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22nd Century (XXII)
NASDAQ:XXII
Earnings Data
Report Date
May 07, 2025TBA Not Confirmed
Period Ending
2025 (Q1)Consensus EPS Forecast
-1.1Last Year’s EPS
-232.2Same Quarter Last Year
Based on 0 Analysts Ratings
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Earnings Call Summary
Earnings Call Date:Mar 20, 2025
|% Change Since: -56.32%
|Next Earnings Date:May 07, 2025
Earnings Call Sentiment|Neutral
The call highlighted significant progress in restructuring and positioning the company for future growth, particularly with the relaunch of VLN and improvements in the balance sheet. However, ongoing challenges with cash burn, revenue decline, and share price instability persist, requiring further efforts to achieve profitability and stabilize the company's financial standing.Company Guidance
During the 22nd Century Group's fourth-quarter and full-year 2024 conference call, significant guidance was provided concerning their strategic direction and financial performance. Key metrics highlighted include the reduction of total liabilities by approximately $18 million, alongside a notable decrease in the cash burn rate. The company achieved net revenue of $4 million in Q4 2024, with a gross margin loss of $1.2 million, reflecting a temporary decline in volume to 338,000 cartons due to repricing CMO contracts. The company has also successfully raised nearly $17 million through equity cash infusions and debt conversions to support the turnaround. Looking ahead, 22nd Century aims for profitability in 2025, with a focus on expanding VLN product distribution and improving the CMO business's gross margins. The balance sheet has been strengthened, with a positive net working capital of $1.6 million by year-end. They also expect EBITDA breakeven by Q4 2025, driven by restored CMO volumes and the launch of rebranded VLN products in Q2 2025.Successful Restructuring and Turnaround
The company completed a significant restructuring, reducing operating cash burn, restructuring the Board, eliminating cash bonuses and stock-based compensation, and reducing R&D and G&A expenses. This resulted in a dramatic reduction in liabilities by $18 million or nearly 50%.
Launch of VLN Product
The company is relaunching its VLN product, the first and only FDA authorized modified risk tobacco product, with redesigned packaging, new marketing strategies, and expanded state regulatory approvals.
Improved Balance Sheet and Debt Reduction
The balance sheet improved significantly with a reduction in liabilities by over $18 million and a further reduction in outstanding debt by $3.1 million in Q1 2025.
Positive Outlook for CMO Business
The CMO business showed promise with the signing of new contracts, including a long-term commitment from Smoker Friendly, and the introduction of Smoker Friendly Black, expected to be a growth engine in 2025.
Progress Towards Profitability
The company aims to achieve profitability in the P&L for the first time in its history in 2025 by expanding VLN distribution and achieving revenue growth and margin improvement.
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XXII Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
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XXII Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
| Mar 20, 2025 | $1.90 | $1.85 | -2.63% |
| Nov 12, 2024 | $13.90 | $13.57 | -2.37% |
| Aug 13, 2024 | $97.54 | $93.82 | -3.81% |
| May 15, 2024 | $209.25 | $213.30 | +1.94% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
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FAQ
When does 22nd Century (XXII) report earnings?
22nd Century (XXII) is schdueled to report earning on May 07, 2025, TBA Not Confirmed.
What is 22nd Century (XXII) earnings time?
22nd Century (XXII) earnings time is at May 07, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is XXII EPS forecast?
XXII EPS forecast for the fiscal quarter 2025 (Q1) is -1.1.
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