Negative Gross Profit And Large Net LossesNegative gross profit and persistent net losses show the core technology has not yet generated sustainable margins. This undermines operating leverage and return metrics, erodes equity over time, and means future growth must translate into meaningful gross-profit recovery to create a durable, self-funding business.
Heavy Cash Burn And Worsening Free Cash FlowDeeply negative operating and free cash flows raise ongoing financing risk and the likelihood of dilution or restrictive financing terms. Persistent cash burn limits runway for R&D or commercialization investment and makes the company dependent on external capital access over the medium term.
Small Operating ScaleA very small headcount constrains internal capacity to manage complex drug-delivery projects, regulatory filings, and larger partnerships. Heavy reliance on partners and contractors increases execution risk and may slow productization, scale-up, and oversight as collaborations move toward commercial stages.