Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased compared to both the prior quarter and the same quarter one year earlier. Free cash flow margin improved from the year-ago period but weakened from the prior quarter.
- Operating cash flow was higher than the year-ago quarter but lower than the prior quarter. Capital expenditure remained modest, resulting in free cash flow that followed the same pattern as operating cash flow. The free cash flow margin reflected these changes.
- Compared to the prior quarter, free cash flow was lower despite higher revenue, as operating cash flow decreased substantially. Relative to the same quarter one year earlier, free cash flow and margin both improved.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$687.7M
Trailing twelve-month free cash flow.
Quarter free cash flow
$104.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$107.3M
Cash generated by operations before capital spending.
CapEx
$3.2M
Capital spending and related asset purchases.
FCF margin
17.0%
The share of revenue converted into free cash flow.
TTM FCF yield
5.4%
TTM FCF divided by market capitalization.
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 |
|---|---|---|---|---|---|
| 2025-06-30 | $596.1M | $98.3M | $5.5M | $92.8M | 15.6% |
| 2025-09-30 | $595.9M | $255.2M | $3.9M | $251.3M | 42.2% |
| 2025-12-31 | $575.2M | $243.9M | $4.3M | $239.6M | 41.7% |
| 2026-03-31 | $613.5M | $107.3M | $3.2M | $104.0M | 17.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 128.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.5% | 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 Decline
Operating cash flow in the current quarter was lower than the prior quarter, which was the primary observable factor behind the lower free cash flow and margin.
The reduction in operating cash flow offset the benefit of higher revenue, leading to a weaker free cash flow margin sequentially.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was higher than the year-ago quarter but lower than the prior quarter. Capital expenditure remained modest, resulting in free cash flow that followed the same pattern as operating cash flow. The free cash flow margin reflected these changes.
Compared to the prior quarter, free cash flow was lower despite higher revenue, as operating cash flow decreased substantially. Relative to the same quarter one year earlier, free cash flow and margin both improved.
Monitor the trend in operating cash flow relative to revenue in upcoming quarters.
Valuation context
A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.
| Market capitalization | $12.8B | Used as the denominator for FCF yield. |
| TTM FCF yield | 5.4% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | n/a | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.