Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow turned strongly positive from the prior quarter's negative level, driving a substantial free cash flow. Revenue was stable compared to the same quarter last year, while free cash flow margin narrowed slightly.
- Revenue was unchanged from a year ago, but operating cash flow was lower, leading to a slightly reduced free cash flow margin. Capital expenditure decreased compared to both the prior quarter and the year-ago quarter, which partially offset the lower operating cash flow.
- Compared to the immediately preceding quarter, operating cash flow improved from negative to positive, and free cash flow turned positive. Versus the same quarter one year earlier, revenue was stable, but operating cash flow and free cash flow were both lower, and free cash flow margin weakened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.2B
Trailing twelve-month free cash flow.
Quarter free cash flow
$931.1M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.1B
Cash generated by operations before capital spending.
CapEx
$181.5M
Capital spending and related asset purchases.
FCF margin
14.7%
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 | $6.2B | $1.1B | $235.3M | $839.4M | 13.6% |
| 2024-12-31 | $5.3B | $934.5M | $300.0M | $634.5M | 12.0% |
| 2025-03-31 | $5.3B | -$61.1M | $189.3M | -$250.4M | -4.7% |
| 2025-06-30 | $6.3B | $1.1B | $181.5M | $931.1M | 14.7% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 123.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.9% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$8.7B | 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 Recovery
Operating cash flow rebounded sharply from a negative position in the prior quarter to a positive level, which was the primary factor behind the swing in free cash flow. This recovery occurred even as revenue was stable compared to the year-ago quarter.
The positive operating cash flow enabled the company to generate free cash flow after a negative prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was unchanged from a year ago, but operating cash flow was lower, leading to a slightly reduced free cash flow margin. Capital expenditure decreased compared to both the prior quarter and the year-ago quarter, which partially offset the lower operating cash flow.
Compared to the immediately preceding quarter, operating cash flow improved from negative to positive, and free cash flow turned positive. Versus the same quarter one year earlier, revenue was stable, but operating cash flow and free cash flow were both lower, and free cash flow margin weakened.
Monitor whether operating cash flow can sustain its positive level in the coming quarter, given the decline from the year-ago period.