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 both the prior quarter and the same quarter last year, driven by higher revenue and a stronger free cash flow margin. Operating cash flow was lower than the preceding quarter but higher than the year-ago period, while capital expenditure remained relatively stable.
- Revenue increased from both the prior quarter and the year-ago quarter. Operating cash flow was lower than the prior quarter but higher than the year-ago quarter, and capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter. The resulting free cash flow and free cash flow margin were higher than both comparison periods, indicating improved cash conversion efficiency.
- Compared to the immediately preceding quarter, free cash flow was lower despite higher revenue, as operating cash flow decreased significantly. Compared to the same quarter one year earlier, free cash flow was higher, supported by higher revenue and higher operating cash flow.
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
$188.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$244.5M
Cash generated by operations before capital spending.
CapEx
$55.8M
Capital spending and related asset purchases.
FCF margin
24.4%
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 | $725.3M | $296.2M | $55.5M | $240.7M | 33.2% |
| 2024-12-31 | $735.6M | $255.4M | $55.4M | $200.0M | 27.2% |
| 2025-03-31 | $753.0M | $444.7M | $53.7M | $391.0M | 51.9% |
| 2025-06-30 | $772.6M | $244.5M | $55.8M | $188.7M | 24.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 74.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 7.2% | 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.
Revenue Growth
Revenue was higher than both the prior quarter and the year-ago quarter, providing a stronger base for cash generation. This was the most observable positive factor in the quarter.
Higher revenue contributed to a higher free cash flow compared to the year-ago quarter, despite a lower operating cash flow conversion rate relative to the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased from both the prior quarter and the year-ago quarter. Operating cash flow was lower than the prior quarter but higher than the year-ago quarter, and capital expenditure was slightly higher than the prior quarter but lower than the year-ago quarter. The resulting free cash flow and free cash flow margin were higher than both comparison periods, indicating improved cash conversion efficiency.
Compared to the immediately preceding quarter, free cash flow was lower despite higher revenue, as operating cash flow decreased significantly. Compared to the same quarter one year earlier, free cash flow was higher, supported by higher revenue and higher operating cash flow.
Monitor the trend in operating cash flow, which declined from the prior quarter despite higher revenue.