Telefonaktiebolaget LM Ericsson (publ)

ERICNASDAQTechnology● Active

$12.57

+$0.01(+0.04%)

Market Cap$41.8B

P/E Ratio—

52W High$13.77

52W Low$7.16

Avg Volume10.5M

Open$12.70

Beta0.52

Overview

Telefonaktiebolaget LM Ericsson (publ) (ERIC) Free Cash Flow & Analysis

Annual & trailing free cash flow, FCF margin, YoY change, valuation ratios, and peer context.

ERIC · free cash flow · updated Jun 8, 2026

Core FCF metrics

ERIC · FCF · TTM · margin & CAGR

Free cash flow was $28.50B for FY2025 (fiscal year ending 2025-12-31), down 38.0% year-over-year The FCF margin was 12.8%. Five-year CAGR stands at +5.5%.

FY2025 Free Cash Flow$28.50B▼ -38.0% YoY

Trailing 12M (TTM)$32.68Btrailing 4 quarters sum

FCF Margin12.8%$28.50B ÷ revenue

3-Year CAGR+2.3%FY2022 → FY2025

5-Year CAGR+5.5%FY2020 → FY2025

FormulaFCF = Operating Cash Flow − Capital ExpendituresTTM = trailing 4 quarters sumCAGR → N/A if either endpoint ≤ 0

Source: FMP /cash-flow-statement · SEC 10-K / 10-Q · USDUpdated: Jun 8, 2026

Annual free cash flow history

FCF ($B, upper) · YoY Growth % (lower)

Positive FCFNegative FCF

Free Cash Flow

YoY Growth %

Annual free cash flow data

ERIC · free cash flow history · annual / quarterly

Fiscal YearOperating CFCapExFree Cash FlowYoY ChangeFCF Margin

FY2025Latest$30.98B(2.47B)$28.50B▼ 38.0%12.8%

FY2024$48.40B(2.45B)$45.96B▲ +1148.7%17.7%

FY2023$6.81B(3.13B)$3.68B▼ 86.2%1.5%

FY2022$31.17B(4.52B)$26.65B▼ 28.5%9.7%

FY2021$41.12B(3.86B)$37.26B▲ +71.2%15.2%

FCF = Operating Cash Flow − Capital Expenditures · CapEx shown as (negative) · Source: SEC filings via FMP

FCF valuation metrics

ERIC · P/FCF · FCF yield · FCF per share

Telefonaktiebolaget LM Ericsson (publ) (ERIC) trades at a FCF yield of 8.43% and a price-to-free-cash-flow ratio of 1.3x. FCF per share stands at $9.80, calculated using trailing twelve-month FCF divided by basic weighted-average shares outstanding.

FCF Yield (TTM)

8.43%

Free Cash Flow ÷ Market Cap

per FMP freeCashFlowYieldTTM definition

FCF per Share (TTM)

$9.80

TTM FCF ÷ Shares Outstanding

Price / FCF

x1.3

Share Price ÷ FCF per Share

EV / FCF (TTM)

x11.5

Enterprise Value basis

Source: FMP /key-metrics-ttm · /cash-flow-statement Q · /income-statementFY2025 · 2025-12-31

Cash flow statement summary

ERIC · cash flow statement · operating / investing / financing

For FY2025, Telefonaktiebolaget LM Ericsson (publ) generated $30.98B in operating cash flow and spent 2.47B in capital expenditures, yielding $28.50B in free cash flow.

Operating Activities

+$30.98B

Cash from core business operations

2025-12-31

Investing Activities

−$10.75B

CapEx, acquisitions & investments

2025-12-31

Financing Activities

−$13.37B

Buybacks, dividends & debt

2025-12-31

FCF FormulaOperating CF ($30.98B) − |CapEx| (2.47B) = FCF ($28.50B)

For the complete Operating / Investing / Financing line-item breakdown:

View Full Cash Flow Statement →

Free cash flow vs peers (Technology)

ERIC vs peers · FCF

#CompanyFree Cash FlowYoYFCF MarginRelative

Telefonaktiebolaget LM Ericsson (publ)YOU

ERIC

$28.50B-38.0%12.8%

Taiwan Semiconductor Manufacturing Company Limited

Microsoft Corporation

Technology · Sorted by FCF · FMP /cash-flow-statementFull FCF Rankings →

About Free Cash Flow & Methodology

Telefonaktiebolaget LM Ericsson (publ) (ERIC) reported free cash flow of $28.50B for FY2025 (fiscal year ending 2025-12-31), down 38.0% year-over-year. The FCF margin was 12.8%.

Based on available data, Telefonaktiebolaget LM Ericsson (publ) has maintained positive free cash flow for at least 15 fiscal year(s). FCF peaked at $45.96B in FY2024. The 5-year CAGR stands at +5.5%.

Telefonaktiebolaget LM Ericsson (publ)'s FCF yield is 8.43% and price-to-FCF ratio is 1.3x for FY2025, based on the latest available data.

Data sourced from FMP /cash-flow-statement · SEC 10-K / 10-Q · USD.

Q&A and summaries align with SEC 10-K/10-Q cash flow disclosures and FMP /cash-flow-statement where noted.

Revenue Financial statements Net income Earnings Forecast Price history Market cap Cash on hand P/E ratio

Frequently asked questions

ERIC free cash flow · 8 questions

Telefonaktiebolaget LM Ericsson (publ) free cash flow was $28.50B for FY2025, down 38.0% year-over-year. On a trailing twelve-month (TTM) basis, free cash flow stands at $32.68B.

ERIC free cash flowERIC FCFERIC FCF 2025ERIC free cash flow TTM

▸ Source: FMP /cash-flow-statement · US GAAP · Telefonaktiebolaget LM Ericsson (publ) · Telefonaktiebolaget LM Ericsson (publ) SEC 10-K & 10-Q filings · US GAAP · Last updated: Jun 8, 2026