Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable versus the prior quarter and higher than a year ago. Operating cash flow turned negative sequentially but was above the year-ago level, while capital expenditure decreased from the prior quarter but increased year over year, resulting in negative free cash flow with a margin similar to the same quarter last year.
- With revenue similar to the prior quarter, operating cash flow dropped substantially, while capital expenditure also declined. The resulting free cash flow turned from positive to negative, and the free cash flow margin weakened from a positive level to a negative level comparable to a year ago.
- Compared to the prior quarter, revenue was stable but operating cash flow, free cash flow, and free cash flow margin all decreased; capital expenditure was lower. Versus the same quarter last year, revenue was higher, operating cash flow improved, free cash flow was similar, and free cash flow margin was stable.
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
-$74.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$86.0M
Cash generated by operations before capital spending.
CapEx
$160.0M
Capital spending and related asset purchases.
FCF margin
-0.3%
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 | $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% |
| 2025-09-27 | $21.1B | $86.0M | $160.0M | -$74.0M | -0.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -15.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.8% | 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.
Operating Cash Flow Volatility
Operating cash flow experienced a sharp decline from the prior quarter despite stable revenue, yet it was higher than the same quarter last year. This volatility is the strongest observable factor behind the swing in free cash flow.
The large gap between operating cash flow and capital expenditure in the current quarter produced negative free cash flow, contrasting with the prior quarter's positive result.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
With revenue similar to the prior quarter, operating cash flow dropped substantially, while capital expenditure also declined. The resulting free cash flow turned from positive to negative, and the free cash flow margin weakened from a positive level to a negative level comparable to a year ago.
Compared to the prior quarter, revenue was stable but operating cash flow, free cash flow, and free cash flow margin all decreased; capital expenditure was lower. Versus the same quarter last year, revenue was higher, operating cash flow improved, free cash flow was similar, and free cash flow margin was stable.
Monitor whether operating cash flow can sustain an improving trend compared to a year ago while capital expenditure remains elevated relative to the same quarter last year.