Recurring Net LossesPersistent annual losses and irregular or zero reported revenue signal a structural inability to generate stable top-line income. Over the medium term this erodes shareholder capital, increases reliance on financing, and threatens long-term viability unless revenues become consistently positive.
Chronic Negative Operating And Free Cash FlowOngoing operating and free cash flow deficits create sustained cash burn, forcing dependence on external funding (equity or debt). This structural cash weakness limits reinvestment capacity, raises dilution or refinancing risk, and constrains the company's ability to scale operations over months.
Structurally Negative Profitability And Weak ROEConsistent negative margins and negative ROE indicate shareholder capital is not producing returns and may be eroded over time. This fundamental profitability weakness undermines long-term investor confidence and increases the likelihood of dilution or strategic restructuring if deficits persist.