Weak Balance Sheet / Low EquityPersistent low equity and a history of negative equity leave limited loss absorption and constrain financing flexibility. High leverage raises refinancing and solvency risk, which can hamper capital expenditure, strategic initiatives and resilience through economic stress.
Deteriorating Cash GenerationThe collapse in operating and free cash flow shows difficulty converting profits into cash, undermining self‑funding of operations and growth. Over months, weak cash conversion increases reliance on external funding and limits ability to invest or absorb shocks.
Operational Margin VolatilityFluctuating operating margins indicate inconsistent cost control or exposure to volatile input/market conditions. Persistent margin volatility complicates forecasting, weakens sustainable profitability claims, and raises execution risk for long‑term margin expansion plans.