Rising LeverageA dramatic increase in debt materially raises financial risk and reduces flexibility. Higher leverage heightens sensitivity to profit shocks and interest costs, constraining capital allocation and making execution of growth plans more dependent on favourable financing conditions.
Negative Free Cash FlowSustained negative free cash flow after 2024 indicates reinvestment or working-capital needs outpacing cash generation. Combined with rising debt, persistent FCF deficits require continued external financing, increasing refinancing and liquidity risk over the medium term.
Margin CompressionMaterial margin decline and weaker operating profit despite revenue growth point to rising costs or integration inefficiencies. Compression reduces earnings resilience, weakens cash available for debt service, and undermines long-term return on invested capital if cost trends persist.