Negative Shareholders' EquityMeaningfully negative equity is a persistent solvency signal that erodes creditor and investor confidence. It increases dilution and borrowing costs, limits access to traditional financing, and forces reliance on dilutive capital or costly arrangements, constraining long-term strategy.
Persistent Operating Cash BurnConsistent negative operating and free cash flow shows the core business does not self-fund growth. This structural cash burn requires recurring external financing, limits reinvestment in marketing or R&D, and heightens execution risk over the next several quarters.
Structural Unprofitability And Revenue VolatilityNegative gross margins and erratic revenue indicate weak product-market fit or cost structure problems. Without sustained gross-profit recovery, margin sustainability is unlikely, impairing the company's ability to scale profitably and compete in the longer-term plant‑based market.