Volatile Cash ConversionWeak and inconsistent cash conversion undermines durable cash-generation claims: FCF volatility tied to working-capital and capex dynamics limits ability to fund growth organically, pay sustainable dividends, or shore up the business during downturns without external financing.
Modest Net MarginsAlthough profitability improved, net margins remain low relative to past peaks, leaving limited buffer against cost inflation or revenue mix shifts. Low net margins constrain retained earnings for reinvestment and make earnings sensitive to expense or game-performance volatility.
Rising Debt TrendAn upward trend in debt reduces financial conservatism and could raise interest and refinancing risk if growth slows. Even with current leverage manageable, the trend limits flexibility for opportunistic investments and raises the impact of future cash-flow variability on solvency.