Elevated Leverage Versus TargetsCapital structure remains debt‑heavy, limiting financial flexibility. Elevated leverage increases interest and refinancing risk, constrains capacity for material capital returns, and requires sustained cash generation to reach target leverage over multiple quarters.
Sustained Input-cost Pressure On MarginsMaterial input-cost inflation has structurally compressed gross margins unless offset by pricing or productivity. Persistent commodity and labor cost pressure can cap margin recovery and force ongoing price or mix actions, impacting medium-term profitability sustainability.
Restructuring Costs And Capital-allocation UncertaintyPlanned restructuring will incur near-term charges while benefits are back‑ended to 2027, creating execution and visibility risk. Combined with a deferred capital‑return policy and H1 investment outflows, this limits predictable returns to shareholders and complicates short‑term cash deployment.