TTM Net Loss And Thin MarginsA trailing-twelve-month net loss and razor-thin EBIT margin indicate profitability stress beyond operating margins. Persistent negative net income erodes retained earnings and reduces internally generated capital available for reinvestment, increasing reliance on external funding over the medium term.
Materially Higher LeverageA notable rise in leverage elevates refinancing and interest-rate risk, constraining financial flexibility. With debt materially higher, adverse commodity or cash-flow swings could force spending cuts, asset sales, or higher borrowing costs, stressing capital plans across several quarters.
Deeply Negative Free Cash FlowVery negative free cash flow signals that capital spending and/or working-capital needs outpace operating cash generation. Sustained negative FCF increases dependence on external financing or asset monetizations, raising execution and liquidity risk for ongoing development programs.