CRON

Cronos Group (CRON) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company. The upward trend in estimate revisions for this cannabis company reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. This insight is at the core of our stock rating tool -- the Zacks Rank. The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008. For Cronos Group, strong agreement among the covering analysts in revising earnings estimates upward has resulted in meaningful improvement in consensus estimates for the next quarter and full year. The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate: The earnings estimate of $0.03 per share for the current quarter represents a change of -57.1% from the number reported a year ago. The Zacks Consensus Estimate for Cronos has increased 200% over the last 30 days, as one estimate has gone higher compared to no negative revisions. For the full year, the company is expected to earn $0.20 per share, representing a year-over-year change of +1,100.0%. There has been an encouraging trend in estimate revisions for the current year as well. Over the past month, one estimate has moved up for Cronos versus no negative revisions. This has pushed the consensus estimate 175% higher. The promising estimate revisions have helped Cronos earn a Zacks Rank #2 (Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500. While strong estimate revisions for Cronos have attracted decent investments and pushed the stock 12.5% higher over the past four weeks, further upside may still be left in the stock. So, you may consider adding it to your portfolio right away. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cronos Group Inc. (CRON) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Download the Complete Report Here Key Takeaways: International medical cannabis growth continued to strengthen ACB’s global medical-first platform and reinforce the durability of its growth strategy. ACB reported 1Q FY27 (q/e June 30, 2026) net revenue of C$67.6 million, down 9% from C$74.1 million in the prior-year period and down 20% sequentially from C$84.8 million in 4Q FY26. The decline was principally attributable to the April 1 reduction in Canadian federal medical reimbursement rates and the planned wind-down of the consumer cannabis business rather than weakening international demand. Medical cannabis revenue was broadly stable at C$64.0 million versus C$64.8 million y/y, as a C$6.2 million increase in International medical revenue offset C$7.0 million of Canadian medical pressure. Medical cannabis represented approximately 95% of consolidated net revenue, up from 87% in the prior-year quarter and 91% in 4Q FY26, demonstrating that the Bevo divestiture and consumer wind-down have substantially advanced ACB’s transition into a focused global medical cannabis company. Strong operating discipline kept adjusted EBITDA positive despite the full initial impact of the Canadian reimbursement reset. Adjusted EBITDA was C$3.4 million, down 68% from C$10.8 million y/y and 63% from C$9.2 million in 4Q FY26, with the adjusted EBITDA margin declining to 5.1% from 14.6% a year ago and 10.8% sequentially. The C$7.4 million y/y decline primarily reflected an C$8.3 million reduction in adjusted gross profit, partly offset by C$1.0 million of adjusted SG&A savings. Adjusted SG&A declined 3% to C$35.1 million from C$36.1 million, as lower general and administrative spending more than offset an 8% increase in sales and marketing to C$15.6 million. The higher selling investment was directed toward international growth markets, while the broader cost base remained controlled through the transition. Liquidity remains a meaningful competitive advantage, with C$149.1 million of cash, restricted cash, and short-term investments and no loans or borrowings. Cash and cash equivalents were C$69.3 million, restricted cash was C$49.1 million, and short-term investments were C$30.7 million at June 30. Approximately C$46.4 million of restricted cash is expected to become unrestricted following the wind-up of the company’s segregated self-insurance cell by 3Q FY27, materially increasing immediately deployable liquidity without requiring external financing. On a pro forma basis, unrestricted cash and short-term investments would rise from approximately C$100.0 million to C$146.4 million, subject to movements before completion. This liquidity gives ACB the ability to complete Safari and Leuna investments, absorb the Canadian reset, and pursue additional medical-cannabis acquisitions without adding financial debt. Safari contributed positively to adjusted EBITDA in its first quarter and is transitioning from strategic capacity to an operating contributor. ACB completed the acquisition in April for C$15.0 million of cash and 2.4 million shares valued at C$11.6 million, with C$2.0 million of the cash consideration tied to EU-GMP certification conditions and a provisional C$0.7 million working-capital adjustment receivable. Safari’s 59,000-square-foot Ontario facility received a three-year EU-GMP certification on July 23, advancing integration by enabling supply to Germany, Poland, Australia, and the U.K. while expanding ACB’s internal capacity and reducing reliance on third-party production. Safari contributed positively to adjusted EBITDA in its first quarter of ownership, while the planned C$3.5 million investment over three years is intended to improve operating efficiency, increase cultivation output, and lower manufacturing costs. Best-in-class global