Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Cash conversion weakened sharply as operating cash flow turned negative and free cash flow swung to a deficit. Revenue was lower than the prior quarter but higher than the same quarter last year.
- Operating cash flow was negative and capital expenditure increased, resulting in a negative free cash flow and a deeply negative free cash flow margin. This marks a significant decline in cash conversion efficiency compared to the prior quarter and the year-ago period.
- Compared to the immediately preceding quarter, revenue was lower while operating cash flow improved slightly, but free cash flow remained similarly negative. Versus the same quarter one year earlier, revenue was higher, but operating cash flow and free cash flow both worsened from positive to negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$75.8M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$20.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$18.4M
Cash generated by operations before capital spending.
CapEx
$1.7M
Capital spending and related asset purchases.
FCF margin
-727.9%
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 |
|---|---|---|---|---|---|
| 2025-03-31 | $15.0M | -$19.3M | $438000 | -$19.7M | -131.4% |
| 2025-06-30 | $3.1M | -$15.3M | $749000 | -$16.0M | -518.1% |
| 2025-09-30 | $3.7M | -$19.0M | $1.0M | -$20.1M | -536.5% |
| 2025-12-31 | $2.8M | -$18.4M | $1.7M | -$20.0M | -727.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 47.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 60.3% | 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 reversal
Operating cash flow shifted from positive in the year-ago quarter to negative in the current quarter, while capital expenditure increased. This combination drove free cash flow deeply negative and widened the free cash flow margin deficit.
The negative operating cash flow is the strongest observable driver of the weakened cash conversion this quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was negative and capital expenditure increased, resulting in a negative free cash flow and a deeply negative free cash flow margin. This marks a significant decline in cash conversion efficiency compared to the prior quarter and the year-ago period.
Compared to the immediately preceding quarter, revenue was lower while operating cash flow improved slightly, but free cash flow remained similarly negative. Versus the same quarter one year earlier, revenue was higher, but operating cash flow and free cash flow both worsened from positive to negative.
Monitor the trajectory of operating cash flow, which turned negative after being positive in the year-ago quarter.