Volatile Revenue GrowthWide swings in top-line growth complicate capacity planning, margin forecasting, and investor visibility. Structural volatility can force uneven reinvestment cycles, impair long-term forecasting accuracy, and raise the risk that current high growth rates may be difficult to sustain across the next 2–6 months.
ROE Normalization As Scale IncreasesDeclining returns on equity as the business scales suggest reinvestment is diluting historical profitability. This normalization can indicate tougher incremental returns on new capital, meaning future growth may require more capital per unit of return and could pressure long-term return metrics.
Historical Cash-conversion WeaknessPast weak cash conversion reflects working-capital or timing vulnerability that can reemerge during business transitions. Although conversion improved, the earlier shortfall signals operational execution risk in cash collection and working-capital management that could stress liquidity during future growth surges.