Declining RevenueA revenue decline despite margin recovery signals demand weakness, pricing pressure, or loss of volume/clients. Reduced top-line scale can limit fixed-cost absorption and make it harder to convert operational gains into durable profit growth unless growth drivers or new commercial partnerships are secured.
Profitability Not Yet ConsistentAlthough losses have narrowed, persistent slight negative net income and inconsistent EBIT mean returns are not yet established. This undermines retained-earnings growth and makes funding expansion or IP commercialization riskier without sustained, repeatable profitability across quarters.
Volatile Cash Flow HistoryHistoric swings between strong outflows and recent positive FCF indicate cash generation is episodic. That volatility complicates forecasting, elevates the probability of future financing needs during stress, and weakens confidence in the durability of improvements absent consistent cash flow over multiple periods.