Negative Free Cash FlowPersistent negative free cash flow constrains self-funded investment and debt reduction. Even with improved operating cash flow, weak cash conversion risks recurring external financing, limiting strategic flexibility and increasing exposure to interest and refinancing cycles over months to years.
Rising LeverageElevated and rising debt versus equity increases financial risk for a low-margin business. Higher leverage raises interest obligations, reduces resilience to raw-material swings, and constrains capital allocation choices, weakening the company’s ability to invest or weather downturns without external support.
Thin, Volatile MarginsVery thin net margins and sharp gross-margin compression highlight sensitivity to aluminium input costs and pricing dynamics. Margin volatility undermines earnings durability, making cash flows fragile and reducing scope to absorb cost shocks or fund growth without margin improvement.