Negative Cash FlowPersistent negative operating and free cash flow forces reliance on balance-sheet resources or external financing to fund working capital and project delivery. This structural cash burn limits reinvestment, increases funding risk during contract timing swings, and compresses operational resilience.
Ongoing Net LossesContinued net losses erode retained earnings and impair the company's ability to self-fund growth. Even with improving revenue and margins, sustained negative profitability undermines long-term return prospects and heightens dependence on capital raises or creditor support.
Eroding Equity & Weak ReturnsDeclining equity and deeply negative returns reduce the financial cushion for project overruns and bidding risk. A thinner equity base increases vulnerability to unexpected losses, constrains credit access and raises the structural cost of capital for contract-led expansion.