Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased from both the prior quarter and the same quarter last year, while free cash flow remained negative and widened. Operating cash flow was stable compared to the prior quarter but improved from a year ago, though higher capital expenditure drove a larger free cash outflow.
- Revenue rose, but operating cash flow remained negative, resulting in a negative free cash flow margin that weakened from both the prior quarter and the year-ago quarter. The conversion from revenue to free cash flow was pressured by capital expenditure that was higher than both comparison periods.
- Compared to the prior quarter, revenue was higher, operating cash flow was stable, capital expenditure was higher, and free cash flow was lower. Versus the same quarter last year, revenue was higher, operating cash flow improved, capital expenditure was higher, and free cash flow was lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$231.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$69.4M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$23.5M
Cash generated by operations before capital spending.
CapEx
$45.9M
Capital spending and related asset purchases.
FCF margin
-44.8%
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 | $132.4M | -$2.4M | $21.6M | -$23.9M | -18.1% |
| 2025-03-31 | $122.6M | -$54.2M | $28.7M | -$82.9M | -67.6% |
| 2025-06-30 | $144.5M | -$23.2M | $32.0M | -$55.3M | -38.3% |
| 2025-09-30 | $155.1M | -$23.5M | $45.9M | -$69.4M | -44.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 380.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 29.6% | Lower capital intensity usually supports FCF margin. |
| Net cash | $460.9M | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Capital Expenditure Increase
Capital expenditure was higher than both the prior quarter and the same quarter last year, driving free cash flow lower despite higher revenue and stable operating cash flow. The filing context notes the company's growth opportunity depends on developing a new launch vehicle and expanding capabilities, which may require sustained investment.
Higher capital expenditure was the strongest observable driver of the widened free cash flow deficit this quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue rose, but operating cash flow remained negative, resulting in a negative free cash flow margin that weakened from both the prior quarter and the year-ago quarter. The conversion from revenue to free cash flow was pressured by capital expenditure that was higher than both comparison periods.
Compared to the prior quarter, revenue was higher, operating cash flow was stable, capital expenditure was higher, and free cash flow was lower. Versus the same quarter last year, revenue was higher, operating cash flow improved, capital expenditure was higher, and free cash flow was lower.
Monitor the trajectory of capital expenditure, as it increased significantly from both the prior quarter and the year-ago quarter and was the primary factor widening the free cash flow deficit.