Profitability ChallengesWeak profitability and declining margins indicate operational inefficiencies, which could hinder the company's ability to sustain growth and invest in future opportunities.
Cash Flow IssuesNegative free cash flow and low cash conversion highlight liquidity issues, potentially limiting the company's financial flexibility and ability to fund operations.
Increased Leverage RiskHigher leverage increases financial risk, potentially impacting the company's ability to manage debt obligations and invest in growth initiatives.