Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased sharply compared with both the preceding quarter and the same quarter a year ago. However, operating cash flow turned negative, resulting in a substantial free cash flow deficit.
- The company's cash conversion weakened in the current quarter. Despite higher revenue, operating cash flow was negative and capital expenditures were incurred, leading to negative free cash flow and a negative margin.
- Compared with the preceding quarter, revenue rose while cash flow from operations turned from positive to negative, and free cash flow moved from a surplus to a deficit. Relative to the same quarter last year, revenue was higher and free cash flow margin improved, though free cash flow remained negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$52.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$19.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$19.3M
Cash generated by operations before capital spending.
CapEx
$438000
Capital spending and related asset purchases.
FCF margin
-131.4%
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 | $2.2M | -$14.5M | $545000 | -$15.0M | -687.7% |
| 2024-09-30 | $1.9M | -$18.1M | $306000 | -$18.4M | -982.8% |
| 2024-12-31 | $2.3M | $2.0M | $950000 | $1.1M | 46.2% |
| 2025-03-31 | $15.0M | -$19.3M | $438000 | -$19.7M | -131.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 363.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.9% | 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.
Revenue Growth
Revenue increased substantially from both the prior quarter and the year-ago period, reflecting higher business activity.
This growth, however, was accompanied by larger cash outflows, indicating that the expansion has not yet translated into cash generation.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
The company's cash conversion weakened in the current quarter. Despite higher revenue, operating cash flow was negative and capital expenditures were incurred, leading to negative free cash flow and a negative margin.
Compared with the preceding quarter, revenue rose while cash flow from operations turned from positive to negative, and free cash flow moved from a surplus to a deficit. Relative to the same quarter last year, revenue was higher and free cash flow margin improved, though free cash flow remained negative.
Monitor whether operating cash flow can return to positive levels in upcoming quarters.