medical operations continue to diversify ACB’s growth profile beyond Canada. Leadership positions in Germany, Poland, Australia, and New Zealand, together with a focused U.K. strategy and longer-term U.S. optionality, reinforce the scalability of ACB’s international medical platform and reduce reliance on any single market. Street estimates continue to frame FY27 as a transition year before growth reaccelerates in FY28. Based on Street estimates sourced from TIKR, revenue is projected to decline from C$320.6 million in FY26 to C$293.3 million in FY27E, reflecting the impact of lower Canadian medical reimbursement rates and the company’s exit from lower-margin businesses. Adjusted EBITDA is expected to decline to C$24.5 million from C$53.8 million in FY26, with margins compressing to 8.3% as the reimbursement changes flow through results. The first quarter contributed C$67.6 million of revenue and C$3.4 million of adjusted EBITDA, representing 23% and 14% of the respective full-year estimates. Disclaimer: Exec Edge does not publish proprietary estimates, ratings, price targets, or investment recommendations. The valuation discussion below is illustrative only and is based on company filings, management commentary, and third-party data and estimates. It does not constitute a recommendation, price target, rating, or prediction of future pricing. We believe ACB’s current valuation underappreciates the quality and long-term earnings potential of its international medical cannabis platform despite the near-term Canadian reimbursement reset. Overall, current valuation levels appear to inadequately reflect ACB’s competitive positioning and the improving quality of its international earnings base. Key differentiators include: 1) leadership positions in Germany, Poland, and Australia, with international markets contributing 64% of 1Q revenue; 2) a GMP-led operating model supported by proprietary genetics, integrated production, and regulatory expertise; 3) no loans or borrowings and approximately C$149 million of liquidity; and 4) expanding internal EU-GMP capacity through Leuna and Safari. While FY27 remains a transition year, continued international growth, manufacturing efficiencies, and a more favorable revenue mix should support margin recovery and create scope for valuation multiples to move toward historical and peer levels over time. Read Exec Edge’s Initiation on ACB Here Subscribe to our Weekly Newsletter to Receive All Research Contact: Executives-Edge.com [email protected] The post Why Aurora Cannabis Looks Cheaper Than Its International Growth Suggests – Quarterly Update Report appeared first on ExecEdge.

Cronos Group (CRON) came out with quarterly earnings of $0.03 per share, beating the Zacks Consensus Estimate of $0.01 per share. This compares to a loss of $0.1 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +200.00%. A quarter ago, it was expected that this cannabis company would post earnings of $0.01 per share when it actually produced earnings of $0.01, delivering no surprise. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Cronos, which belongs to the Zacks Medical - Drugs industry, posted revenues of $53.01 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 24.11%. This compares to year-ago revenues of $33.46 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Cronos shares have added about 3.4% since the beginning of the year versus the S&P 500's gain of 12.8%. While Cronos has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Cronos was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.01 on $55.37 million in revenues for the coming quarter and $0.07 on $203.6 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Drugs is currently in the bottom 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, ARS Pharmaceuticals, Inc. (SPRY), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 13. This company is expected to post quarterly loss of $0.55 per share in its upcoming report, which represents a year-over-year change of -19.6%. The consensus EPS estimate for the quarter has been revised 4.7% lower over the last 30 days to the current level. ARS Pharmaceuticals, Inc.'s revenues are expected to be $31.89 million, up 102.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cronos Group Inc. (CRON) : Free Stock Analysis Report ARS Pharmaceuticals, Inc. (SPRY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Organically achieved record net revenue, gross profit, and Adjusted EBITDA while reducing share count Net revenue in Q2 2026 increased by 51% year-over-year on an organic, constant-currency basis Delivered record net revenue in Canada, with Spinach® maintaining #1 market share in vapes and edibles1 Tenth consecutive quarter of record net revenue in Israel, where PEACE NATURALS® continues to be the #1 cannabis brand2 Generated record net revenue outside Canada and Israel, led by strong demand for PEACE NATURALS® in Germany Repurchased 12.3 million shares in the first half of 2026 TORONTO, Aug. 06, 2026 (GLOBE NEWSWIRE) -- Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON) (“Cronos” or the “Company”), today announced its 2026 second quarter business results. “Cronos delivered a record second quarter by organically achieving record net revenue, record gross profit and record Adjusted EBITDA, while also reducing our share count. Cronos Israel delivered its tenth consecutive quarter of record net revenue, continuing to secure PEACE NATURALS® as the leading cannabis brand in the country. Outside of