Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased sequentially and year-over-year, while operating cash flow, free cash flow, and free cash flow margin improved from the prior quarter and the year-ago quarter. Capital expenditure rose compared to both periods.
- Cash conversion remained negative, as operating cash flow was insufficient to cover capital expenditure, resulting in negative free cash flow. The free cash flow margin improved compared to the prior quarter and the year-ago quarter, reflecting a smaller cash outflow relative to revenue.
- Compared to the immediately preceding quarter, revenue was higher, operating cash flow improved, and free cash flow weakened; however free cash flow margin improved. Relative to the same quarter one year earlier, all metrics improved: revenue was higher, operating cash flow and free cash flow were less negative, and free cash flow margin strengthened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$116.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$23.9M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$2.4M
Cash generated by operations before capital spending.
CapEx
$21.6M
Capital spending and related asset purchases.
FCF margin
-18.1%
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 |
|---|---|---|---|---|---|
| 2024-03-31 | $92.8M | -$2.6M | $19.2M | -$21.8M | -23.5% |
| 2024-06-30 | $106.3M | -$13.0M | $15.3M | -$28.3M | -26.7% |
| 2024-09-30 | $104.8M | -$30.9M | $11.0M | -$41.9M | -40.0% |
| 2024-12-31 | $132.4M | -$2.4M | $21.6M | -$23.9M | -18.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 45.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 16.3% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$74.3M | 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 was higher than both the prior quarter and the year-ago quarter, contributing to an improvement in free cash flow margin despite negative operating cash flow.
Higher revenue helped reduce the free cash flow deficit as a percentage of sales, a key factor in the quarter's cash flow improvement.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Cash conversion remained negative, as operating cash flow was insufficient to cover capital expenditure, resulting in negative free cash flow. The free cash flow margin improved compared to the prior quarter and the year-ago quarter, reflecting a smaller cash outflow relative to revenue.
Compared to the immediately preceding quarter, revenue was higher, operating cash flow improved, and free cash flow weakened; however free cash flow margin improved. Relative to the same quarter one year earlier, all metrics improved: revenue was higher, operating cash flow and free cash flow were less negative, and free cash flow margin strengthened.
Monitor the trend in capital expenditure, which increased sequentially and year-over-year, as it directly impacts free cash flow.