Uneven Cash GenerationLarge swings in operating and free cash flow driven by project timing and working-capital movements reduce predictability of internal funding. This volatility can force reliance on external financing at inopportune times, constrain capital allocation and elevate liquidity management needs.
Margin And Execution VariabilityVariable gross and operating margins tied to project mix and execution indicate results hinge on contract management. Persistent variability can compress long-term profitability, complicate forecasting and weaken competitive positioning if peers manage execution more consistently.
Past Spike In Leverage (2024)The 2024 debt surge shows exposure when funding large projects or during stress; while subsequent deleveraging is positive, recurrence would raise refinancing, covenant and cost-of-capital risks. This episodic leverage risk can limit strategic flexibility if repeated.