ProfitabilityPersistent negative margins and a negative return on equity indicate the company is not converting revenue into sustainable profit. Over months this weakens reinvestment capacity, increases dilution risk from future funding, and complicates transition from exploration to a self-funding development business model.
Cash Flow WeaknessOngoing negative operating and free cash flows create structural liquidity pressure, forcing reliance on external capital. Over the medium term this raises funding execution risk, may delay exploration or studies, and increases vulnerability to capital market conditions when raising equity or securing partners.
Capital-Raising RelianceAn exploration-stage funding model dependent on equity issuance and asset sales exposes long-term plans to market sentiment and dilution risk. Without recurring operating income, project timelines and deliverables hinge on successful raises or JV funding, constraining predictable progression to development.