Negative Cash Flow TrendsPersistent negative operating and free cash flows point to structural liquidity pressure. Over a multi‑month horizon this can constrain loan growth, force reliance on wholesale funding, and increase sensitivity to funding cost shocks, limiting strategic flexibility and margin stability.
Eroding Net Profit MarginA declining net margin to ~15.6% suggests rising costs or provisioning weighing on core profitability. If persistent, margin erosion reduces internal capital generation, weakens ability to absorb credit stress, and compresses room for branch/network investment or higher LLPs over months.
Rising Total DebtGrowing total debt increases leverage and interest expense risk even with a moderate D/E of 0.58. Structurally higher indebtedness can pressure net interest margins, elevate refinancing needs, and amplify sensitivity to rate rises, challenging solvency metrics if asset quality weakens.