High LeverageA 1.55 debt/equity ratio creates meaningful refinancing and interest-rate exposure. Elevated leverage increases fixed financial burdens, reduces flexibility to fund capex or restructuring, and amplifies the risk that cyclical revenue weaknesses translate into solvency stress within the next several months if operational recovery lags.
Negative ProfitabilityA negative net margin means operations do not currently cover all costs after interest and taxes, eroding retained earnings. Persistent losses will deplete equity and constrain reinvestment, forcing either sustained cost cuts or external funding, which would impair competitiveness and strategic flexibility over the medium term.
Weak Cash GenerationNegative free cash flow and poor cash conversion indicate earnings are not translating into cash available for debt service, capex, or dividends. This raises reliance on external financing or asset disposals, limiting the company's ability to invest in growth or stabilize operations in the coming months.