Margin CompressionShrinking net, gross and operating margins point to structural cost pressure or retail pricing erosion in a competitive MVNO market. If higher wholesale network costs or pricing competition persist, margin recovery will be difficult, limiting sustainable free cash flow and reinvestment capacity over the medium term.
Weak Cash ConversionBelow-par cash conversion means reported profits translate poorly into free cash, reducing internal funding for growth or debt reduction. Persistent weak conversion heightens reliance on external financing and increases vulnerability to working-capital swings, constraining strategic flexibility.
Meaningful Debt & Volatile LeverageAlthough leverage is lower today, the prior sharp increase shows balance-sheet variability. Meaningful outstanding debt still creates interest and refinancing risk; recurring swings in leverage could limit long-term planning and leave the firm exposed if cash generation weakens further.