Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow margin weakened compared to both the prior quarter and the same quarter last year. Operating cash flow decreased while capital expenditure also declined, resulting in lower free cash flow.
- Revenue was lower than the prior quarter but higher than a year ago. Operating cash flow decreased relative to both comparison periods, while capital expenditure was also lower. Free cash flow and free cash flow margin were lower than both the preceding quarter and the same quarter one year earlier.
- Compared to the immediately preceding quarter, revenue, operating cash flow, capital expenditure, free cash flow, and free cash flow margin all decreased. Versus the same quarter one year earlier, revenue increased, but operating cash flow, free cash flow, and free cash flow margin were lower, while capital expenditure also declined.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.5B
Trailing twelve-month free cash flow.
Quarter free cash flow
$323.1M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$359.4M
Cash generated by operations before capital spending.
CapEx
$36.3M
Capital spending and related asset purchases.
FCF margin
15.5%
The share of revenue converted into free cash flow.
TTM FCF yield
8.4%
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 | $2.1B | $378.2M | $50.1M | $328.1M | 15.8% |
| 2025-09-30 | $2.0B | $418.7M | $55.0M | $363.7M | 18.2% |
| 2025-12-31 | $2.2B | $517.4M | $74.8M | $442.6M | 19.7% |
| 2026-03-31 | $2.1B | $359.4M | $36.3M | $323.1M | 15.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 135.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$7.0B | 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 decline
Operating cash flow decreased compared to both the prior quarter and the same quarter last year, while revenue was mixed relative to those periods. Capital expenditure also fell, but the reduction was insufficient to offset the lower operating cash flow.
The lower operating cash flow drove a weaker free cash flow margin despite reduced capital spending.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was lower than the prior quarter but higher than a year ago. Operating cash flow decreased relative to both comparison periods, while capital expenditure was also lower. Free cash flow and free cash flow margin were lower than both the preceding quarter and the same quarter one year earlier.
Compared to the immediately preceding quarter, revenue, operating cash flow, capital expenditure, free cash flow, and free cash flow margin all decreased. Versus the same quarter one year earlier, revenue increased, but operating cash flow, free cash flow, and free cash flow margin were lower, while capital expenditure also declined.
Monitor whether operating cash flow can stabilize or improve in upcoming quarters given its decline from both the prior quarter and the year-ago period.
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 | $17.4B | Used as the denominator for FCF yield. |
| TTM FCF yield | 8.4% | TTM free cash flow divided by market capitalization. |
| EV / TTM FCF | 16.8x | A quick valuation bridge, not a full DCF. |
Peer context
Free cash flow quality is easier to read against related public companies.