Israel, our international business also delivered a record net revenue quarter, led by momentum in Germany. In Canada, the Spinach® brand continued to gain significant market share, maintaining its #1 position in vapes for the second consecutive quarter and its #1 position in edibles for the eighth consecutive quarter1, while also making notable gains in pre-rolls and flower,” said Mike Gorenstein, Chairman, President and CEO of Cronos. “We’re executing with discipline across our strategic priorities and our results reflect it. We remain active under our share repurchase program and continue to believe the repurchases represent an attractive use of capital. Backed by an industry-leading balance sheet and positive cash flow from operations, we are well positioned to invest in our growth strategy while returning capital to shareholders and maintaining optionality to be opportunistic as attractive opportunities arise.” Consolidated Financial Results The tables below set forth our condensed consolidated results of operations, expressed in thousands of United States (“U.S.”) dollars for the periods presented. Our condensed consolidated financial results for these periods are not necessarily indicative of the consolidated financial results that we will achieve in future periods. Second Quarter 2026 Net revenue of $53.0 million in Q2 2026 increased by $19.6 million from Q2 2025. The increase was primarily due to higher cannabis flower sales in Israel and other countries, specifically Germany, which carry no excise taxes, and higher cannabis flower and extract sales in the Canadian market. In addition, net revenue for the current period benefited from the strengthening of the New Israeli Shekel versus the U.S. dollar. Gross profit of $28.5 million in Q2 2026 increased by $13.9 million from Q2 2025. The increase was primarily due to higher average sales prices, largely driven by a mix shift to Israel and other countries, which carry no excise taxes, and higher sales volumes. Higher sales volumes led to higher net revenue and efficiencies as fixed overhead costs were spread over greater volumes. Net income was $35.7 million in Q2 2026, compared to a net loss of $38.5 million in Q2 2025. The improvement was primarily due to higher gross profit and other income, largely driven by foreign currency transaction gains, partially offset by higher operating expenses. Adjusted EBITDA of $13.1 million in Q2 2026 improved by $11.4 million from Q2 2025. The improvement was primarily driven by higher gross profit, partially offset by higher operating expenses due to higher sales and marketing, general and administrative, and research and development (“R&D”) costs. Business Updates Brand and Product Portfolio Spinach®3 The Spinach® brand remained Canada’s #2 overall cannabis brand in Q2 2026, with national market share expanding to 5.9%. In edibles, Spinach® remained the #1 brand in Canada, with market share consistent at 20.8%. In Q2 2026, five SOURZ by Spinach® gummies products ranked among the top 10 edibles nationally, including the top-selling edibles SKU in Canada, the Fully Blasted Blue Raspberry Watermelon 10 Pack. In July, Cronos expanded the SOURZ by Spinach® product lineup to include varieties of the brand’s popular flavors featuring rare cannabinoid formulations with CBG, CBN and CBC alongside THC, and also introduced the first limited-time offering within the Fully Blasted multipack format, the SOURZ by Spinach® Fully Blasted Orange Cream gummies, available for the summer season. Spinach® remained the #1 vape brand in Canada for the second consecutive quarter, with total vape market share across all formats expanding to 10.6%. Within vape cartridges specifically, Spinach® remained #1 for the third consecutive quarter, with market share expanding to 11.8%. In disposable vapes, Spinach® ranked #2 for the full quarter, with 8.2% market share. Notably, during the quarter, the five best-selling vape SKUs nationwide across all formats were Spinach® vape products. In Q2 2026, Cronos launched three new PUFFERZ™ flavors in Canada, Strawberry Burst, Peach Iced Tea, and Grape Gas, expanding the brand’s all-in-one vape portfolio. During the quarter, Cronos also introduced the Spinach® Orange Vanilla Twist 1g vape cartridge, the brand’s first limited-time offering vape, for the summer season. In flower, Spinach® remained #3 in Canada, with market share expanding to 5.4%. During the quarter, two Spinach® flower strains, GMO Cookies and OG Kush, ranked among the top-six-selling flower products nationally. In pre-rolls, Spinach® rose to #7 in Canada, with market share rising to 3.1%. In Q2 2026, distribution broadened across Canadian provinces for Spinach STIX®, the brand’s first cylindrical-style pre-roll. In the second quarter, Spinach® rose to #6 in infused pre-rolls, with market share increasing to 3.5%, and reached #6 in traditional pre-rolls, with market share increasing to 2.9%. PEACE NATURALS®4 Cronos Israel delivered its tenth consecutive quarter of record net revenue in Q2 2026, with net revenue growing 60% year-over-year (32% growth on a constant-currency basis), as the PEACE NATURALS® brand continued to expand its lead in the Israeli medical cannabis market. Cronos continued to expand its international presence in Q2 2026, with the Company’s international business ex-Israel delivering record net revenue, increasing 88% year-over-year, led by strong demand for the Company’s flower products, particularly in Germany. The sustained leadership of PEACE