Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue rose versus both the prior quarter and the same quarter last year, while operating cash flow improved sequentially but declined year-over-year. Free cash flow remained negative and the free cash flow margin weakened compared to the year-ago quarter.
- Operating cash flow was lower than revenue, and capital expenditure exceeded operating cash flow, resulting in negative free cash flow. The free cash flow margin was negative as capital outflows outpaced operating cash generation.
- Compared to the immediately preceding quarter, revenue and operating cash flow were higher, capital expenditure was higher, and free cash flow was stable at a negative level. Compared to the same quarter one year earlier, revenue and capital expenditure were higher, operating cash flow was lower, and free cash flow was more negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$4.9B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$1.5B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.1B
Cash generated by operations before capital spending.
CapEx
$2.6B
Capital spending and related asset purchases.
FCF margin
-52.6%
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 | $3.1B | $1.4B | $2.5B | -$1.1B | -35.4% |
| 2025-03-31 | $3.7B | $1.5B | $2.3B | -$854.0M | -23.2% |
| 2025-06-30 | $2.7B | $784.0M | $2.3B | -$1.5B | -56.3% |
| 2025-09-30 | $2.8B | $1.1B | $2.6B | -$1.5B | -52.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -1527.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 92.9% | 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.
Capital Expenditure Growth
Capital expenditure increased from both the prior quarter and the year-ago quarter, growing more than revenue. This drove a wider gap between operating cash flow and free cash flow.
Higher capital spending, without a proportional rise in operating cash flow, kept free cash flow deeply negative.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was lower than revenue, and capital expenditure exceeded operating cash flow, resulting in negative free cash flow. The free cash flow margin was negative as capital outflows outpaced operating cash generation.
Compared to the immediately preceding quarter, revenue and operating cash flow were higher, capital expenditure was higher, and free cash flow was stable at a negative level. Compared to the same quarter one year earlier, revenue and capital expenditure were higher, operating cash flow was lower, and free cash flow was more negative.
Capital expenditure remained elevated relative to operating cash flow, sustaining a negative free cash flow position.