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 a negative prior quarter, driving free cash flow to a substantial surplus. Revenue was slightly higher than both the preceding quarter and the same quarter last year.
- Revenue increased modestly while operating cash flow swung from a large outflow to a large inflow, resulting in a free cash flow margin that improved from deeply negative to strongly positive. Capital expenditure was lower than the prior quarter but slightly higher than a year ago.
- Compared to the immediately preceding quarter, operating cash flow and free cash flow improved from negative to positive, and the free cash flow margin strengthened markedly. Versus the same quarter one year earlier, operating cash flow, free cash flow, and margin were all higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$6.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
$7.7B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$7.9B
Cash generated by operations before capital spending.
CapEx
$243.0M
Capital spending and related asset purchases.
FCF margin
216.0%
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 | $3.4B | -$7.4B | $249.0M | -$7.7B | -225.1% |
| 2025-03-31 | $3.3B | $2.4B | $226.0M | $2.2B | 66.1% |
| 2025-06-30 | $3.4B | -$8.4B | $319.0M | -$8.8B | -254.1% |
| 2025-09-30 | $3.5B | $7.9B | $243.0M | $7.7B | 216.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 889.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 6.9% | 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.
Operating Cash Flow Reversal
Operating cash flow shifted from a significant negative amount in the prior quarter to a large positive amount in the current quarter, which is the primary factor behind the improvement in free cash flow and margin.
This reversal turned free cash flow from a deficit to a surplus and lifted the free cash flow margin to a high level.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased modestly while operating cash flow swung from a large outflow to a large inflow, resulting in a free cash flow margin that improved from deeply negative to strongly positive. Capital expenditure was lower than the prior quarter but slightly higher than a year ago.
Compared to the immediately preceding quarter, operating cash flow and free cash flow improved from negative to positive, and the free cash flow margin strengthened markedly. Versus the same quarter one year earlier, operating cash flow, free cash flow, and margin were all higher.
Monitor whether operating cash flow can sustain its positive level given the large swing from the prior quarter.