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 improved compared to both the prior quarter and the same quarter last year. The free cash flow margin strengthened sequentially and year-over-year.
- Operating cash flow exceeded capital expenditure, generating positive free cash flow. The free cash flow margin rose as free cash flow grew faster than revenue.
- Compared to the prior quarter, revenue was higher, operating cash flow was higher, capital expenditure was higher, and free cash flow was higher. Compared to the same quarter one year earlier, revenue was higher, operating cash flow was higher, capital expenditure was lower, and free cash flow was higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$1.1B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.3B
Cash generated by operations before capital spending.
CapEx
$196.4M
Capital spending and related asset purchases.
FCF margin
17.5%
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 | $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% |
| 2025-09-30 | $6.4B | $1.3B | $196.4M | $1.1B | 17.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 133.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.1% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$9.4B | 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 same quarter last year, providing the primary support for free cash flow improvement.
Higher operating cash flow directly lifted free cash flow and the free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow exceeded capital expenditure, generating positive free cash flow. The free cash flow margin rose as free cash flow grew faster than revenue.
Compared to the prior quarter, revenue was higher, operating cash flow was higher, capital expenditure was higher, and free cash flow was higher. Compared to the same quarter one year earlier, revenue was higher, operating cash flow was higher, capital expenditure was lower, and free cash flow was higher.
Monitor the trend in capital expenditure, which increased sequentially but decreased year-over-year.