Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased from the prior quarter and from the same quarter a year ago, while free cash flow remained negative. The free cash flow margin improved, but the absolute deficit widened as operating cash outflow and capital expenditure both rose.
- Cash conversion from revenue was negative, as operating cash flow was negative and capital expenditure added to the cash outflow. The resulting free cash flow deficit was larger than in the prior quarter and the year-ago quarter, though the margin improved due to the higher revenue base.
- Compared to the immediately preceding quarter, revenue was higher, but operating cash flow was more negative, capital expenditure was higher, and free cash flow was more negative. Compared to the same quarter one year earlier, revenue was higher, operating cash flow was more negative, capital expenditure was higher, and free cash flow was more negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$31.5M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$11.5M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$8.7M
Cash generated by operations before capital spending.
CapEx
$2.8M
Capital spending and related asset purchases.
FCF margin
-3000.3%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $62000 | -$3.8M | $2.9M | -$6.6M | -10709.7% |
| 2025-03-31 | $39000 | -$4.4M | $1.7M | -$6.2M | -15805.1% |
| 2025-06-30 | $61000 | -$6.1M | $1.0M | -$7.1M | -11683.6% |
| 2025-09-30 | $384000 | -$8.7M | $2.8M | -$11.5M | -3000.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -483.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 723.2% | 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 Increase
Revenue increased compared to both prior periods, contributing to a less negative free cash flow margin. However, operating cash flow and capital expenditure also rose, leading to a larger absolute free cash flow deficit.
The revenue growth is the primary factor behind the margin improvement, but the increasing cash burn requires continued funding.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Cash conversion from revenue was negative, as operating cash flow was negative and capital expenditure added to the cash outflow. The resulting free cash flow deficit was larger than in the prior quarter and the year-ago quarter, though the margin improved due to the higher revenue base.
Compared to the immediately preceding quarter, revenue was higher, but operating cash flow was more negative, capital expenditure was higher, and free cash flow was more negative. Compared to the same quarter one year earlier, revenue was higher, operating cash flow was more negative, capital expenditure was higher, and free cash flow was more negative.
Capital expenditure, which increased significantly from both prior periods, should be monitored for its impact on cash consumption.