The Globe and Mail reports in its Wednesday, March 20, edition that Stifel analyst Martin Landry downgraded Flow Beverage from "speculative buy" to "hold" due to balance sheet and operational risks following "disappointing" fourth quarter 2024 results. The Globe's David Leeder writes that on Monday, Flow posted cash losses from operations of $9-million before working capital changes, down 42 per cent year-over-year and below Mr. Landry's expectation of a loss of $6-million. Mr. Landry says in a note: "Flow is generating significant operating losses that are depleting the company's cash balance. ... Cash losses from operations amounted to roughly $25-million despite the company stretching its accounts payables by $16-million year-over-year. Flow's balance sheet has continued to deteriorate and is in the worst position it has been since the IPO with a net debt of $27-million, vs. a net cash position of $14-million two years ago. Additionally, management will need increase CAPEX in the coming quarters to support future growth, which likely pushes back the inflection point to positive free cash flow. Flow's precarious balance sheet position triggered a going concern note for the first time in its financial statements."