Weak Cash ConversionA collapse to zero free cash flow materially reduces funding flexibility for dividends, development and debt reduction unless reversed. Persistent weak cash conversion forces reliance on asset sales or external financing, raising execution risk and constraining the firm's ability to sustain capital returns over the medium term.
Earnings VolatilityLarge swings in reported earnings indicate exposure to valuation, asset sale timing and market cycles, reducing predictability of distributable income. This volatility complicates capital planning and investor confidence, making medium-term forecasting and steady dividend policy more challenging if underlying earnings normalisation falters.
Elevated LeverageHigher net debt to EBITDA raises refinancing and interest-rate sensitivity, constraining strategic optionality. Even with plans to reduce leverage, achieving sub-7x depends on successful disposals and cash generation; prolonged elevated leverage increases risk to balance-sheet flexibility during market stress.