Declining Revenue TrendSustained revenue declines reduce scale and magnify unit costs in a fixed-cost mining model. Over several months this erodes margins, limits reinvestment capacity and makes meeting contractual volumes harder, raising execution and cash-flow risk as commodity cycles persist.
Negative Profitability / MarginsNegative EBIT and net margins reflect an inability to cover operating and fixed costs from sales, undermining retained earnings and ROE. Persisting margin deficits constrain capital allocation, limit buffer for downturns and may force structural cost reductions or asset adjustments.
Declining Free Cash Flow GrowthA meaningful drop in free cash flow growth reduces financial flexibility to fund maintenance capex, sustain dividends or shore up working capital. In a capital-intensive mining business, weaker FCF conversion increases likelihood of external financing or deferred investments.