Persistent Cash BurnConsistent negative operating and free cash flow, with a sharp increase in burn in 2025, creates enduring dependence on external funding. For an explorer, rising cash needs amplify dilution risk and can force capital raises that alter ownership and constrain long-term project timelines.
No Revenue / Negative EarningsAs a pre-revenue explorer the firm lacks operating cash inflows and records recurring losses. Without demonstrated revenue or near-term monetization, sustained profitability depends on successful resource discovery or asset monetization, an inherently uncertain multi-period outcome.
Eroding Shareholder EquityMaterial decline in equity over several years reflects cumulative losses and potential dilution. A shrinking equity base weakens the balance sheet cushion, limits ability to absorb further exploration setbacks, and increases likelihood of capital raises that can dilute long-term holders.