Persistent Cash BurnOperating and free cash flow remain deeply negative on a TTM basis, indicating the business cannot self-fund growth or operations. Persistent cash burn raises reliance on external financing, risks dilution or restrictive financings, and limits the company's ability to invest sustainably in commercialization.
Loss-making And Volatile EarningsThe company's earnings profile is unstable with large net losses and deeply negative operating margins. Historical revenue volatility and inconsistent profitability hinder predictable cash generation, impair long-term reinvestment capacity, and increase execution risk for turning high gross margins into sustained net profitability.
Restrictive Financing Covenants & TriggersThe secured notes include broad security interests, strict reporting and structural covenants, and Major/Minor Triggers that can accelerate repayment or raise balances/interest up to 25%. These terms constrain capital-structure flexibility, raise default risk, and could force costly remedies that impair long-term execution.