Sharp Revenue DeclineA >30% revenue decline materially reduces scale economics, weakens pricing power, and raises unit costs as fixed overheads are spread over fewer sales. Recovery can be slow in packaging where capital intensity and long lead times limit rapid capacity reallocation, pressuring margins and returns.
Negative Operating And Free Cash FlowNegative operating and free cash flow constrain the company's ability to self-fund working capital, maintenance capex, and R&D. Persistent cash outflows increase reliance on external financing, elevate liquidity risk, and can force cuts to strategic investments that underpin long-term competitiveness.
Persistent Unprofitability And Negative ROEContinued operating losses and negative ROE indicate the business is not creating shareholder value and may struggle to attract investment. Structural unprofitability limits ability to pay dividends, rebuild reserves, or pursue growth initiatives without dilutive financing or heavy cost restructuring.