Negative Operating & Free Cash FlowPersistent negative operating and free cash flows signal the company cannot self-fund exploration and development. Over months, this forces reliance on equity raises, JV funding, or dilutive financing, which limits strategic flexibility and heightens execution risk if exploration does not yield near-term monetizable resources.
Unprofitability And Negative MarginsSustained negative EBIT and net margins reflect structural inability to convert operations into profits. This undermines retained earnings, reduces reinvestment capacity, and pressures capital efficiency; without a clear improvement in project economics or cost structure, long-term competitiveness remains constrained.
Inconsistent Revenue GrowthVolatile and declining revenue hampers long-term planning and suggests exploration success has not yet translated to stable production or sales. This inconsistency complicates forecasting, makes long-term contracts or partnerships harder to secure, and prolongs reliance on external funding.