Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased compared to both the prior quarter and the same quarter last year. Operating cash flow and free cash flow were lower than both comparison periods, resulting in a weakened free cash flow margin.
- Revenue rose while operating cash flow declined, indicating a lower cash conversion rate from sales. Capital expenditure was slightly higher than both comparison periods, further reducing free cash flow and margin.
- Compared to the immediately preceding quarter, revenue improved but operating cash flow and free cash flow were significantly lower, causing a sharp decline in free cash flow margin. Versus the same quarter one year earlier, revenue was higher while operating cash flow and free cash flow were substantially lower, with a much weaker margin.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$1.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$393.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$538.0M
Cash generated by operations before capital spending.
CapEx
$145.0M
Capital spending and related asset purchases.
FCF margin
6.4%
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 | $5.3B | -$10.8B | $241.0M | -$11.1B | -207.7% |
| 2025-03-31 | $5.6B | $6.4B | $117.0M | $6.2B | 111.5% |
| 2025-06-30 | $5.9B | $3.2B | $128.0M | $3.0B | 52.1% |
| 2025-09-30 | $6.1B | $538.0M | $145.0M | $393.0M | 6.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 16.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.4% | 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 Decline
Operating cash flow decreased sharply from both the prior quarter and the year-ago quarter, despite higher revenue. This is the strongest observable driver of the weakened free cash flow and margin.
The lower operating cash flow directly reduced free cash flow and compressed the free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue rose while operating cash flow declined, indicating a lower cash conversion rate from sales. Capital expenditure was slightly higher than both comparison periods, further reducing free cash flow and margin.
Compared to the immediately preceding quarter, revenue improved but operating cash flow and free cash flow were significantly lower, causing a sharp decline in free cash flow margin. Versus the same quarter one year earlier, revenue was higher while operating cash flow and free cash flow were substantially lower, with a much weaker margin.
Monitor the trajectory of operating cash flow relative to revenue, as the current quarter shows a notable divergence.