Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased compared to both the prior quarter and the same quarter last year. Free cash flow was lower than the prior quarter but higher than the year-ago quarter, while free cash flow margin declined from both comparisons.
- Operating cash flow increased from the year-ago quarter but decreased from the prior quarter. Capital expenditure was higher than both prior periods, resulting in free cash flow that was lower than the prior quarter but higher than the year-ago quarter, and the free cash flow margin weakened compared to both the prior quarter and the year-ago quarter.
- Compared to the prior quarter, revenue was higher but operating cash flow and free cash flow were lower, leading to a lower free cash flow margin. Versus the year-ago quarter, revenue and operating cash flow were higher, capital expenditure was higher, and free cash flow was slightly higher, but the free cash flow margin was lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$252.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$314.2M
Cash generated by operations before capital spending.
CapEx
$61.5M
Capital spending and related asset purchases.
FCF margin
26.2%
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 |
|---|---|---|---|---|---|
| 2024-09-27 | $1.0B | $476.1M | $82.8M | $393.3M | 38.4% |
| 2024-12-27 | $1.1B | $377.2M | $39.0M | $338.2M | 31.7% |
| 2025-03-28 | $953.2M | $409.4M | $38.5M | $370.9M | 38.9% |
| 2025-06-27 | $965.0M | $314.2M | $61.5M | $252.7M | 26.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 240.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 6.4% | Lower capital intensity usually supports FCF margin. |
| Net cash | $689.7M | 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 and Working Capital
Operating cash flow declined from the prior quarter despite higher revenue. The company's filing indicated that the decrease in cash from operations was primarily related to lower net income and a smaller decrease in working capital, driven by inventory and accounts receivable.
This trend reduced free cash flow and the free cash flow margin compared to the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow increased from the year-ago quarter but decreased from the prior quarter. Capital expenditure was higher than both prior periods, resulting in free cash flow that was lower than the prior quarter but higher than the year-ago quarter, and the free cash flow margin weakened compared to both the prior quarter and the year-ago quarter.
Compared to the prior quarter, revenue was higher but operating cash flow and free cash flow were lower, leading to a lower free cash flow margin. Versus the year-ago quarter, revenue and operating cash flow were higher, capital expenditure was higher, and free cash flow was slightly higher, but the free cash flow margin was lower.
Monitor changes in working capital, particularly inventory and accounts receivable, as the company noted a smaller decrease in working capital due to these items.