Improving Margins And Operating ProfitabilityGross margin expansion (about 38% in 2025 vs ~35% in 2024) and sustained mid-teens operating margins point to durable product-level economics. Across engineering polymers, higher mix, pricing power, and cost control support margin sustainability even if top-line growth is modest.
Conservative Leverage And Resilient Balance SheetLow leverage in recent years provides financial flexibility for capex, acquisitions or downturns. A sizable equity base and ROE around 9–10% support resilience; the conservative capital structure reduces refinancing and liquidity risk over a multi-quarter horizon.
Consistent Operating Cash Flow And Rising Free Cash FlowPositive and consistent operating cash generation with FCF rebounding in 2025 shows earnings are backed by cash. Strong cash conversion underpins dividends, reinvestment, and deleveraging capacity, enhancing long-term financial stability and strategic optionality.