FY2025 Net LossThe transition to a -73.0M net loss represents a material deterioration in profitability and erodes retained earnings. Persistent losses can deplete equity, constrain reinvestment, and pressure credit terms, making recovery dependent on sustained revenue improvement or structural cost reductions.
Rising LeverageLeverage increasing to ~1.53x (from ~0.94x) shifts the capital structure toward debt, raising fixed obligations and refinancing risk. Higher leverage reduces financial flexibility, magnifies earnings volatility impact on equity, and makes the company more sensitive to cash flow shocks or higher interest costs.
Negative Free Cash Flow TrendConsecutive negative free cash flows indicate cash generation hasn't covered capex or working capital needs. This persistent cash burn can force external financing, limit strategic investment, and heighten liquidity risk if operating cash flow weakens further or capital spending remains elevated.