Profitability DeteriorationA swing to gross and operating losses despite higher revenue indicates pressure on margins from cost overruns, pricing, or project mix. Persistent negative profitability erodes retained earnings, limits self-funded growth, and questions the sustainability of the current project delivery model over multiple cycles.
Highly Inconsistent Cash FlowLarge year-to-year swings in operating and free cash flow reflect project-timing and divestment dependency. This inconsistency raises financing and planning risk for a developer that needs steady capital for permitting and construction, potentially increasing cost of capital and execution risk.
Execution And Earnings-stability RiskHistorical volatility in results highlights the company's exposure to project execution, permitting, and market-timing challenges. For a firm whose economics depend on recurring successful project divestments, such instability can hinder long-term contracting, investor confidence, and predictable cash generation.