Elevated LeverageLeverage remains a material overhang: though equity strengthened post‑pandemic, debt levels rose in 2025 and historical debt-to-equity was ~2.8x in 2024. High leverage in a cyclical airline raises refinancing and downside risk if demand or yields weaken.
Large Multi-year CapEx RampA sustained, rising CapEx profile for fleet and cabin upgrades increases execution, timing and funding risk. Material investment needs can compress FCF conversion, elevate ownership costs and require continued access to financing even with current strong liquidity.
Operational/engine Availability IssuesOngoing engine and technical faults reduce available capacity, raise maintenance and lease costs, and impair reliability metrics. Persistent supplier constraints can erode schedules, yields and customer satisfaction, creating structural operational risk until resolved.