high production costs?

All the threads and talk sound great. I am genuinely interested...

However, I have been looking over the quarterly reports and have two concerns - I have noticed production costs appear quite high in comparison to sales, and they seem to burning through alot of cash.

I assume the production costs is an economies of scale thing? - i.e. will dilute with increased production volume?

Secondly, alot of cash seems to be being spent compared to whats coming in, and the idea of large, frequent capital raisings to fund this is a concern.

Anyway, I know people can be a bit sensitive on here, so chill out, these are not criticism's, just some genuine questions...