Negative Operating And Free Cash FlowPersistent negative operating and free cash flow since 2023 means reported earnings are not converting to cash, increasing dependence on external financing. Over a multi-month horizon this raises funding and execution risk, as cash burn can force dilutive equity raises or higher-cost debt if operations don’t turn cash-positive.
Rising LeverageMaterial increase in leverage reduces financial flexibility and raises refinancing and interest burden risks. In a capital-intensive development cycle, high debt-to-equity constrains the ability to absorb delays or fund additional trials without costly financing, raising the chance of covenant pressure or restrictive terms.
Reliance On Financing (No Recurring Product Revenue)As a clinical-stage company without established product revenue, the business depends on periodic equity/debt raises. This structural reliance increases dilution risk and ties execution to capital markets; delays in approvals or trials can lengthen funding needs and strain long-term program continuity.