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, while operating cash flow and free cash flow improved significantly. Free cash flow margin strengthened versus the prior quarter but was lower than the same quarter one year earlier.
- Operating cash flow as a proportion of revenue was higher than the prior quarter, leading to a stronger free cash flow margin. Capital expenditure remained low relative to revenue, supporting cash conversion.
- Compared to the prior quarter, revenue was essentially unchanged, but operating cash flow and free cash flow were substantially higher, and free cash flow margin improved. Versus the same quarter one year earlier, revenue was higher, while operating cash flow, free cash flow, and free cash flow margin were all lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$618.9M
Trailing twelve-month free cash flow.
Quarter free cash flow
$251.3M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$255.2M
Cash generated by operations before capital spending.
CapEx
$3.9M
Capital spending and related asset purchases.
FCF margin
42.2%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $541.1M | $224.8M | $3.8M | $221.0M | 40.8% |
| 2025-03-31 | $565.2M | $56.2M | $2.3M | $53.8M | 9.5% |
| 2025-06-30 | $596.1M | $98.3M | $5.5M | $92.8M | 15.6% |
| 2025-09-30 | $595.9M | $255.2M | $3.9M | $251.3M | 42.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 297.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | $234.9M | 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 Recovery
Operating cash flow increased sharply from the prior quarter, driving a similar rise in free cash flow. This was the strongest observable change among the supplied metrics.
Free cash flow margin improved markedly from the prior quarter due to higher operating cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow as a proportion of revenue was higher than the prior quarter, leading to a stronger free cash flow margin. Capital expenditure remained low relative to revenue, supporting cash conversion.
Compared to the prior quarter, revenue was essentially unchanged, but operating cash flow and free cash flow were substantially higher, and free cash flow margin improved. Versus the same quarter one year earlier, revenue was higher, while operating cash flow, free cash flow, and free cash flow margin were all lower.
Monitor whether operating cash flow can sustain its current level relative to revenue in future quarters.