Negative Free Cash FlowPersistent negative free cash flow forces reliance on equity or debt financing to fund operations and growth. Over months this constrains capital allocation, limits ability to invest in product development or scale teams, and raises dilution or refinancing risk if losses continue.
Ongoing Operating LossesContinued negative EBIT and net margins demonstrate the cost base still exceeds current scale. Without sustained margin improvement or faster revenue scale, profitability remains distant, limiting retained earnings accumulation and reducing resilience to competitive pressure.
Rising Debt Trend And Negative ROEAlthough leverage is moderate today, an upward debt trend paired with deep negative ROE increases financial risk if losses persist. Higher debt servicing or tighter funding conditions would constrain strategic options and could force cost cuts or equity raises, diluting long-term returns.