Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased from the prior quarter and the year-ago quarter. Free cash flow and margin improved sequentially but declined compared to the same quarter last year.
- Operating cash flow rose from the prior quarter, but capital expenditure also increased, resulting in a higher free cash flow. The free cash flow margin improved slightly from the previous quarter but remained below the year-ago level.
- Compared to the immediately preceding quarter, revenue, operating cash flow, capital expenditure, and free cash flow were all higher, and the free cash flow margin improved. Versus the same quarter one year earlier, revenue was higher, but operating cash flow and free cash flow were lower, and the margin weakened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
$819.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.2B
Cash generated by operations before capital spending.
CapEx
$374.0M
Capital spending and related asset purchases.
FCF margin
3.9%
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 |
|---|---|---|---|---|---|
| 2024-09-28 | $20.5B | $53.0M | $122.0M | -$69.0M | -0.3% |
| 2024-12-28 | $20.2B | $445.0M | $211.0M | $234.0M | 1.2% |
| 2025-03-29 | $19.6B | $819.0M | $199.0M | $620.0M | 3.2% |
| 2025-06-28 | $21.1B | $1.2B | $374.0M | $819.0M | 3.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 154.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.8% | 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.
Revenue growth and cash conversion
Revenue increased from both the prior quarter and the year-ago quarter, providing a larger base for cash generation. However, operating cash flow did not keep pace with revenue growth year-over-year, and capital expenditure rose more sharply.
The sequential improvement in free cash flow margin was supported by higher revenue, but the year-over-year decline in margin highlights the need to monitor cash conversion efficiency.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow rose from the prior quarter, but capital expenditure also increased, resulting in a higher free cash flow. The free cash flow margin improved slightly from the previous quarter but remained below the year-ago level.
Compared to the immediately preceding quarter, revenue, operating cash flow, capital expenditure, and free cash flow were all higher, and the free cash flow margin improved. Versus the same quarter one year earlier, revenue was higher, but operating cash flow and free cash flow were lower, and the margin weakened.
Monitor the level of capital expenditure relative to operating cash flow, as it increased notably from both the prior quarter and the year-ago quarter.