NATURALS® products reflects the strength of Cronos’ advanced genetic breeding program and industry-leading cultivation capabilities. Transactions The Company is prepared to close its pending acquisition of CanAdelaar B.V. upon receipt of regulatory clearance in the Netherlands and satisfaction or waiver of the remaining closing conditions. The Company expects the acquisition to close in the second half of 2026. We have not been informed of any specific issues with our regulatory clearance submission, and based on the information available to us, the timing appears to reflect the ordinary course of the Dutch regulatory review process for a transaction of this nature. Anti-Dumping Matters in Israel: Update In June 2026, the Trade Levies Commissioner of the Israel Ministry of Economy and Industry announced that it had opened a new investigation into alleged dumping of medical cannabis imports from Canada. This announcement followed the 2024 investigation by the Commissioner, which did not result in the imposition of an anti-dumping duty. On July 28, 2026, the Commissioner terminated the investigation on procedural grounds. The termination was not based on a substantive determination of the merits and did not preclude another complaint or a new investigation. On July 30, 2026, a new complaint concerning imports of medical cannabis from Canada was filed on behalf of the Israeli domestic industry. On August 2, 2026, the Commissioner notified the Government of Canada that the new complaint contained sufficient prima facie evidence of dumping, material injury to the domestic industry and a causal link between the alleged dumping and injury. On August 5, 2026, the Commissioner notified the Company of the initiation of a new investigation. The Company disputes the allegations underlying these matters and cannot predict the timing or outcome of the new investigation or any related proceedings or whether any provisional or final anti-dumping duty or other import restriction will ultimately be imposed. Conference Call The Company will host a conference call and live audio webcast on Thursday, August 6, 2026, at 8:30 a.m. ET to discuss 2026 second quarter business results. An audio replay of the call will be archived on the Company’s website for replay. Instructions for the live audio webcast are provided on the Company’s website at https://ir.thecronosgroup.com/events-presentations. About Cronos Cronos is a global cannabis company focused on scaling leading consumer goods products through research and development and innovation. With a passion to responsibly elevate the consumer experience, Cronos is building an iconic brand portfolio. Cronos’ diverse international brand portfolio includes Spinach®, PEACE NATURALS®, LIT™ and Lord Jones®. For more information about Cronos and its brands, please visit: thecronosgroup.com. Forward-Looking Statements This press release contains information that may constitute forward-looking information and forward-looking statements within the meaning of applicable U.S. and Canadian securities laws and court decisions (collectively, “Forward-Looking Statements”), which are based upon our current internal expectations, estimates, projections, assumptions and beliefs. Information that is not clearly historical in nature may constitute Forward-Looking Statements. In some cases, Forward-Looking Statements can be identified by the use of forward-looking terminology, such as “expect,” “likely,” “may,” “will,” “should,” “intend,” “anticipate,” “potential,” “proposed,” “estimate,” “believe,” “plan” and other similar words, expressions and phrases, including negative and grammatical variations thereof, or statements that certain events or conditions “may” or “will” happen, or by discussion of strategy. Forward-Looking Statements include estimates, plans, expectations, opinions, forecasts, projections, targets, guidance or other statements that are not statements of historical fact. Forward-Looking Statements include, but are not limited to, statements with respect to: the ongoing impact of investigations or proceedings by the Trade Levies Commissioner of the Israel Ministry of Economy and Industry or other Israeli governmental authorities concerning alleged dumping of medical cannabis imports from Canada into Israel (collectively, the “Anti-Dumping Matters”), including the timing and outcome thereof, any anti-dumping duty or other measure that may be imposed and the impact thereof on the Company’s ability to import and sell products in Israel; expectations related to the conflict involving the United States, Israel, Hamas, Hezbollah, Houthis, Iran, Iran’s proxies and other stakeholders in the region (the “Middle East Conflict”) and its impact on our employees, facilities, and operations in Israel, the supply of product in the market and the demand for product by medical patients in Israel, and our operating costs, as well as any regional or global escalations and their impact to global commerce and stability; expectations related to markets outside of Canada and Israel, and our ability to successfully maintain, expand and distribute the PEACE NATURALS® brand in those markets; expectations related to any future plans to re-enter the U.S. market; the ongoing impact of our announced realignment (inclusive of any revisions thereto, the “Realignment”) and any progress, challenges and effects related thereto as well as changes in strategy, metrics, investments, reporting structure, costs, operating expenses, employee turnover