Negative Equity / Weak Balance SheetPersistent negative equity signals solvency and capital-structure fragility, constraining access to conventional debt and increasing refinancing risk. Over months this limits strategic flexibility, raises creditor scrutiny, and can force dilutive funding or asset sales to stabilize the balance sheet.
Ongoing UnprofitabilityDespite revenue gains, continued negative margins mean the business has not yet achieved unit economics or cost structure efficiency. Over the medium term this threatens cash flow sustainability and requires clear progress in margin expansion to avoid structural dependence on external funding.
Reliance On Financing HistoryA history of dependence on financing to cover shortfalls, combined with negative equity, heightens funding risk. If operating cash improvements stall, the company may face limited financing options or higher cost of capital, pressuring strategic investments and survival odds over the next several months.