Shrinking RevenueA near-24% revenue decline is a core structural weakness that erodes scale economics and strains margin sustainability. Persistent top-line contraction reduces pricing power and fixed-cost absorption, making it harder to restore profits and cash generation without clear revenue stabilization or market share gains.
High LeverageA 2.31 debt-to-equity ratio reflects elevated financial leverage that increases interest burden and refinancing risk. High leverage limits strategic flexibility, constrains capital allocation for growth or capex, and magnifies downside if cash generation remains weak over the medium term.
Negative Operating And Free Cash FlowNegative operating and free cash flows materially weaken liquidity and the company's ability to service debt, fund projects, or invest in growth. Continued cash burn may force external financing, asset sales, or cost cuts, raising solvency and execution risk absent a rapid earnings turnaround.