Inconsistent Net Profit MarginsWide swings in net profit margins signal earnings volatility driven by mix, one-offs, or cost pressures. Persistent margin inconsistency undermines free cash flow predictability, complicates capital allocation decisions and long-term investor confidence in profitability.
Fluctuating Free Cash FlowIrregular free cash flow indicates uneven cash conversion and possible capex timing or project spend issues. This weakens the company’s ability to self-fund capacity expansion or absorb shocks, increasing reliance on external financing for strategic investments.
Sharp Negative Revenue And EPS GrowthVery large negative revenue and EPS growth metrics point to recent top-line and earnings deterioration. Sustained declines reduce scale benefits in CDMO, pressure margins, and may reflect lost contracts or product issues that require structural remediation to restore growth.