Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue declined versus both the prior quarter and the same quarter last year. Free cash flow improved sequentially but weakened year-over-year, with the free cash flow margin showing a similar pattern.
- Operating cash flow was higher than the prior quarter but lower than a year ago. Capital expenditure decreased compared to both periods, contributing to a sequential improvement in free cash flow despite lower revenue.
- Compared to the immediately preceding quarter, revenue was lower while free cash flow and free cash flow margin improved. Versus the same quarter one year earlier, revenue, operating cash flow, free cash flow, and free cash flow margin were all lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.9B
Trailing twelve-month free cash flow.
Quarter free cash flow
$492.9M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$535.5M
Cash generated by operations before capital spending.
CapEx
$42.6M
Capital spending and related asset purchases.
FCF margin
15.2%
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 | $3.8B | $379.1M | $58.8M | $320.3M | 8.5% |
| 2024-09-30 | $3.7B | $826.5M | $77.0M | $749.5M | 20.1% |
| 2024-12-31 | $3.5B | $482.7M | $140.4M | $342.3M | 9.7% |
| 2025-03-31 | $3.2B | $535.5M | $42.6M | $492.9M | 15.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | n/a | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.3% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$13.4B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Capital Expenditure Reduction
Capital expenditure was substantially lower than the prior quarter and also lower than the year-ago quarter. This reduction was the strongest observable driver of the sequential free cash flow improvement.
Lower capital expenditure directly supported free cash flow despite a decline in revenue.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was higher than the prior quarter but lower than a year ago. Capital expenditure decreased compared to both periods, contributing to a sequential improvement in free cash flow despite lower revenue.
Compared to the immediately preceding quarter, revenue was lower while free cash flow and free cash flow margin improved. Versus the same quarter one year earlier, revenue, operating cash flow, free cash flow, and free cash flow margin were all lower.
Monitor the trajectory of operating cash flow, which declined year-over-year and is a primary source of liquidity per the filing.