Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable versus the same quarter last year, while operating cash flow improved significantly, leading to a positive free cash flow compared to a negative figure a year ago. However, free cash flow weakened sharply from the prior quarter, driven by lower operating cash flow and higher capital expenditure.
- Revenue was unchanged from a year earlier, but operating cash flow increased, resulting in a positive free cash flow margin versus a negative margin in the prior year. The conversion from revenue to free cash flow was lower than the preceding quarter, as operating cash flow declined and capital expenditure rose.
- Compared to the prior quarter, revenue was lower, operating cash flow was substantially lower, and free cash flow weakened significantly. Versus the same quarter last year, revenue was stable, operating cash flow was higher, and free cash flow improved from negative to positive.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$966.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$18.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$108.0M
Cash generated by operations before capital spending.
CapEx
$90.0M
Capital spending and related asset purchases.
FCF margin
0.8%
The share of revenue converted into free cash flow.
TTM FCF yield
3.3%
TTM FCF divided by market capitalization.
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 |
|---|---|---|---|---|---|
| 2025-06-30 | $2.3B | $305.0M | $98.0M | $207.0M | 9.0% |
| 2025-09-30 | $2.3B | $360.0M | $79.0M | $281.0M | 12.4% |
| 2025-12-31 | $2.4B | $543.0M | $83.0M | $460.0M | 19.2% |
| 2026-03-31 | $2.1B | $108.0M | $90.0M | $18.0M | 0.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 9.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 4.2% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.1B | 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 Improvement
Operating cash flow was higher than the same quarter last year, driven by timing of payments for accrued expenses and lower annual incentives, partially offset by increased working capital investment and higher restructuring payments, as noted in the filing.
This improvement enabled free cash flow to turn positive compared to a negative figure in the prior year.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was unchanged from a year earlier, but operating cash flow increased, resulting in a positive free cash flow margin versus a negative margin in the prior year. The conversion from revenue to free cash flow was lower than the preceding quarter, as operating cash flow declined and capital expenditure rose.
Compared to the prior quarter, revenue was lower, operating cash flow was substantially lower, and free cash flow weakened significantly. Versus the same quarter last year, revenue was stable, operating cash flow was higher, and free cash flow improved from negative to positive.
Monitor the trend in capital expenditure, which increased from both the prior quarter and the year-ago quarter.
Valuation context
A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.
| Market capitalization | $28.9B | Used as the denominator for FCF yield. |
| TTM FCF yield | 3.3% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | 31.1x | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.