and other changes with respect thereto; our expectations as to the use and expansion of our facility in Stayner, Ontario (the “Peace Naturals Campus”); our ability to acquire raw materials from suppliers, including Cronos Growing Company Inc. (“Cronos GrowCo”), and the costs and timing associated therewith; expectations regarding the potential success of, and the costs and benefits associated with, our joint ventures, strategic alliances and equity investments; expectations related to the transaction by which we obtained majority control of the board of directors of Cronos GrowCo (the “Cronos GrowCo Transaction”), which qualified as a business combination under Accounting Standards Codification (“ASC”) 805, and the expansion of Cronos GrowCo’s purpose-built cultivation and processing facilities and any additional supply or growth opportunities (including in the wholesale market) provided thereby; expectations related to the transaction by which we, as lender, obtained junior secured convertible debt (the “High Tide Loan”) from High Tide Inc. (“High Tide”), as borrower, and a warrant (the “High Tide Warrant”) to purchase common shares of High Tide, the performance of the High Tide Loan and the High Tide Warrant, and High Tide’s ability to repay the High Tide Loan; expectations related to our agreement to acquire CanAdelaar, including the timing and completion of the transaction, and the anticipated costs, benefits and integration matters associated therewith and the performance of the business from and following closing; expectations related to the renewed share repurchase program that was authorized on May 8, 2026, including the timing and amount of repurchases; our ability or plans to identify, develop, commercialize or expand our technology and R&D initiatives in cannabinoids, or the success thereof; expectations regarding revenues, expenses, gross margins, Adjusted EBITDA (as defined below), profitability, cash flows, foreign currency effects, interest income and capital expenditures; expectations regarding our future production and manufacturing strategy and operations, the costs and timing associated therewith and the receipt of applicable production and sale licenses; the ongoing impact of the legalization of additional cannabis product types and forms for adult-use in Canada, including federal, provincial, territorial and municipal regulations pertaining thereto, the related timing and impact thereof and our intentions to participate in such markets; the legalization of the use of cannabis for medical or adult-use in jurisdictions outside of Canada, the related timing and impact thereof and our intentions to participate in such markets, if, when and to the extent such use is legalized; the grant, renewal, withdrawal, suspension, delay and impact of any license or supplemental license to conduct activities with cannabis or any amendments thereof; our ability to successfully create, launch and scale brands and cannabis products; our liquidity, capital resources and future cash requirements, including the sufficiency of our cash and cash equivalents and short-term investments to fund our business operations, acquisitions, strategic investments, share repurchases and capital expenditures; expectations related to the differentiation of our products, including through the utilization of rare cannabinoids; the benefits, viability, safety, efficacy, dosing and social acceptance of cannabis, including CBD and other cannabinoids; laws and regulations and any amendments thereto applicable to our business and the impact thereof, including uncertainty regarding the application of U.S. state and federal law to cannabis and U.S. hemp (including CBD and other U.S. hemp-derived cannabinoids) products and the scope of any regulations by the U.S. Department of Health and Human Services, U.S. Food and Drug Administration, the U.S. Drug Enforcement Administration, the U.S. Federal Trade Commission, the U.S. Patent and Trademark Office and any state equivalent regulatory agencies over cannabis and U.S. hemp (including CBD and other U.S. hemp-derived cannabinoids) products, including the final order issued by the U.S. Department of Justice (the “DOJ”) in April 2026, which moved certain categories of medical marijuana products from Schedule I to Schedule III of the U.S. Controlled Substances Act and any future actions that may be taken or considered by the DOJ or other government agencies; the anticipated benefits and impact of Altria Group, Inc.’s investment in the Company (the “Altria Investment”), pursuant to a subscription agreement dated December 7, 2018; expectations regarding the implementation and effectiveness of key personnel changes; expectations regarding business combinations and dispositions and the anticipated benefits therefrom; expectations of the amount or frequency of impairment losses, including as a result of the write-down of intangible assets, including goodwill; the impact of the ongoing military conflict between Russia and Ukraine (and resulting sanctions) on our business, financial condition and results of operations or cash flows; our compliance with the terms of the settlement (the “Settlement Order”) with the SEC and the settlement agreement with the Ontario Securities Commission (the “OSC”); and the impact of the loss of our ability to rely on private offering exemptions under Regulation A and Regulation D of the Securities Act of 1933, as amended, as a result of the Settlement Order. Certain of the Forward-Looking