago. This combination resulted in higher free cash flow and an improved free cash flow margin.
Compared with the immediately preceding quarter, revenue, operating cash flow, and free cash flow all improved, with free cash flow turning from negative to positive. Versus the same quarter one year earlier, revenue and operating cash flow were higher, capital expenditure was lower, and free cash flow and its margin both strengthened.
Monitor the trend in capital expenditure relative to operating cash flow, as a lower outlay contributed to the free cash flow improvement this quarter.
Valuation context
A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.
| Market capitalization | $184.8B | Used as the denominator for FCF yield. |
| TTM FCF yield | 3.1% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | n/a | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.