Revenue GrowthSustained, very high revenue growth signals strong product-market fit and rapid top-line expansion. Over 2-6 months this supports scale benefits, broader distribution opportunities and room to leverage fixed costs, provided the company can stabilize cash generation and manage working capital.
Improving Operating MarginsImproving EBIT/EBITDA margins indicate the business is becoming more operationally efficient. If maintained, better operating leverage can convert growth into sustainable profitability, improve cash conversion over time, and provide more internal funding for expansion and deleveraging.
Improved ROE / Equity EfficiencyAn improving return on equity suggests management is generating higher returns from shareholder capital. This structural improvement, if persistent, supports long-term investor confidence, better capital allocation and the potential to fund growth without proportionally more equity issuance.