Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue, operating cash flow, and free cash flow all increased compared to both the prior quarter and the same quarter last year. The free cash flow margin was slightly lower than the prior quarter but improved versus the year-ago quarter.
- Operating cash flow as a proportion of revenue was higher than both the prior quarter and the year-ago quarter, while capital expenditure remained relatively stable. This resulted in free cash flow and free cash flow margin that were higher than the year-ago quarter but with a margin slightly below the prior quarter.
- Compared to the prior quarter, revenue, operating cash flow, and free cash flow were all higher, while the free cash flow margin was slightly lower. Compared to the same quarter last year, all metrics were higher, with the free cash flow margin showing improvement.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$631.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
$168.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$175.1M
Cash generated by operations before capital spending.
CapEx
$7.1M
Capital spending and related asset purchases.
FCF margin
16.8%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $916.3M | $146.9M | $7.5M | $139.4M | 15.2% |
| 2024-12-31 | $832.2M | $188.2M | $4.2M | $184.0M | 22.1% |
| 2025-03-31 | $822.5M | $146.9M | $6.8M | $140.1M | 17.0% |
| 2025-06-30 | $999.5M | $175.1M | $7.1M | $168.0M | 16.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 118.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$362.2M | 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 Growth
Operating cash flow was higher than both the prior quarter and the year-ago quarter, providing the primary support for the increase in free cash flow. This occurred alongside higher revenue.
The higher operating cash flow drove free cash flow to its highest level among the three reported periods.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow as a proportion of revenue was higher than both the prior quarter and the year-ago quarter, while capital expenditure remained relatively stable. This resulted in free cash flow and free cash flow margin that were higher than the year-ago quarter but with a margin slightly below the prior quarter.
Compared to the prior quarter, revenue, operating cash flow, and free cash flow were all higher, while the free cash flow margin was slightly lower. Compared to the same quarter last year, all metrics were higher, with the free cash flow margin showing improvement.
Monitor the trend in free cash flow margin relative to operating cash flow margin, as the current quarter's margin was slightly lower than the prior quarter despite higher operating cash flow.