Elevated LeverageA sharp rise in debt to ~1.62B and debt/equity near 6.3x materially increases refinancing, interest and covenant risk while the company remains loss-making. This structurally limits financial flexibility, compresses options for R&D or commercialization investment, and heightens vulnerability to credit market shifts.
Negative Free Cash FlowPersistent negative FCF (≈-38.3M in 2025) means ongoing reliance on external funding to sustain operations and growth. With elevated leverage this creates liquidity pressure, raises the probability of dilutive capital raises or higher-cost borrowing, and constrains multi-quarter strategic initiatives.
Worsening Net LossesDeepening losses (net margin ≈-33%) signal that revenue growth has not yet produced sustainable profitability. Over months this prolongs dependence on external capital, impedes return on equity, and raises execution risk around translating scale and margins into durable earnings.