Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow both improved versus the prior quarter and the year-ago quarter. Free cash flow margin remained nearly stable sequentially and was higher than the same quarter last year.
- Revenue increased while operating cash flow also rose, resulting in free cash flow that was higher than both the immediately preceding quarter and the year-ago quarter. Capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter, and the free cash flow margin remained broadly stable sequentially while improving over the same quarter one year earlier.
- Compared with the prior quarter, revenue, operating cash flow, and free cash flow were all higher, while the free cash flow margin was essentially flat. Versus the same quarter one year earlier, all reported metrics—revenue, operating cash flow, capital expenditure, free cash flow, and margin—were higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$8.5B
Trailing twelve-month free cash flow.
Quarter free cash flow
$2.5B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$2.6B
Cash generated by operations before capital spending.
CapEx
$89.0M
Capital spending and related asset purchases.
FCF margin
19.6%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $11.2B | $2.2B | $42.0M | $2.1B | 18.9% |
| 2024-12-31 | $12.0B | $1.8B | $44.0M | $1.7B | 14.3% |
| 2025-03-31 | $11.5B | $2.3B | $74.0M | $2.3B | 19.5% |
| 2025-06-30 | $12.7B | $2.6B | $89.0M | $2.5B | 19.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 182.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$4.3B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Sustained free cash flow margin
Free cash flow margin was nearly unchanged from the prior quarter and improved compared with the year-ago quarter. This stability occurred alongside higher revenue and operating cash flow.
The consistent margin reinforces that cash conversion efficiency was maintained at a higher level than a year ago.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased while operating cash flow also rose, resulting in free cash flow that was higher than both the immediately preceding quarter and the year-ago quarter. Capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter, and the free cash flow margin remained broadly stable sequentially while improving over the same quarter one year earlier.
Compared with the prior quarter, revenue, operating cash flow, and free cash flow were all higher, while the free cash flow margin was essentially flat. Versus the same quarter one year earlier, all reported metrics—revenue, operating cash flow, capital expenditure, free cash flow, and margin—were higher.
Monitor working capital changes, as the filing notes increases in accrued insurance reserves and accounts receivable affected cash from operations.