Statements contained herein concerning the industries in which we conduct our business are based on estimates prepared by us using data from publicly available governmental sources, market research, industry analysis and on assumptions based on data and knowledge of these industries, which we believe to be reasonable. However, although generally indicative of relative market positions, market shares and performance characteristics, such data is inherently imprecise. The industries in which we conduct our business involve risks and uncertainties that are subject to change based on various factors, which are described further below. The Forward-Looking Statements contained herein are based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including: (i) our ability to effectively navigate developments related to the Anti-Dumping Matters, any anti-dumping duty or other measure that may be imposed and the impact thereof on our operations in Israel; (ii) our ability to effectively navigate developments related to the Middle East Conflict and its impact on our employees, facilities and operations in Israel, the supply of product in the market and demand for product by medical patients in Israel, and our operating costs; (iii) our ability to efficiently and effectively maintain and expand our distribution of our PEACE NATURALS® brand in markets outside of Canada and Israel; (iv) our ability to identify and execute legally permissible opportunities to re-enter the U.S. market; (v) our ability to realize the expected cost-savings, efficiencies and other benefits of our Realignment and other announced cost-cutting measures and employee turnover related thereto; (vi) our ability to efficiently and effectively manage our operations at our Peace Naturals Campus; (vii) our ability to efficiently and effectively acquire raw materials on a timely and cost-effective basis from third parties or Cronos GrowCo; (viii) our ability to realize the expected benefits related to the expansion of Cronos GrowCo’s purpose-built cannabis facility (including the quantity and quality of any additional supply provided thereby and the stability of pricing and demand with respect to such supply) and the ability of Cronos GrowCo to repay the credit facility provided by Cronos; (ix) High Tide’s ability to repay the High Tide Loan, the performance of the High Tide Loan and the High Tide Warrant, and our ability to realize benefits related to the performance of the High Tide Warrant; (x) our ability to complete the acquisition of CanAdelaar on the terms and within the timelines anticipated, including the timely receipt of required regulatory approvals and the satisfaction of other closing conditions, and our ability to realize any expected benefits, synergies and operational performance associated with such acquisition; (xi) our ability to realize anticipated benefits, synergies or generate revenue, profits or value from our business combinations and strategic investments; (xii) the production and manufacturing capabilities and output from our facilities and our joint ventures, strategic alliances and equity investments; (xiii) government regulation of our activities and products including, but not limited to, the areas of cannabis taxation and environmental protection; (xiv) the timely receipt of any required regulatory authorizations, approvals, consents, permits and/or licenses; (xv) consumer interest in and the scalability of our products; (xvi) our ability to differentiate our products, including through the utilization of rare cannabinoids; (xvii) competition; (xviii) anticipated and unanticipated costs; (xix) our ability to generate cash flow from operations and the sufficiency of our cash and cash equivalents and short-term investments to fund our business operations, acquisitions, strategic investments, share repurchases and capital expenditures; (xx) our ability to conduct operations in a safe, efficient and effective manner; (xxi) our ability to hire and retain qualified staff and acquire equipment and services in a timely and cost-efficient manner; (xxii) our ability to complete planned dispositions and, if completed, obtain our anticipated sales price; (xxiii) general economic, financial market, regulatory and political conditions in which we operate; (xxiv) management’s perceptions of historical trends, current conditions and expected future developments; and (xxv) other considerations that management believes to be appropriate in the circumstances. While our management considers these assumptions to be reasonable based on information currently available to management, there is no assurance that such expectations will prove to be correct. By their nature, Forward-Looking Statements are subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct, and that objectives, strategic goals and priorities will not be achieved. A variety of factors, including known and unknown risks, many of which are beyond our control, could cause actual results to differ materially from the Forward-Looking Statements in this press release and other reports we file with, or furnish to, the SEC and other regulatory agencies and made by our directors, officers, other employees and other persons authorized to speak on our behalf. Such factors include, without limitation, negative impacts on our business and operations in Israel due to the Anti-Dumping Matters, including that we may not be able to produce, import or sell our products in Israel as a result thereof; negative impacts