Revenue CollapseA complete collapse of revenue is a structural red flag: it prevents leveraging fixed costs, halts organic reinvestment, and undermines credibility with distributors and regulators. Absent sustained sales, product validation and long-term commercial viability are highly uncertain.
Negative Equity & Rising DebtPersistent negative equity and materially higher leverage reduce financial flexibility and raise refinancing risk. This structural balance sheet weakness limits the company's ability to fund registrations, scale production or absorb shocks without dilutive or costly financing.
Persistent Cash BurnConsistently negative operating and free cash flow indicates reliance on external funding to sustain operations. Structurally, this constrains investment in commercialization and regulatory dossiers, increases dilution risk, and makes long-term execution contingent on securing reliable financing.