Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow improved versus both the prior quarter and the same period a year earlier, while capital expenditure declined sequentially but rose compared to the year-ago quarter. Free cash flow increased from the prior quarter but was slightly below the level of a year ago, with the margin strengthening sequentially but weakening on a year-over-year basis.
- Revenue was stable sequentially and higher year over year. Operating cash flow rose in both comparisons, while capital expenditure was lower than the prior quarter but higher than a year earlier. The combination yielded a higher free cash flow and margin compared to the preceding quarter, but a slightly lower free cash flow and margin versus the same quarter one year ago.
- Versus the prior quarter, free cash flow and margin improved significantly, driven by higher operating cash flow and lower capital expenditure. Compared with the year-ago quarter, free cash flow was slightly lower despite higher operating cash flow, as capital expenditure was substantially higher, leading to a modestly weaker margin.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$528.8M
Trailing twelve-month free cash flow.
Quarter free cash flow
$191.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$339.1M
Cash generated by operations before capital spending.
CapEx
$148.1M
Capital spending and related asset purchases.
FCF margin
8.9%
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 | $2.1B | $278.3M | $245.0M | $33.3M | 1.6% |
| 2024-09-30 | $2.2B | $327.1M | $146.7M | $180.4M | 8.3% |
| 2024-12-31 | $2.1B | $325.4M | $201.3M | $124.1M | 5.8% |
| 2025-03-31 | $2.1B | $339.1M | $148.1M | $191.0M | 8.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 93.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 6.9% | 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 Strength
Operating cash flow was higher than both the prior quarter and the year-ago quarter, providing the primary lift to free cash flow. This occurred even as revenue remained stable sequentially, indicating improved cash conversion efficiency from operations.
The increase in operating cash flow more than offset the sequential decline in capital expenditure, resulting in a stronger free cash flow and margin relative to the preceding quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was stable sequentially and higher year over year. Operating cash flow rose in both comparisons, while capital expenditure was lower than the prior quarter but higher than a year earlier. The combination yielded a higher free cash flow and margin compared to the preceding quarter, but a slightly lower free cash flow and margin versus the same quarter one year ago.
Versus the prior quarter, free cash flow and margin improved significantly, driven by higher operating cash flow and lower capital expenditure. Compared with the year-ago quarter, free cash flow was slightly lower despite higher operating cash flow, as capital expenditure was substantially higher, leading to a modestly weaker margin.
Monitor capital expenditure levels, as they varied sharply between periods and directly influenced free cash flow and margin.