Multi-year Net Losses And Large 2025 LossRecurring net losses, and a particularly large 2025 loss, suggest persistent non-operating charges or impairments that erode equity and investor confidence. Even with operating earnings positive, continued bottom-line losses constrain retained earnings and limit capacity to absorb future shocks.
Rising Leverage After Equity DeclineLeverage increasing because equity dropped raises balance-sheet risk and financial rigidity. Higher debt-to-equity reduces flexibility for M&A or capex, increases interest exposure, and magnifies downside in an ad-market slowdown, making capital structure a medium-term vulnerability.
Deteriorating Free Cash Flow TrendA sustained decline in free cash flow weakens the company's ability to self-fund investments, dividends, or debt service. Even if FCF remains positive, the downward trend signals worsening cash conversion or higher cash needs, constraining strategic flexibility over coming quarters.