Declining Revenue And Deep LossesSharp revenue declines and persistent large losses undermine the firm's ability to self-fund development and sustain operations. Continued negative margins limit reinvestment, strain stakeholder confidence, and make long-term project execution dependent on external financing or asset sales.
Persistent Negative Cash FlowRepeated negative operating and free cash flows indicate structural cash burn, increasing reliance on funding or asset monetisation. This erodes liquidity over time, constrains capital allocation for development, and raises execution risk for multi-year projects without clear financing plans.
Equity Base At Risk From LossesEven with low leverage today, sustained losses can gradually erode shareholders' equity, reducing the company's cushion against shocks. That deterioration would weaken credit optionality, limit future funding choices, and increase the probability of dilutive financing or asset disposals to meet obligations.