Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow was minimal relative to revenue, resulting in negative free cash flow after capital expenditure. Revenue was higher than both the prior quarter and the same quarter a year ago.
- Despite higher revenue, operating cash flow weakened sharply from the preceding quarter, driving free cash flow from positive to negative. The free cash flow margin turned negative, though it improved from the more negative level of a year ago.
- Compared to the prior quarter, revenue increased while operating cash flow decreased, and free cash flow shifted from positive to negative. Versus the same quarter last year, revenue was higher and both operating cash flow and free cash flow improved, with capital expenditure lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.0B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$81.6M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$5.6M
Cash generated by operations before capital spending.
CapEx
$87.3M
Capital spending and related asset purchases.
FCF margin
-2.9%
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 |
|---|---|---|---|---|---|
| 2025-02-01 | $3.5B | $1.0B | $73.9M | $962.6M | 27.6% |
| 2025-05-03 | $2.8B | $220.0M | $79.0M | $141.0M | 4.9% |
| 2025-08-02 | $2.8B | $96.5M | $77.0M | $19.6M | 0.7% |
| 2025-11-01 | $2.9B | $5.6M | $87.3M | -$81.6M | -2.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -35.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.1% | 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.
Operating Cash Flow Weakness
Operating cash flow fell sharply from the prior quarter and was very low relative to revenue, causing free cash flow to turn negative despite revenue growth.
The low operating cash flow was the primary factor behind the negative free cash flow in the quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Despite higher revenue, operating cash flow weakened sharply from the preceding quarter, driving free cash flow from positive to negative. The free cash flow margin turned negative, though it improved from the more negative level of a year ago.
Compared to the prior quarter, revenue increased while operating cash flow decreased, and free cash flow shifted from positive to negative. Versus the same quarter last year, revenue was higher and both operating cash flow and free cash flow improved, with capital expenditure lower.
Monitor whether operating cash flow can recover from the current low level relative to revenue in the next quarter.