Very Weak ProfitabilityExtremely thin gross margin and a deeply negative net margin indicate the core business currently lacks sustainable earnings power. Structural profitability shortfalls erode reserves, hinder reinvestment, and make operational turnaround hard without meaningful margin improvement.
Negative Cash GenerationPersistent negative operating and free cash flow (~-68.4M) creates ongoing liquidity strain, forcing reliance on external funding or asset sales. Over a multi-month horizon this weakens operational independence and raises rollover and covenant risks if cash burn persists.
Rising Debt & Eroding ROEIncreasing debt alongside a deeply negative ROE (~-92%) signals shareholder value erosion and rising financial risk. Structurally, this combination reduces strategic flexibility, increases interest burden, and raises default or dilution risk absent a credible path to sustained profitability.