High LeverageEven after deleveraging, elevated debt exposes Samhi to interest rate and refinancing risk. Persistent leverage can constrain capital allocation, slow deleveraging, and increase sensitivity to occupancy or ADR shocks, limiting strategic flexibility during downturns.
Volatile Free Cash FlowA near-100% drop in free cash flow growth signals inconsistent cash conversion despite operating profits. Such volatility can impede debt reduction, capital reinvestment, and distributions, forcing reliance on external financing and weakening durability of financial improvements.
Historic Profitability VariabilityA history of multi-year losses shows the business remains cyclical and sensitive to travel demand. Although profitability returned, prior volatility underscores execution and market risks; a renewed downturn could quickly erode margins and delay sustained recovery.