Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved sequentially as operating cash flow rose while capital expenditure declined, though both cash flow measures were lower than the same quarter last year. The free cash flow margin strengthened from the prior quarter but weakened compared to the year-ago period.
- Revenue was stable sequentially and versus the prior year. Operating cash flow increased from the preceding quarter but decreased from a year ago, while capital expenditure was lower in both comparisons. The resulting free cash flow and margin improved sequentially but declined year over year.
- Compared to the immediately preceding quarter, free cash flow and margin were higher, driven by a combination of higher operating cash flow and lower capital expenditure. Versus the same quarter one year earlier, free cash flow and margin were lower, as operating cash flow was lower despite a reduction in capital expenditure.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$369.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
$155.3M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$221.2M
Cash generated by operations before capital spending.
CapEx
$65.9M
Capital spending and related asset purchases.
FCF margin
4.1%
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 |
|---|---|---|---|---|---|
| 2024-12-28 | $3.7B | $679.1M | $114.5M | $564.6M | 15.2% |
| 2025-03-29 | $3.7B | -$420.0M | $65.0M | -$485.0M | -13.0% |
| 2025-06-28 | $3.9B | $214.3M | $79.6M | $134.7M | 3.4% |
| 2025-09-27 | $3.8B | $221.2M | $65.9M | $155.3M | 4.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 302.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.8% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$5.0B | 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 Reduction
Capital expenditure was lower both sequentially and year over year, which supported the sequential improvement in free cash flow despite a year-over-year decline in operating cash flow.
The lower capital expenditure was the strongest observable driver of the sequential free cash flow improvement.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was stable sequentially and versus the prior year. Operating cash flow increased from the preceding quarter but decreased from a year ago, while capital expenditure was lower in both comparisons. The resulting free cash flow and margin improved sequentially but declined year over year.
Compared to the immediately preceding quarter, free cash flow and margin were higher, driven by a combination of higher operating cash flow and lower capital expenditure. Versus the same quarter one year earlier, free cash flow and margin were lower, as operating cash flow was lower despite a reduction in capital expenditure.
Monitor the trajectory of operating cash flow, which declined year over year despite stable revenue.