Free Cash Flow VolatilityMaterial swings in free cash flow, and a sizable negative FCF in 2023 tied to elevated capex, can constrain liquidity and limit optionality for dividends, buybacks or opportunistic investments, creating medium-term funding risk if capex remains high.
Recent EBIT DeclineA decline in EBIT year-over-year points to pressure on operating profitability—possibly from cost inflation or product-mix shifts. If these operational headwinds persist, margin sustainability and operating cash conversion could be impaired over the next several quarters.
End-market Cyclicality (steel & Foundry)Revenue is directly linked to steel and foundry production cycles, making demand sensitive to industry downturns. Structural cyclicality in end markets can cause prolonged revenue and utilization volatility, challenging steady growth and planning in a 2–6 month horizon.