Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
The quarter's free cash flow turned negative, driven by a decline in operating cash flow from the prior period. Revenue remained stable, but cash conversion weakened.
- Revenue was stable, while operating cash flow became negative, resulting in free cash flow turning negative. Capital expenditure was slightly higher than the prior quarter, and the free cash flow margin moved from positive to negative.
- Compared to the immediately preceding quarter, operating cash flow and free cash flow weakened, shifting from positive to negative. Compared to the same quarter one year earlier, both operating cash flow and free cash flow improved, as the negative figures were smaller.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.5B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$85.4M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$18.7M
Cash generated by operations before capital spending.
CapEx
$66.7M
Capital spending and related asset purchases.
FCF margin
-4.4%
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 |
|---|---|---|---|---|---|
| 2025-03-31 | $1.8B | $632.9M | $82.0M | $550.9M | 31.2% |
| 2025-06-30 | $1.7B | $529.9M | $62.2M | $467.7M | 27.1% |
| 2025-09-30 | $1.9B | $609.3M | $63.3M | $546.0M | 28.8% |
| 2025-12-31 | $1.9B | -$18.7M | $66.7M | -$85.4M | -4.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -19.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.4% | 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 swing
Operating cash flow turned from a positive value in the prior quarter to a negative value in the current quarter, directly causing free cash flow to become negative.
The negative free cash flow margin indicates that the company's operations did not generate enough cash to cover capital expenditure in the quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was stable, while operating cash flow became negative, resulting in free cash flow turning negative. Capital expenditure was slightly higher than the prior quarter, and the free cash flow margin moved from positive to negative.
Compared to the immediately preceding quarter, operating cash flow and free cash flow weakened, shifting from positive to negative. Compared to the same quarter one year earlier, both operating cash flow and free cash flow improved, as the negative figures were smaller.
Monitor the trajectory of operating cash flow, which swung from positive to negative sequentially.