Declining RevenueDouble-digit top-line shrinkage undermines scale economics and pressures margins and operating leverage. Persistent revenue decline over successive periods signals structural demand or market-share loss risk, constraining reinvestment and recovery prospects over the medium term.
High Financial LeverageA D/E around 4x indicates heavy reliance on debt financing, raising refinancing, liquidity and covenant risk. High leverage limits strategic flexibility, increases interest burden and can force asset sales or curtailed capex during economic stress, impairing long-term competitiveness.
Deteriorating Cash FlowSeverely negative free cash flow growth and weak operating cash generation versus losses imply a structural funding gap. Reliance on external financing to fund operations raises solvency risk and hampers the firm's ability to fund necessary logistics capex or property upkeep sustainably.