Persistent Profitability ShortfallOngoing negative EBIT and net losses indicate the company has yet to convert revenue growth into sustainable profits. Continued lack of profitability can erode equity, limit retained capital for growth, and may force strategic tradeoffs or capital raises if unaddressed.
Negative Return On EquitySustained negative ROE reflects an inability to generate returns for shareholders from invested capital. Over the medium term this can raise the cost of equity, reduce investor appetite for growth capital, and constrain the company's strategic flexibility.
Rising Debt RelianceAn increasing debt-to-equity trend raises interest and refinancing risk, reducing financial flexibility if cash flows fluctuate. If cash generation falters, higher leverage could force deleveraging or expensive financing, constraining long-term investment plans.