Volatile Cash Generation; Negative FCF In 2025A sharp reversal to negative free cash flow in 2025 undermines confidence in the company's ability to consistently convert profits into cash. Persistent volatility threatens funding for capex, dividends and working-capital needs, and could require external financing or asset actions.
Weak Revenue Momentum 2023–2025Stagnant-to-slightly-declining sales over multiple years constrains earnings leverage and limits scale economies. Without renewed top-line growth, the company must rely on margin expansion or share gains, making long-term revenue diversification and investment outcomes more critical.
2025 Gross Margin Weakness Signals Mix/cost PressureAn unusually low gross margin in 2025 suggests product-mix shifts or inability to fully pass through input-cost inflation. If structural, this pressure can erode the recent margin gains and force either price increases that hurt volume or margin compression that weighs on profitability sustainability.