Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was lower than the previous quarter but higher than the same quarter last year. Operating cash flow and free cash flow declined compared to both periods, and free cash flow margin contracted.
- Operating cash flow as a share of revenue decreased, and capital expenditure increased, resulting in a lower free cash flow and a weakened free cash flow margin.
- Compared to the prior quarter, revenue, operating cash flow, free cash flow, and margin all decreased. Compared to the same quarter last year, revenue was higher, but operating cash flow, free cash flow, and margin were lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.5B
Trailing twelve-month free cash flow.
Quarter free cash flow
$76.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$433.2M
Cash generated by operations before capital spending.
CapEx
$357.2M
Capital spending and related asset purchases.
FCF margin
3.6%
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 |
|---|---|---|---|---|---|
| 2023-05-31 | $2.5B | $665.4M | $277.0M | $388.4M | 15.4% |
| 2023-08-31 | $2.8B | $956.6M | $305.0M | $651.6M | 23.0% |
| 2023-11-30 | $2.5B | $724.8M | $329.9M | $394.9M | 16.0% |
| 2024-02-29 | $2.1B | $433.2M | $357.2M | $76.0M | 3.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 19.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 16.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$11.5B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Lower operating cash flow
Operating cash flow was lower than the prior quarter and the year-ago quarter, while capital expenditure was higher, which together reduced free cash flow.
The free cash flow margin was lower than both comparison periods.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow as a share of revenue decreased, and capital expenditure increased, resulting in a lower free cash flow and a weakened free cash flow margin.
Compared to the prior quarter, revenue, operating cash flow, free cash flow, and margin all decreased. Compared to the same quarter last year, revenue was higher, but operating cash flow, free cash flow, and margin were lower.
Monitor capital expenditure trends and updates on the beer expansion and brewery asset sale discussed in the management discussion.