Strong Balance SheetLow leverage, a healthy equity ratio and strong ROE provide durable financial flexibility. This capital structure reduces default risk, supports investment or M&A optionality, and lets management fund growth or weather downturns without relying on expensive external debt.
Improving MarginsSustained improvement in gross, EBIT and EBITDA margins indicates better cost control and pricing power. Higher margins strengthen intrinsic cash generation per unit of revenue, improving return on capital and resilience to revenue volatility over the medium term.
Positive Operating Cash FlowConsistent positive operating cash flow shows core operations generate real cash, supporting capital allocation without overreliance on financing. This underpins sustainable investments, working capital needs, and provides a buffer against cyclical earnings swings.