Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved significantly from the prior quarter and the year-ago quarter, driven by higher operating cash flow. The cash conversion rate strengthened as revenue growth outpaced capital expenditure increases.
- Operating cash flow rose substantially relative to revenue, lifting free cash flow and margin. Capital expenditure remained stable in dollar terms, supporting higher cash conversion.
- Compared to the prior quarter, free cash flow and margin both improved, with operating cash flow higher. Versus the same quarter last year, free cash flow and margin also increased, while revenue was higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$463.5M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$508.7M
Cash generated by operations before capital spending.
CapEx
$45.2M
Capital spending and related asset purchases.
FCF margin
17.3%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $2.3B | $425.2M | $60.7M | $364.5M | 15.5% |
| 2025-03-31 | $2.0B | $303.3M | $36.5M | $266.8M | 13.1% |
| 2025-06-30 | $2.6B | $322.9M | $45.0M | $277.9M | 10.5% |
| 2025-09-30 | $2.7B | $508.7M | $45.2M | $463.5M | 17.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 116.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.5B | 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 Growth
Operating cash flow increased sharply from both the prior quarter and the year-ago quarter, providing the primary lift to free cash flow. Revenue growth contributed to the cash flow improvement.
Higher operating cash flow drove free cash flow and margin to multi-quarter highs.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow rose substantially relative to revenue, lifting free cash flow and margin. Capital expenditure remained stable in dollar terms, supporting higher cash conversion.
Compared to the prior quarter, free cash flow and margin both improved, with operating cash flow higher. Versus the same quarter last year, free cash flow and margin also increased, while revenue was higher.
Monitor the trend in capital expenditure relative to revenue growth, as stable capex supported cash flow improvement this quarter.