Declining Revenue TrendA persistent revenue decline reduces operating scale and weakens pricing leverage, making it harder to cover fixed manufacturing costs. Over several quarters this pressures margins, limits reinvestment in product development, and can erode market share versus more growth-oriented competitors.
Weak Cash Conversion And Falling Free Cash FlowNegative and volatile free cash flow constrains the company's ability to fund capex, R&D and sustain dividends internally. Over months this increases reliance on external financing, limits strategic investments and reduces flexibility to respond to technology shifts or customer demand changes.
Eroding Profitability And ReturnsA sharply lower ROE and ~-48.6% EPS growth indicate weakening profitability and inefficient capital use. Persistently poor returns reduce internal funding for growth, strain investor confidence, and necessitate operational fixes to restore margins and long-term competitive positioning.