on our employees, business, facilities and operations in Israel due to the Middle East Conflict, including that we may not be able to produce, import or sell our products or protect our people or facilities in Israel during the Middle East Conflict, the supply of product in the market and the demand for product by medical patients in Israel, and inflationary pressures and related increases in input, production, transportation and other operating costs, as well as potential impacts on consumer purchasing power; that we may not be able to successfully maintain or expand distribution of our products in our markets outside of Canada or Israel or generate meaningful revenue in those markets; that we may be unable to further streamline our operations and expenses; that we may not be able to effectively and efficiently re-enter the U.S. market in the future; that we may not be able to access raw materials on a timely and cost-effective basis from third parties or Cronos GrowCo; that the expected benefits of the expansion of Cronos GrowCo’s purpose-built cannabis facility (including any additional supply provided thereby) may not be fully realized within a reasonable time or at all or that Cronos GrowCo may not be able to repay its borrowings under the credit facility provided by Cronos; that the expected benefits of the High Tide Warrant and the High Tide Loan may not be fully realized within a reasonable time or at all or that High Tide may not be able to repay its borrowings under the High Tide Loan; that we may not be able to consummate our planned acquisition of CanAdelaar on the anticipated timeline or at all; the military conflict between Russia and Ukraine may disrupt our operations and those of our suppliers and distribution channels and negatively impact the demand for and use of our products; the risk that cost savings and any other synergies from the Altria Investment may not be fully realized or may take longer to realize than expected; failure to execute key personnel changes; that our Realignment and our further leveraging of our strategic partnerships will not result in the expected cost-savings, efficiencies and other benefits or will result in greater than anticipated turnover in personnel; that we may not be able to efficiently and effectively manage our operations, and any changes thereto, at our Peace Naturals Campus; lower levels of revenues; the lack of consumer demand for or our inability or challenges in successfully scaling our products; our inability to manage disruptions in credit markets; unanticipated future levels of capital, environmental or maintenance expenditures, general and administrative and other expenses; failure to realize expected growth opportunities; insufficient cash flow, liquidity or capital resources to execute our business plan (either within the expected timeframe or at all), fund our operations, acquisitions, strategic investments, share repurchases or capital expenditures; difficulty raising capital; the potential adverse effects of judicial, regulatory or other proceedings, or threatened litigation or proceedings, on our business, financial condition, results of operations and cash flows; volatility in and/or degradation of general economic, market, industry or business conditions; compliance with applicable environmental, economic, health and safety, energy and other policies and regulations and in particular health concerns with respect to vaping and the use of cannabis and U.S. hemp products in vaping devices; the unexpected effects of actions of third parties such as competitors, activist investors or federal (including U.S. federal), state, provincial, territorial or local regulatory authorities or self-regulatory organizations; adverse changes in regulatory requirements in relation to our business and products; our failure to improve our internal control environment and our systems, processes and procedures; and the factors discussed under Part I, Item 1A “Risk Factors” of the Annual Report on Form 10-K for the year ended December 31, 2025 and under Part II, Item 1A “Risk Factors” in our Quarterly Reports. Readers are cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on Forward-Looking Statements. Forward-Looking Statements are provided for the purposes of assisting the reader in understanding our financial performance, financial position and cash flows as of and for periods ended on certain dates and to present information about management’s current expectations and plans relating to the future, and the reader is cautioned not to place undue reliance on these Forward-Looking Statements because of their inherent uncertainty and to appreciate the limited purposes for which they are being used by management. While we believe that the assumptions and expectations reflected in the Forward-Looking Statements are reasonable based on information currently available to management, there is no assurance that such assumptions and expectations will prove to have been correct. Forward-Looking Statements are made as of the date they are made and are based on the beliefs, estimates, expectations and opinions of management on that date. We undertake no obligation to update or revise any Forward-Looking Statements, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such Forward-Looking Statements. The Forward-Looking Statements contained in this press release and other reports we file with, or furnish to, the SEC and other regulatory agencies and made by our directors, officers, other