GAAP Unprofitability PersistsAlthough losses narrowed in 2025, GAAP profitability is not yet achieved and net margin remains negative. Persistent GAAP losses limit retained earnings, reduce resilience to demand shocks, and mean long-term shareholder returns depend on sustained margin recovery rather than near-term improvements alone.
Negative Free Cash FlowContinued negative free cash flow, despite better operating cash, signals the business still consumes cash after investments. Structural negative FCF raises financing reliance, constrains strategic optionality, and increases execution risk if revenue or margin trends slow over the medium term.
High Capex And Supply ConstraintsA heavy 2026 capex program and supply-chain capacity limits make growth capital intensive and timing-sensitive. This structural investment requirement compresses near-term margins, elevates depreciation and working-capital needs, and risks delayed monetization if supply cannot scale in line with AI demand.