No Reported RevenueAbsence of revenue means the company is not yet monetizing operations and remains reliant on financing or equity to sustain activity. Over months this structural lack of cash-generating operations increases dilution risk and limits ability to self-fund growth or de-risk projects.
Persistent Negative Cash FlowConsistent negative operating and free cash flow implies ongoing cash burn to fund operations and investment. Without a pivot to positive cash flow or new financing, continued deficits will deplete reserves, force external funding, and constrain strategic choices over the medium term.
Widening Net Losses And Eroding EquityLarge, widening net losses that erode equity reduce the company's capital buffer and produce negative returns on equity. Continued deterioration can limit operating flexibility, increase perceived risk among counterparties, and raise the likelihood of future dilution or asset sales to replenish capital.