Elevated LeverageHigh and persistent leverage raises refinancing and interest-rate sensitivity for a development-heavy firm. If funding conditions tighten or project cash flows slip, elevated debt amplifies downside risk to liquidity and execution, making growth contingent on stable credit access.
Weak And Volatile Cash ConversionThin free cash flow versus earnings and prior operating cash shortfalls show profits don’t consistently convert to discretionary cash. For a capital-intensive developer this raises funding reliance on new debt or equity and increases execution risk across multi-year project cycles.
Uneven Growth / Project Timing RiskVolatile year-to-year growth suggests revenue and profits are sensitive to project timing and disposition schedules. This cyclicality can compress margins and cash generation in down cycles and complicate forecasting and capital allocation over the medium term.