High LeverageSignificant leverage raises interest and refinancing risk and limits strategic flexibility. With elevated debt relative to equity, SUNWELS is more vulnerable to interest rate moves, weaker cash flows, or project delays, which can constrain investment and growth over the medium term.
Negative Profitability (2025)A negative net margin in 2025 signals structural profit pressure and margin erosion. Persistently negative net income undermines retained earnings, hampers reinvestment, and forces reliance on external financing or asset sales, challenging sustainable growth unless margins recover.
Negative Free Cash Flow RecentlyRepeated negative free cash flow indicates insufficient cash after investments, straining liquidity and limiting the ability to reduce debt or invest in capacity. Over time this can magnify funding needs and increase dependence on external capital under less favorable terms.