Volatility In Free Cash Flow GenerationMaterial swings and a recent significant drop in free cash flow reduce financial flexibility for reinvestment, dividends, and deleveraging. Persistent volatility makes long-term planning harder, increases refinancing and liquidity risk, and can force trade-offs between growth and balance sheet repair.
Pressure On Profitability And Return On EquityDeclining recent revenue and squeezed profit margins compress net income and strain ROE. Sustained margin pressure limits retained earnings for reinvestment, weakens capacity to improve returns over time, and can erode investor confidence in management's ability to restore profitable growth.
High Sensitivity To Input Costs And Regional Demand SwingsThe business is structurally exposed to volatile fuel, power and freight costs plus regional demand-supply dynamics. These structural sensitivities can persist, pressuring margins and volume stability versus larger, more integrated peers with stronger cost or logistics advantages.