Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved from the same quarter last year, as operating cash flow was higher. Compared to the prior quarter, free cash flow weakened, with revenue and operating cash flow lower.
- Revenue supported operating cash flow, which after capital expenditure yielded free cash flow. The free cash flow margin improved from the year-ago quarter but weakened from the prior quarter.
- Compared to the prior quarter, revenue and operating cash flow were lower, while capital expenditure also decreased. Compared to the same quarter last year, revenue was higher and operating cash flow was higher, leading to a higher free cash flow.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$4.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
$415.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$581.0M
Cash generated by operations before capital spending.
CapEx
$166.0M
Capital spending and related asset purchases.
FCF margin
6.9%
The share of revenue converted into free cash flow.
TTM FCF yield
3.8%
TTM FCF divided by market capitalization.
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 |
|---|---|---|---|---|---|
| 2025-06-30 | $6.0B | $1.1B | $183.0M | $928.0M | 15.4% |
| 2025-09-30 | $6.1B | $1.5B | $187.0M | $1.4B | 22.3% |
| 2025-12-31 | $7.2B | $2.1B | $268.0M | $1.9B | 26.1% |
| 2026-03-31 | $6.0B | $581.0M | $166.0M | $415.0M | 6.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 55.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.8% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$11.8B | 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
Operating cash flow decreased from the prior quarter, resulting in a lower free cash flow. The filing notes a cybersecurity incident that caused disruptions, which is under investigation.
The weakened cash generation from operations reduced free cash flow and margin compared to the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue supported operating cash flow, which after capital expenditure yielded free cash flow. The free cash flow margin improved from the year-ago quarter but weakened from the prior quarter.
Compared to the prior quarter, revenue and operating cash flow were lower, while capital expenditure also decreased. Compared to the same quarter last year, revenue was higher and operating cash flow was higher, leading to a higher free cash flow.
Monitor the ongoing investigation and impact of the cybersecurity incident on business operations, as disclosed in the filing.
Valuation context
A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.
| Market capitalization | $121.3B | Used as the denominator for FCF yield. |
| TTM FCF yield | 3.8% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | 29.1x | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.