Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Cash conversion strengthened sharply this quarter, driven by higher revenue and operating cash flow. Free cash flow margin improved versus both the prior quarter and the same quarter last year.
- Revenue rose, operating cash flow increased substantially, and capital expenditure was slightly higher, resulting in a much larger free cash flow and a higher free cash flow margin compared to the preceding quarter.
- Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin all improved. Versus the same quarter one year earlier, operating cash flow and free cash flow were higher, while capital expenditure was lower, leading to an improved margin.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$411.5M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$446.8M
Cash generated by operations before capital spending.
CapEx
$35.3M
Capital spending and related asset purchases.
FCF margin
23.9%
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 | $1.5B | $119.5M | $25.6M | $93.9M | 6.2% |
| 2024-12-28 | $2.2B | $506.0M | $30.9M | $475.1M | 21.6% |
| 2025-03-29 | $1.6B | $144.3M | $30.9M | $113.4M | 7.2% |
| 2025-06-28 | $1.7B | $446.8M | $35.3M | $411.5M | 23.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -79.6% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.0% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.3B | 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 Strength
Operating cash flow increased sharply from both the prior quarter and the year-ago quarter, outpacing the rise in revenue. This was the strongest observable factor behind the free cash flow improvement.
The increase in operating cash flow directly elevated free cash flow and expanded the free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue rose, operating cash flow increased substantially, and capital expenditure was slightly higher, resulting in a much larger free cash flow and a higher free cash flow margin compared to the preceding quarter.
Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin all improved. Versus the same quarter one year earlier, operating cash flow and free cash flow were higher, while capital expenditure was lower, leading to an improved margin.
Monitor whether the higher operating cash flow level can be sustained in future quarters.