Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved compared to the same quarter last year, driven by higher operating cash flow. However, free cash flow weakened sequentially from the prior quarter as revenue and operating cash flow declined.
- Revenue was lower than the prior quarter but higher than a year ago. Operating cash flow and free cash flow both improved year-over-year, while the free cash flow margin strengthened from the prior year but weakened sequentially.
- Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin were all lower. Compared to the same quarter one year earlier, revenue, operating cash flow, free cash flow, and free cash flow margin were all higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$869.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$83.5M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$251.5M
Cash generated by operations before capital spending.
CapEx
$168.0M
Capital spending and related asset purchases.
FCF margin
5.1%
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 |
|---|---|---|---|---|---|
| 2024-06-30 | $2.0B | $201.1M | $191.4M | $9.7M | 0.5% |
| 2024-09-30 | $2.0B | $595.0M | $96.8M | $498.2M | 24.9% |
| 2024-12-31 | $1.9B | $440.1M | $162.5M | $277.6M | 15.0% |
| 2025-03-31 | $1.6B | $251.5M | $168.0M | $83.5M | 5.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 64.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 10.3% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$4.7B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Year-over-Year Operating Cash Flow Improvement
Operating cash flow was higher compared to the same quarter last year, which was the strongest observable driver of the year-over-year increase in free cash flow.
This improvement directly supported a higher free cash flow and free cash flow margin versus the prior year.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was lower than the prior quarter but higher than a year ago. Operating cash flow and free cash flow both improved year-over-year, while the free cash flow margin strengthened from the prior year but weakened sequentially.
Compared to the immediately preceding quarter, revenue, operating cash flow, free cash flow, and free cash flow margin were all lower. Compared to the same quarter one year earlier, revenue, operating cash flow, free cash flow, and free cash flow margin were all higher.
Monitor the trend in capital expenditure, which was higher than both the prior quarter and the year-ago quarter.