No Revenue And Widening LossesThe absence of revenue and a TTM net loss of roughly $3.2M create a fundamental constraint: the business cannot self-fund operations. Over months this forces repeated external funding, elevating execution and dilution risk and making a clear path to sustainable operations uncertain.
Persistent Negative Operating Cash FlowConsistent negative operating and free cash flow demonstrates chronic cash burn, implying ongoing dependence on financing. This structural cash deficit pressures management to secure capital repeatedly, increasing dilution risk and constraining the ability to scale or capitalize on opportunities.
Elevated Leverage And Declining EquityHigh debt relative to equity for a pre-revenue explorer elevates refinancing, covenant, and interest risks. Declining equity signals erosion of the capital base, reducing financing flexibility and increasing the chance that future capital raises will be dilutive or more costly over the medium term.