Improving Cash OutflowOperating and free cash flow remain negative, but the documented improvement in 2025 versus 2024 suggests management has begun to reduce cash burn. If this trend is sustained over the next several quarters, it meaningfully extends runway and reduces near-term financing pressure, improving the odds of executing a plan to reach self-funding.
Narrowing Net LossesA material narrowing of the net loss indicates active cost control or operational adjustments that are improving earnings quality. For a pre-revenue firm, persistent shrinkage of losses is a durable indicator that management can tighten operations and move the business closer to break-even if coupled with future revenue generation.
Prior Positive EquityThe company having reported positive shareholders' equity in 2020-2021 shows it was previously solvent and had a stronger capital base. That history can matter structurally: it may indicate earlier fundraising or assets that could be leveraged, and it suggests the entity is not a de novo venture, which can help in negotiating financing or restructuring.