Weak Cash ConversionCash generation is volatile and 2025 showed negative operating and free cash flow despite higher reported earnings, suggesting working-capital or project timing strains. Persistent weak cash conversion undermines funding for capex, dividends, and debt service, increasing reliance on external financing.
Rising Leverage In 2025Leverage jumped in 2025 from near-zero levels to a materially higher debt-to-equity, eroding prior balance-sheet conservatism. Higher leverage raises interest and refinancing risk, reduces bidding and investment flexibility, and amplifies vulnerability if cash flows remain volatile or decline further.
Material Recent Revenue And Profit DeclinesSignificant y/y declines in sales and profits and a materially weaker full-year guidance point to structural demand or execution headwinds. Prolonged revenue contraction reduces operating leverage, pressures margins and returns, and impairs the company’s ability to rebuild cash buffers and fund growth initiatives.