NASDAQ$XXII

22nd Century Group Inc. · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

22nd Century Group reported an increase in net sales and a higher operating loss for Q4 2021.

22nd Century Group reported an 8.9% increase in net sales for the fourth quarter of 2021, driven by increased contract manufacturing sales. However, the company's operating loss widened due to increased sales, general and administrative expenses, and a reduction in gross profit.

  • Secured FDA MRTP Authorization for VLN® King and VLN® Menthol King Reduced Nicotine Content Cigarettes.
  • Advancing to U.S. Pilot Market Launch in Chicago.
  • Announced Circle K as First VLN® Retail Trade Partner.
  • Commenced Hemp/Cannabis Revenue in the Fourth Quarter of 2021.

Headline financials

Total Revenue

$7.96M

Previous: $7.3M+9.0%
EPS (adj)

-$21.60

Previous: -$12.00-80.0%
Adjusted EBITDA

-$7.54M

Previous: -$5.38M-40.2%
Capital Expenditures

$275K

Previous: $21K+1209.5%
Free Cash Flow

-$4.91M

Previous: -$3.02M-62.6%
Net Income

-$14M

Previous: -$6.4M-118.2%
Operating Income

-$9.03M

Previous: -$696K-1197.7%
Gross Profit

$387K

Previous: $588K-34.2%
Cash & Equivalents

$1.34M

Previous: $22.3M-94.0%
Total Assets

$76M

Previous: $51.7M+46.9%
Stock-Based Comp

$1.11M

Previous: $492K+126.0%

Revenue & EPS history

22nd Century Group · Revenue · Quarterly

$7.96M

Q4 2021+9%vs Q4 2020
Beat estimate in 7 of 12 quarters(58%)
ActualEstimate

Forward guidance

The company is focused on scaling its business across tobacco, hemp/cannabis, and hops franchises.

Tailwinds

  • Expanding manufacturing operations to increase cigarette market share.
  • Readying for the largest VLN tobacco growing year to support expansion.
  • Preparing plant lines for an expanded hemp/cannabis growing program.
  • Targeting monetization of hop plant varieties and IP.
  • Advancing discussions with multiple hops growers and consumer product partners.

Headwinds

  • Operating loss increased due to higher SG&A and reduced gross profit.
  • Net loss increased due to a non-cash unrealized loss on investments.
  • Increased sales, general and administrative expenses.
  • The company expects R&D investments to grow in future quarters.
  • The company’s measurement of Adjusted EBITDA may not be comparable to those of other companies.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

-2.9%

Avg return

Earnings day

-3.9%

Avg return

5 days after

-7.7%

Avg return

30 days after

32%

19 / 59 earnings

Positive

+37.4%

Q4 2020

Best reaction

-25.8%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025-2.2%-13.2%
Q1 2026-16.6%-33.2%-44.0%
Q3 2025-17.0%-20.0%-32.3%
Q1 2025+1.9%-18.7%-59.3%
Q4 2024-2.6%-12.6%-59.2%
Q3 2024-3.0%-10.7%-28.2%
Q2 2024-14.9%-21.9%-62.8%
Q1 2024-1.9%-9.7%-47.9%
Q4 2023-8.7%-7.7%-18.1%
Q3 2023-15.2%-19.0%-52.5%
Q2 2023-25.8%-23.3%-51.6%
Q1 2023-5.0%-13.8%-16.1%
Q4 2022-0.7%-4.9%-17.9%
Q3 2022-21.0%-13.8%-26.1%
Q2 2022-10.7%-11.2%-32.7%
Q1 2022-8.3%-20.3%-3.1%
Q4 2021-2.1%-9.8%-0.9%
Q3 2021-0.7%+1.7%-22.1%
Q2 2021+18.1%+26.4%+12.4%
Q1 2021+8.4%+10.7%+14.9%
Q4 2020+37.4%+27.0%+62.6%
Q3 2020+13.2%+12.5%+129.0%
Q2 2020-2.1%-4.6%-19.3%
Q1 2020-3.6%-9.9%-7.7%
Q4 2019-5.8%+2.2%-7.7%
Q3 2019-3.6%-10.2%-40.8%
Q2 2019+3.1%+18.9%+31.4%
Q1 2019-11.4%-18.6%-18.1%
Q4 2018+1.6%+7.0%+1.1%
Q3 2018+3.1%+0.8%+9.8%
Q2 2018-1.6%+2.8%+2.4%
Q1 2018+6.8%+23.2%+7.7%
Q4 2017+11.3%+5.8%-10.1%
Q3 2017+0.0%+5.8%+28.6%
Q2 2017-7.9%-10.5%+4.6%
Q1 2017+6.9%+6.9%+40.5%
Q4 2016+0.5%+3.7%+44.4%
Q3 2016+0.8%-0.8%-21.2%
Q2 2016+2.2%+10.9%+17.4%
Q1 2016+2.6%
Q4 2015-4.8%
Q3 2015-9.3%
Q2 2015-7.0%
Q1 2015+21.5%
Q4 2014-16.5%
Q4 2013-16.5%
Q3 2014-9.2%
Q2 2014-1.4%
Q1 2014-2.9%
Q3 2013+4.2%
Q2 2013-18.5%
Q1 2013+0.0%
Q4 2012-9.1%
Q3 2012-20.0%
Q2 2012-7.1%
Q1 2012+1.5%
Q4 2011+1.5%
Q3 2011+0.0%
Q2 2011+0.0%
Q4 2010
Q3 2010
Q2 2010
Q1 2010

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