Negative Operating And Free Cash FlowPersistent negative operating and free cash flows indicate the core business is not yet self-funding and requires external capital to sustain operations and growth. Continued cash burn forces recurring financing, increasing dilution or leverage risk and constraining long-term financial flexibility.
Deep Operating Losses And Weak ProfitabilitySustained negative EBIT/EBITDA and net margins show costs still far outpace revenues, limiting the company's ability to generate returns on invested capital. Without structural cost reductions or significant scale, profitability is unlikely, undermining long-term capital efficiency and investor returns.
Legal, Leverage And Project-execution RisksA filed securities class action plus disclosed covenant, refinancing and project-execution risks create persistent legal and operational overhang. Such risks can increase financing costs, divert management attention, and delay critical data‑center milestones, threatening the durability of projected cash flows.