Net Margin PressureDespite strong gross margins, the company has room to improve net margins, suggesting operating expenses or SG&A are absorbing gains. Persistent pressure at the net level can limit retained profits available for capex, buybacks or cushioning downturns over the medium term.
Recent Revenue DecelerationA single-year growth rate of ~3.94% signals potential near-term deceleration versus multi-year trends. Slower top-line growth can reduce operating leverage and make it harder to fund expansion or justify increased investment, requiring renewed sales or product execution.
Rising Debt To MonitorAlthough current leverage is low, the report flags increasing debt levels to watch. A trend of rising debt could erode financial flexibility, raise interest costs and constrain strategic choices if sustained, making balance sheet discipline important going forward.