Elevated LeverageSustained high leverage raises refinancing and interest-rate sensitivity, constraining financial flexibility. In a capital-intensive development model, elevated debt amplifies execution risk and could limit ability to pursue opportunistic projects during tighter funding conditions.
Weak, Volatile Cash ConversionInconsistent operating cash flow and very low free cash conversion mean reported profits rarely convert into discretionary cash. This undermines capacity to deleverage, pay dividends, or self-fund development without recurring external financing, creating long-term funding risk.
Uneven Growth And Project Timing CyclicalityRevenue and earnings are lumpy due to project completions and disposition timing, exposing the business to cyclical market risk. This unevenness reduces revenue predictability, complicates cash planning and increases reliance on successful project execution to sustain growth.