Negative Profit MarginsPersistent negative EBIT and net margins indicate the company is not operationally profitable, likely due to high operating costs. Over months, this undermines self-funding for scaling, increases reliance on external capital, and raises execution risk for commercial production targets.
Poor Cash Flow ConversionNegative FCF growth and weak conversion of income into cash create a structural funding shortfall for capital-intensive geothermal projects. Without sustained positive operating cash flows, the company will face ongoing financing needs that can delay project milestones and dilute shareholders.
Recent Revenue DeteriorationA recent ~26.6% revenue decline signals execution or timing issues in scaling production or sales. Over a multi-month horizon, falling revenue combined with negative margins increases uncertainty about ramp schedules, contract delivery and the company’s path to steady commercial revenues.