Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow and margin improved versus the prior quarter and the same quarter last year, supported by higher operating cash flow. Capital expenditure increased relative to the prior quarter but was stable compared to the year-ago period.
- Revenue was unchanged from the prior quarter but higher than the year-ago period. Operating cash flow rose relative to both comparison periods, while capital expenditure increased from the preceding quarter and remained level with the prior year. Free cash flow and free cash flow margin both strengthened sequentially and year-over-year.
- Compared to the preceding quarter, revenue was stable while free cash flow improved slightly and the margin strengthened. Versus the same quarter one year earlier, revenue, operating cash flow, free cash flow, and margin were all higher, with capital expenditure essentially unchanged.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$816.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.6B
Cash generated by operations before capital spending.
CapEx
$776.0M
Capital spending and related asset purchases.
FCF margin
12.7%
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 | $5.9B | $1.5B | $1.1B | $396.0M | 6.7% |
| 2025-03-31 | $6.0B | $1.2B | $831.0M | $377.0M | 6.3% |
| 2025-06-30 | $6.4B | $1.5B | $732.0M | $813.0M | 12.6% |
| 2025-09-30 | $6.4B | $1.6B | $776.0M | $816.0M | 12.7% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 135.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 12.0% | 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.
Operating Cash Flow Expansion
Operating cash flow increased compared to both the prior quarter and the year-ago quarter, directly supporting free cash flow improvement. Revenue remained steady sequentially while growing year-over-year.
Higher operating cash flow was the primary driver of free cash flow margin expansion.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was unchanged from the prior quarter but higher than the year-ago period. Operating cash flow rose relative to both comparison periods, while capital expenditure increased from the preceding quarter and remained level with the prior year. Free cash flow and free cash flow margin both strengthened sequentially and year-over-year.
Compared to the preceding quarter, revenue was stable while free cash flow improved slightly and the margin strengthened. Versus the same quarter one year earlier, revenue, operating cash flow, free cash flow, and margin were all higher, with capital expenditure essentially unchanged.
Monitor capital expenditure trends relative to operating cash flow, given the sequential increase in spending amid stable revenue.