Elevated Leverage Above TargetsLeverage materially above target limits strategic optionality and raises financing vulnerability to shocks. Until net debt falls into the stated 1.5–2x range, cash flow must prioritize deleveraging over growth or shareholder returns, constraining long-term capital allocation flexibility and increasing refinancing risk.
Sustained Input-cost Margin PressureLarge, multi-factor input-cost headwinds materially compress gross margins absent offsetting price or structural savings. If commodity, labour or FX pressures persist, margin recovery depends on efficiency programs and pricing power, making medium-term margin sustainability less certain.
Retail Weakness And Timing UncertaintyFlat retail performance and historically volatile revenue reduce top-line predictability. Coupled with one-off restructuring costs and back‑loaded capex (H1 cash headwinds), this timing uncertainty risks delaying expected savings and deleveraging, making medium-term earnings improvement uneven.