Weakened Balance SheetNegative equity combined with a large increase in debt materially reduces financial flexibility and raises refinancing risk. Over the medium term this weak capital structure can force costly financing, constrain investment or partnerships, and limit the company’s ability to fund launches or sustain operations without dilution.
Persistent Operating Cash BurnConsistent negative operating and free cash flow (~-35M) means the business is not self-funding and must rely on external capital. Over several months this structural cash burn increases the probability of dilutive financings or asset monetization, and constrains long-term investments in commercialization or R&D.
Highly Volatile ProfitabilityLarge swings from 2023 profitability to deep losses in 2024–2025 create persistent uncertainty around margin sustainability and forecasting. Such volatility undermines partner negotiations, reimbursement discussions, and strategic planning, making durable improvement in cash generation and earnings less predictable.