Weak Cash GenerationDespite accounting profit, operating cash flow remains negative and free cash flow is deeply negative, reflecting heavy investment and cash burn. Persistent negative cash generation forces reliance on external financing, dilutes shareholders or constrains project timelines, and is a durable operational risk until cash flow turns positive.
History Of Losses And Low ROEThe company has a history of multi-year losses and delivered only minimal ROE (~0.3% in FY2025). This weak track record signals that capital has not consistently generated returns, raising structural questions about execution, asset quality, and management’s ability to convert investments into sustained shareholder value.
Lack Of Recurring Operating RevenueAs an exploration-focused business without established recurring operating revenues, the company remains reliant on project milestones and periodic financing. This structural revenue volatility increases funding risk, makes long-term planning harder, and heightens sensitivity to exploration results and capital market access.