Large, Persistent Net LossesSustained, sizable net losses reflect a cost base far above current revenues and erode shareholder capital. Over time, continued losses can impair strategic flexibility, necessitate frequent funding, and complicate the path to sustainable profitability even with promising clinical data.
Worsening Operating Cash BurnIncreasing negative operating and free cash flow constrains runway and forces reliance on external capital. Structurally, persistent cash burn pressures R&D pacing and may necessitate dilution or partnership trade-offs if revenue scaling does not materialize within the next funding cycle.
Ongoing Dependence On Equity FinancingsRepeated equity financings signal reliance on capital markets to sustain operations. While financings provide liquidity, they increase dilution risk and reflect that the business is not yet self-funding; long-term investor returns depend on successful clinical commercialization or sustained revenue growth.