Persistent Negative Cash FlowConsistent negative operating and free cash flow, including FY2025, point to ongoing cash burn that erodes liquidity over time. Without sustained positive cash generation or external financing, the company faces constrained reinvestment capacity and a shrinking financial runway.
Structural UnprofitabilityDeep operating losses and negative EBIT/EBITDA margins indicate the cost base outstrips revenue despite high gross margins. This suggests structural issues—elevated fixed costs or SG&A—that must be addressed for sustainable profitability over the medium term.
Volatile Revenue And Negative ROERevenue has been volatile historically despite the FY2025 rebound, and recurring losses have produced materially negative ROE in prior years. This combination reduces predictability of cash flows and risks ongoing capital erosion, harming long-term investor returns.