Pre-revenue OperationsZero revenue means the company lacks an operating cash engine and remains fully dependent on external financing or asset disposals. This structural state prolongs execution risk, makes margin durability untestable, and places long-term value creation contingent on successful project commercialization.
Persistent Cash BurnConsistent negative OCF and FCF indicate ongoing cash outflows that erode liquidity and require recurring capital raises. Over a multi-month horizon, sustained burn increases dilution risk and can constrain investment in exploration or development unless matched by fresh financing or material cost reductions.
Small, Unstable Balance SheetA limited asset base and volatile equity make the company vulnerable to adverse shocks and reduce borrowing capacity. Structural weakness in the balance sheet constrains strategic flexibility, raises refinancing risk, and heightens the likelihood of equity dilution to fund ongoing operations.