Deteriorating Cash GenerationA sharp drop from positive FCF to negative and a low OCF/net income ratio indicate difficulty converting profits into cash. This can constrain working capital, capex, and dividends or force reliance on external financing, raising long-term operational risk.
Thin Operating MarginsVery narrow gross and net margins leave limited buffer against fuel, wage, or contract cost increases typical in logistics. Structural margin thinness limits ability to absorb shocks, invest in service differentiation, or generate surplus cash for growth.
Modest Capital EfficiencyROE near mid-single digits suggests limited effectiveness at generating shareholder returns from equity capital. Even with a strong equity base, modest ROE can signal slower value creation and lower reinvestment returns versus peers over the medium term.