Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable compared to the prior quarter and higher than the same quarter last year. However, operating cash flow and free cash flow both declined, resulting in a weaker free cash flow margin.
- Free cash flow was derived from operating cash flow less capital expenditure. The decline in operating cash flow combined with an increase in capital expenditure reduced free cash flow and lowered the margin.
- Compared to the prior quarter, revenue was unchanged while free cash flow and margin declined. Relative to the same quarter last year, revenue was higher but free cash flow and margin were lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.2B
Trailing twelve-month free cash flow.
Quarter free cash flow
$248.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$535.0M
Cash generated by operations before capital spending.
CapEx
$287.0M
Capital spending and related asset purchases.
FCF margin
1.8%
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 | $13.6B | $1.0B | $271.0M | $760.0M | 5.6% |
| 2025-03-29 | $13.1B | -$185.0M | $193.0M | -$378.0M | -2.9% |
| 2025-06-28 | $13.9B | $774.0M | $227.0M | $547.0M | 3.9% |
| 2025-09-27 | $13.9B | $535.0M | $287.0M | $248.0M | 1.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 527.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.1% | 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.
Decline in Operating Cash Flow
Operating cash flow decreased from both the prior quarter and the year-ago quarter, while revenue remained stable or increased. This decline was the primary factor behind the lower free cash flow.
The lower operating cash flow significantly reduced free cash flow and weakened the cash conversion rate.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Free cash flow was derived from operating cash flow less capital expenditure. The decline in operating cash flow combined with an increase in capital expenditure reduced free cash flow and lowered the margin.
Compared to the prior quarter, revenue was unchanged while free cash flow and margin declined. Relative to the same quarter last year, revenue was higher but free cash flow and margin were lower.
Monitor the level of capital expenditure, as it increased and contributed to lower free cash flow.