Exposure To Automotive CyclicalityHeavy reliance on automotive OEMs and Tier suppliers ties revenues to vehicle production cycles and program timing. Structural cyclicality in auto demand can cause material swings in order volumes and utilization, pressuring margins and capital deployment during prolonged industry downturns.
Cash Conversion Still ImprovableAlthough FCF has turned substantially positive, management notes remaining room to improve cash conversion ratios. Persistent working-capital drag or slower conversion of earnings to cash could limit the firm's ability to accelerate capex, repay obligations, or increase shareholder distributions in adverse conditions.
Limited Forward Guidance / VisibilityAbsence of explicit management guidance reduces visibility into near-term revenue, margins, and capital plans. For customers, suppliers, and investors, this hinders planning and makes it harder to assess how temporary factors or new programs will translate into sustained financial performance over the coming quarters.