Elevated LeverageHigh debt relative to equity is a persistent structural constraint for a capital-intensive renewables platform. Elevated leverage increases interest and refinancing exposure, limits strategic flexibility for further project funding, and elevates balance-sheet risk if cash generation weakens.
Persistent Negative Free Cash FlowDespite positive operating cash flow, recurring deeply negative free cash flow forces reliance on external financing to fund capex and construction. Over time this raises execution and dilution risk, and constrains the company's ability to deleverage or self-fund newer projects without raising more capital.
Interconnection / Safe-harbor & Timing BottlenecksStructural interconnection delays and tax safe-harbor limits create conversion risk from pipeline to CODs. These bottlenecks can push revenues and tax-incentive realization later, complicating multi-year ARR visibility and pressuring returns on some projects that require reengineering or supplier changes.