Debt-free Balance SheetA zero-debt balance sheet provides durable financial flexibility: lower interest and refinancing risk, stronger capacity to fund capex, content acquisition or M&A, and greater resilience in downturns. Expanded equity also supports a larger capital base for long-term growth investments.
Very High Gross MarginsSustained ultra-high gross margins signal structural pricing power or low direct costs, creating a durable competitive advantage. Coupled with mid-teens EBITDA, this margin profile supports reinvestment, product development and profitable scale even if top-line growth is uneven.
Improved Free Cash Flow ConversionA rebound to FCF≈net income indicates the business can convert profits into cash, improving funding for dividends, buybacks, or growth without new debt. If sustained, stronger cash conversion reduces liquidity risk and materially strengthens long-term capital allocation flexibility.