Weak Free Cash Flow From Heavy CapexHigh capital expenditure to build and maintain processing, fleet, and landfill assets is suppressing free cash flow. Persistently low FCF limits internal funding for growth, dividends or debt reduction, increasing reliance on external financing and raising medium-term funding risk.
Rising Total DebtAn upward trend in total debt reduces financial headroom and raises interest and refinancing exposure. If debt continues to grow relative to earnings, the company faces higher fixed charges and potential covenant constraints that could restrict strategic flexibility over months ahead.
Inconsistent Net Margins; Recent EBIT DeclineVolatility in EBIT and net margins signals sensitivity to operating costs, contract mix, or pricing pressure. Margin deterioration can erode cash generation and weaken returns on new projects, making profitability less predictable across the medium term.