Deepening LossesPersistent, deep losses and negative gross profit imply structural margin erosion or pricing/cost mismatches. Continued losses deplete equity, constrain capital for projects, and reduce strategic options; reversing this trend requires sustained margin recovery, not just top-line growth.
Elevated LeverageLeverage at ~4.3x and falling equity materially raises refinancing, interest, and covenant risk. High and worsening leverage limits investment flexibility, increases vulnerability to rate shocks or project delays, and heightens the need for cash generation or external financing to stabilize the balance sheet.
Return To Cash BurnA switch back to negative operating and free cash flow in 2025 signals weakening liquidity and higher funding need. Cash burn forces reliance on debt or equity raises, risking dilution or covenant breaches, and undermines the company’s ability to invest in backlog or respond to market opportunities.