Negative Operating Cash FlowPersistent negative operating cash flow indicates core operations do not yet generate sustainable cash, forcing reliance on financing or asset sales. Over months this undermines the firm's ability to self-fund exploration and development, increasing execution and liquidity risk for project advancement.
Persistent UnprofitabilityNegative EBIT and net margins show the company cannot currently convert gross profits into operating earnings. Structurally high operating or exploration costs relative to revenue threaten long-term shareholder returns and imply continued pressure on ROE until margins improve or costs are restructured.
Reliance On Non-operational CashDependence on non-operational cash (e.g., financing, asset disposals) for reported free cash flow is not durable. Over 2-6 months this raises funding uncertainty for development, increases refinancing risk, and makes operating performance vulnerable to capital market access and one-time items rather than recurring cash generation.