Persistent Net LossesOngoing net losses erode shareholder equity and constrain reinvestment capacity, forcing reliance on external funding. Persistent unprofitability undermines long-term sustainability, limits ability to build reserves, and increases vulnerability to funding or market shocks.
Negative Cash FlowsNegative operating and free cash flows indicate the business cannot self-fund operations or investment. This creates structural liquidity pressure, increases dependency on financing, and restricts strategic flexibility for capex, exploration or working capital needs over multiple quarters.
Revenue VolatilityHigh revenue volatility reduces predictability of cash generation and margins, complicating planning and capital allocation. Structural demand or project concentration issues make revenue and margin recovery uncertain, raising execution risk for sustained recovery.