Material Net Margin DeteriorationA greater-than-50% drop in net margin suggests persistent cost pressures, pricing erosion, or non-operating losses that reduce profitability. If margins remain compressed, return generation and cash conversion will be impaired, weakening long-term earnings durability.
No Operating Cash Flow In 2024Absence of operating cash flow undermines self-funded growth and liquidity cushions. Even with past free cash flow, continued cash generation weakness may force external financing or capex cuts, constraining sustainable operations and investment over the medium term.
Low And Declining ROEROE under 3% indicates the company is not efficiently converting equity into profits. With a large equity base but weak returns, shareholder value creation is limited unless profitability or asset turnover improves, posing a structural challenge for investors.