Persistent Negative ProfitabilityOngoing negative EBIT and net margins indicate structural cost or pricing issues that impede sustainable earnings. Without durable margin recovery, revenue growth cannot fund reinvestment or creditor claims, leaving the business exposed to funding stress and constrained strategic options.
Prior Balance-sheet Stress And Leverage RiskHistorical negative equity and elevated leverage reflect past solvency strain; although improving, the remaining leverage limits financial flexibility. Elevated debt levels increase refinancing and covenants risk, making the company more vulnerable to shocks or slower recovery in travel demand.
Volatile Historical Cash FlowsPast swings in operating and free cash flow undermine predictability for debt servicing, capex and marketing investments. Even with recent positive cash conversion, inconsistent cash generation raises the likelihood of future funding needs or cutbacks if travel demand softens or costs re-escalate.