Declining RevenueA near 40% revenue decline is a persistent structural concern: shrinking top-line reduces scale, limits the ability to absorb fixed overhead, weakens negotiating leverage, and undermines the path to profitability absent clear and sustained revenue recovery.
Persistent Cash BurnConsistent negative operating and free cash flow indicate ongoing cash burn that will require repeated external financing or asset sales. This structural outflow pressures liquidity, can force dilutive funding events, and limits reinvestment capacity.
Widening Losses And Eroding EquityMaterial losses and a more than 50% decline in shareholders' equity signal persistent value erosion. This weakens the balance sheet buffer, reduces financial flexibility for growth or shocks, and increases reliance on external funding as internal capital is consumed.