Large Persistent Net LossesVery large, ongoing net losses materially weaken retained earnings and capital resilience. Over several quarters, losses constrain reinvestment, extend reliance on external funding, and require a credible profitability roadmap; absent that, execution risk and dilution pressure remain elevated.
High Leverage And Balance Sheet RiskRising debt and prior negative equity indicate financial fragility. High leverage increases interest and refinancing risk, limits strategic flexibility for M&A or capex, and magnifies cyclicality effects, making multi‑quarter resilience dependent on sustained cash generation or deleveraging.
Ongoing Profitability And Margin PressureHealthy gross margin contrasts with negative EBIT/EBITDA, highlighting elevated operating costs or scaling inefficiencies. Persisting operating losses reduce free cash flow conversion and undermine long‑term margin sustainability unless structural cost reductions or higher‑margin revenue mix are achieved.