Pre-revenue Status And Recurring LossesAbsence of revenue over multiple years with persistent operating losses signals the business model is not yet commercially proven. Over the medium term this constrains reinvestment, weakens operating leverage, and makes sustainable profitability uncertain without structural changes or successful product commercialization.
Consistent Negative Cash Flow And Rising Cash BurnOngoing negative operating and free cash flow, plus a sharp 2024 deterioration, indicates accelerating cash burn and a shrinking runway. This durable cash-generation weakness heightens execution risk and raises the likelihood of dilutive financings or constrained investment in operations and growth initiatives.
Eroding Equity / Increased Financing RelianceMaterial equity erosion reduces the balance-sheet cushion and, despite modest debt, increases dependency on external capital. Over time this trend limits strategic optionality, raises dilution risk for existing shareholders, and can impair borrowing capacity if market conditions tighten.