Revenue Collapsed To Near ZeroEffectively zero reported revenue over recent years is a core structural weakness: it erodes operating leverage, makes margins and unit economics indeterminate, and signals weak customer traction or commercial execution, constraining long-term viability absent a clear revenue restart.
Persistent Negative Operating And Free Cash FlowConsistent negative operating and free cash flow means the business consumes cash rather than generating it. This creates ongoing financing needs, increases dilution or leverage risk, and limits the company's ability to invest in product, sales, or scaling absent sustained cash-flow improvement.
High Leverage And History Of Negative EquityMeaningful leverage and a recent history of negative equity indicate elevated balance-sheet stress. High debt obligations reduce financial flexibility, raise bankruptcy or covenant risk in downturns, and constrain strategic options like M&A or aggressive investment even if operations improve.