Gross Margin ExpansionA sustained rise in gross margin from ~37% to ~53% materially improves the company's ability to convert revenue into profit. This wider gross margin provides a structural cushion against revenue volatility, supports reinvestment or debt servicing, and increases long-run operating resilience.
Consistent Positive Free Cash FlowPositive free cash flow across the reported years shows the business converts accounting profits to cash, reducing reliance on external financing. Even with some weakening in 2025, persistent FCF supports operational funding, modest capex, and gives management flexibility to address strategic needs.
Moderate Leverage, Rising EquityA debt-to-equity near 0.59 with growing equity indicates a capital structure that is not overly leveraged relative to peers, improving balance sheet resilience. Stronger equity cushions downside shocks and supports credit access, helping the company manage investments and cyclical pressures.