Quarterly ResultMay 7, 2026, 06:37 AM
22nd Century Group Q1 Revenue Down 31%; Net Loss $10.77M; Going Concern Doubt
AI Summary
22nd Century Group reported a net revenue of $4.11 million for Q1 2026, a 31% decrease from $5.96 million in Q1 2025. The company posted a net loss available to common shareholders of $10.77 million, significantly higher than $4.33 million in the prior year, largely due to deemed dividends and preferred stock redemption. The filing includes a substantial doubt about the company's ability to continue as a going concern, despite an increase in cash and cash equivalents to $9.55 million, primarily from financing activities including the issuance of Series B convertible preferred stock.
Key Highlights
- Substantial doubt about the company's ability to continue as a going concern.
- Net revenue decreased 31% to $4.11 million for Q1 2026 from $5.96 million in Q1 2025.
- Net loss available to common shareholders increased to $10.77 million.
- Basic and diluted loss per common share was $(18.08) for Q1 2026.
- Cash and cash equivalents increased to $9.55 million as of March 31, 2026.
- Net cash used in operating activities was $(3.10) million for Q1 2026.
- Issued Series B convertible preferred stock, generating $15.26 million in net proceeds.
- Defaulted on 2025 GVB Promissory Note payments, maintaining full allowance for credit loss.
Price Impact
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