Persistent Negative Cash FlowOngoing negative operating and free cash flow requires repeated external funding to sustain expansion, increasing dilution and financing dependence. Over months this constrains cash runway, limits ability to self-fund new sites, and raises execution risk if capital markets tighten or investor appetite wanes.
Rising LeverageRapidly increasing debt relative to equity elevates financial risk and reduces balance-sheet flexibility. Higher leverage increases interest burdens and refinancing exposure, which can hamper investment choices and magnify downside if growth or cash generation slows in the medium term.
Continued Net LossesMaterial net losses show that depreciation, financing and other non-operating costs still outweigh operating gains. Persistent negative net margins impede equity accumulation, limit reinvestment from earnings, and mean profitability depends on sustained scale, cost control, or lower financing costs to convert positive EBITDA into net profits.