Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue, operating cash flow, and free cash flow all increased compared to both the prior quarter and the same quarter last year. The free cash flow margin improved sequentially but was slightly lower than the year-ago level.
- Operating cash flow as a share of revenue rose from the prior quarter, while capital expenditure declined, resulting in higher free cash flow and an improved free cash flow margin. Compared to the year-ago quarter, operating cash flow was stable, but lower capital expenditure boosted free cash flow and margin.
- Revenue, operating cash flow, and free cash flow were all higher than the immediately preceding quarter and the same quarter one year earlier. The free cash flow margin improved sequentially but weakened slightly versus the year-ago quarter.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$254.3M
Trailing twelve-month free cash flow.
Quarter free cash flow
$77.5M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$84.3M
Cash generated by operations before capital spending.
CapEx
$6.8M
Capital spending and related asset purchases.
FCF margin
26.1%
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 |
|---|---|---|---|---|---|
| 2024-03-31 | $303.4M | $81.0M | $16.4M | $64.5M | 21.3% |
| 2024-06-30 | $306.1M | $75.5M | $18.0M | $57.5M | 18.8% |
| 2024-09-30 | $289.5M | $63.9M | $9.2M | $54.7M | 18.9% |
| 2024-12-31 | $297.0M | $84.3M | $6.8M | $77.5M | 26.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 222.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.3% | 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 Growth
Operating cash flow increased from the prior quarter and was essentially flat compared to the year-ago quarter, while capital expenditure declined in both comparisons. This combination drove free cash flow higher.
The sequential rise in operating cash flow was the strongest observable driver of the quarter's free cash flow improvement.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow as a share of revenue rose from the prior quarter, while capital expenditure declined, resulting in higher free cash flow and an improved free cash flow margin. Compared to the year-ago quarter, operating cash flow was stable, but lower capital expenditure boosted free cash flow and margin.
Revenue, operating cash flow, and free cash flow were all higher than the immediately preceding quarter and the same quarter one year earlier. The free cash flow margin improved sequentially but weakened slightly versus the year-ago quarter.
Monitor whether operating cash flow can sustain its sequential improvement, as it is the primary component of free cash flow.