Persistent Cash BurnChronic negative operating and free cash flow erode liquidity and force ongoing financing. Over months this limits investment in projects, increases dilution or financing risk, and can pressure the equity cushion if improvements stall.
Multi-year Operating LossesSustained net losses mean the company has not demonstrated durable earnings power. Persistent negative margins hinder self-funding, raise the probability of future capital raises, and can progressively erode shareholder equity if recovery is not achieved.
Very Small Revenue BaseMinimal revenue indicates the business remains at an early or non-scaled stage, reducing leverage to cover fixed costs. Structurally, low sales limit margin recovery options and make operational improvements reliant on external capital or material commercial wins.