Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was higher than both the prior quarter and the same quarter last year. Operating cash flow and free cash flow were lower than the prior quarter but improved compared to the same quarter last year.
- Operating cash flow was modest relative to revenue, and capital expenditure was nearly equal to operating cash flow, resulting in minimal free cash flow and a free cash flow margin near zero.
- Compared to the prior quarter, operating cash flow and free cash flow weakened sharply, while capital expenditure was lower. Compared to the same quarter last year, operating cash flow and free cash flow improved from negative to positive, and capital expenditure was lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.9B
Trailing twelve-month free cash flow.
Quarter free cash flow
$800000
Free cash flow in the selected fiscal quarter.
Operating cash flow
$139.1M
Cash generated by operations before capital spending.
CapEx
$138.3M
Capital spending and related asset purchases.
FCF margin
0.0%
The share of revenue converted into free cash flow.
TTM FCF yield
3.5%
TTM FCF divided by market capitalization.
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 |
|---|---|---|---|---|---|
| 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% |
| 2025-12-31 | $5.6B | $1.1B | $230.4M | $862.1M | 15.4% |
| 2026-03-31 | $5.7B | $139.1M | $138.3M | $800000 | 0.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 0.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.4% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$9.1B | 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 coverage of capital expenditure
Operating cash flow was nearly fully consumed by capital expenditure, leaving free cash flow negligible. This is a sharp contrast to the prior quarter, where operating cash flow substantially exceeded capital expenditure.
The near-zero free cash flow margin indicates that cash generation from operations barely covered investment spending this quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was modest relative to revenue, and capital expenditure was nearly equal to operating cash flow, resulting in minimal free cash flow and a free cash flow margin near zero.
Compared to the prior quarter, operating cash flow and free cash flow weakened sharply, while capital expenditure was lower. Compared to the same quarter last year, operating cash flow and free cash flow improved from negative to positive, and capital expenditure was lower.
Monitor whether operating cash flow can sustain a level well above capital expenditure in future quarters.
Valuation context
A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.
| Market capitalization | $82.0B | Used as the denominator for FCF yield. |
| TTM FCF yield | 3.5% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | 31.3x | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.