Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow both increased compared to the prior quarter and the same quarter last year. Free cash flow margin strengthened, reflecting higher cash generation relative to revenue.
- With revenue rising, operating cash flow grew substantially, while capital expenditure declined, leading to a significant increase in free cash flow and an improved margin.
- Compared to the immediately preceding quarter, revenue, operating cash flow, and free cash flow were all higher, with capital expenditure lower. Versus the same quarter one year earlier, all metrics improved, with free cash flow margin notably higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.3B
Trailing twelve-month free cash flow.
Quarter free cash flow
$675.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$746.0M
Cash generated by operations before capital spending.
CapEx
$71.0M
Capital spending and related asset purchases.
FCF margin
25.9%
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 |
|---|---|---|---|---|---|
| 2024-09-27 | $2.2B | $34.0M | $96.0M | -$62.0M | -2.8% |
| 2024-12-27 | $2.4B | $403.0M | $116.0M | $287.0M | 11.9% |
| 2025-03-28 | $2.3B | $508.0M | $129.0M | $379.0M | 16.5% |
| 2025-06-27 | $2.6B | $746.0M | $71.0M | $675.0M | 25.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 239.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$2.6B | 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 rose from the prior quarter and the year-ago quarter, outpacing revenue growth.
This drove the expansion in free cash flow and margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
With revenue rising, operating cash flow grew substantially, while capital expenditure declined, leading to a significant increase in free cash flow and an improved margin.
Compared to the immediately preceding quarter, revenue, operating cash flow, and free cash flow were all higher, with capital expenditure lower. Versus the same quarter one year earlier, all metrics improved, with free cash flow margin notably higher.
Monitor the trend in capital expenditure, which was lower than both comparison periods.