Sharp Profitability DeclineThe shift to negative operating profit and slight net loss reflects weakened earnings power and compressed margins. Over the medium term, persistent negative EBIT undermines internal funding for R&D and sales, reduces pricing power, and complicates efforts to rebuild returns without structural cost or revenue improvements.
Negative Operating & Free Cash FlowMaterial negative OCF and FCF are a structural concern: they limit liquidity, force reliance on external financing, and constrain strategic investments. If cash conversion remains impaired, the company may face higher funding costs or need to cut growth initiatives, impairing medium-term recovery prospects.
Deteriorating Return On EquityROE collapsing to roughly 1% signals sharply reduced capital efficiency and weak shareholder returns. Persistently low ROE makes it harder to justify reinvestment from retained earnings, increases sensitivity to funding costs, and may require strategic changes to restore attractive long-term returns.