Persistent Negative Operating And Free Cash FlowSustained negative operating and free cash flow means core operations currently consume cash rather than fund growth. Losses converting to real cash outflows elevate refinancing and dilution risk and constrain the company's ability to invest in commercialization or R&D without additional financing.
Ongoing Net Losses And Weak ProfitabilityDespite improving gross margin, operating losses and negative net margins persist, implying the current revenue base is insufficient to cover fixed and SG&A costs. Without durable margin expansion or sharp cost discipline, losses will continue to erode equity and limit reinvestment capacity.
Balance-sheet Volatility And Leverage RiskThe company’s capital structure has swung between deficit and positive equity, and moderate leverage persists. This history of instability signals reliance on external funding and reduces financial flexibility, making the firm vulnerable to capital market conditions when scaling operations.