Negative Gross Profit And Persistent Operating LossesNegative gross profit in 2025 and ongoing operating losses indicate core product economics are currently unfavorable. If unit-level margins remain negative, the business cannot self-sustain through sales growth alone and must materially improve manufacturing, pricing, or product mix to reach durable profitability.
Consistent Cash Burn And Meaningful Negative Free Cash FlowSustained negative operating and free cash flow (≈-56.5M in 2025) creates persistent funding requirements. Reliance on external financing increases dilution and execution risk, and makes long-term product investments conditional on capital access rather than internal cash generation, weakening durability.
Uneven Revenue Trajectory And Recent Y/y DeclineA 17% revenue decline in 2025 after multi-year growth signals volatile demand or execution issues. Unpredictable top-line trends hinder margin leverage, planning for manufacturing and sales investments, and delay reaching scale where fixed costs and R&D amortization improve long-term profitability.