Persistent Negative Cash FlowChronic negative operating and free cash flow undermines the firm's ability to self-fund operations, capex and debt service. Over time this raises refinancing and liquidity risk, constrains reinvestment in origination and asset management, and pressures solvency if not reversed.
Sustained UnprofitabilityPersistent negative margins indicate core profitability issues in leasing operations and pricing. Without margin recovery, the company will erode equity, struggle to generate returns on capital, and lack retained earnings to support growth or absorb shocks over the medium term.
Revenue Volatility & Negative ROEVolatile or declining revenue together with negative ROE impairs forecasting and capital allocation. This combination weakens investor confidence, limits strategic reinvestment, and increases the time and capital required to restore sustainable profitability and return generation.