Declining Revenue And EPSA falling top line and sharply negative EPS growth point to weakening volumes, pricing pressure, or cost absorption issues. Over several quarters this erodes operating leverage, constrains reinvestment, and can signal structural end-market softness or loss of competitive positioning if not reversed.
Negative Free Cash Flow / Weak Cash ConversionPersistent negative free cash flow and poor conversion of profits to cash undermine liquidity and limit the company's ability to fund capex, pay dividends, or build reserves. Over the medium term this increases reliance on external financing and reduces tactical flexibility to invest in growth or weather input shocks.
Margin Compression At The Net/EBITDA LevelDeclining net and EBITDA margins indicate rising cost pressures, weaker pricing, or adverse mix changes. If these trends persist they will reduce retained earnings, lower return on equity, and limit ability to fund strategic initiatives despite a strong balance sheet, weakening long-term competitiveness.