employees and other persons authorized to speak on our behalf are expressly qualified in their entirety by these cautionary statements. As used in this press release, “CBD” means cannabidiol and “U.S. hemp” has the meaning given to the term “hemp” in the U.S. Agricultural Improvement Act of 2018, as amended in 2025, including hemp-derived CBD. Non-GAAP Measures Cronos reports its financial results in accordance with Generally Accepted Accounting Principles in the United States (“U.S. GAAP”). This press release refers to measures not recognized under U.S. GAAP (“non-GAAP measures”). These non-GAAP measures do not have a standardized meaning prescribed by U.S. GAAP and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these non-GAAP measures are provided as a supplement to corresponding U.S. GAAP measures to provide additional information regarding our results of operations from management’s perspective. Accordingly, non-GAAP measures should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. All non-GAAP measures presented in this press release are reconciled to their closest reported U.S. GAAP measure. Reconciliations of historical adjusted financial measures to corresponding U.S. GAAP measures are provided below. Adjusted EBITDA Management reviews Adjusted EBITDA, a non-GAAP measure, which excludes non-cash items and items that do not reflect management’s assessment of ongoing business performance. Management defines Adjusted EBITDA as net income (loss) before interest, tax expense (benefit), depreciation and amortization adjusted for: share of (income) loss from equity method investments; impairment loss on goodwill and intangible assets; impairment loss on long-lived assets; (gain) loss on revaluation of derivative liabilities; (gain) loss on revaluation of financial instruments; gain on revaluation of loan receivable; gain on revaluation of equity method investment; transaction costs related to strategic projects; loss on held-for-sale assets; impairment loss on other investments; foreign currency transaction (gain) loss; other, net; loss from discontinued operations; change in allowance for credit loss on non-operating loan; restructuring costs; inventory write-downs resulting from restructuring actions; share-based compensation; costs related to the Israel Ministry of Economy and Industry dumping inquiry; purchase accounting adjustment-related inventory step-up adjustments recorded through cost of sales; and restatement litigation costs and reserves related to the restatements of our 2019 and 2021 interim financial statements (the “Restatements”), including the costs related to the settlement of the SEC’s and the OSC’s investigations of the Restatements and legal costs of defending shareholder class action complaints brought against us as a result of the 2019 restatement (see Note 10(b) “Contingencies,” to the condensed consolidated financial statements under Item 1 of our Quarterly Report for a discussion of the shareholder class action complaints relating to the restatement of the 2019 interim financial statements and the settlement of the SEC’s and the OSC’s investigations of the Restatements). Results are reported as total consolidated results, reflecting our reporting structure of one reportable segment. Management believes that Adjusted EBITDA provides useful insight into underlying business trends and results and facilitates comparison of period-over-period results. Management uses Adjusted EBITDA for planning, forecasting and evaluating business and financial performance, including allocating resources and evaluating results relative to employee compensation targets. Beginning in 2025, the Company modified the composition of Adjusted EBITDA to exclude the impact of the provision for expected credit losses recognized under ASC 326 solely with respect to the High Tide Loan (see Note 4 “Loans Receivable, net” to the condensed consolidated financial statements under Item 1 of our Quarterly Report for further information). Management determined that excluding this non-cash provision provides investors with additional insight into period-over-period operating performance by isolating credit-risk movements unrelated to the Company’s core operations. Management believes that this change provides additional information regarding the Company’s ongoing operational results and enhances comparability with peers that do not routinely extend credit to third parties. This change does not affect the Company’s GAAP financial statements. The following tables set forth a reconciliation of Net income as determined in accordance with U.S. GAAP to Adjusted EBITDA for the periods indicated: For the three months ended June 30, 2026, Adjusted EBITDA was $13.1 million, representing an improvement of $11.4 million from the three months ended June 30, 2025. For the six months ended June 30, 2026, Adjusted EBITDA was $18.2 million, representing an improvement of $14.2 million from the six months ended June 30, 2025. For both comparative periods, the improvement was primarily due to higher gross profit, partially offset by higher operating expenses due to higher sales and marketing, general and administrative, and research and development costs. Adjusted Gross Profit and Adjusted Gross Margin To supplement the consolidated financial statements presented in accordance with U.S. GAAP, we have presented Adjusted Gross Profit and Adjusted Gross Margin, non-GAAP measures that exclude the impacts of inventory-related purchase accounting adjustments from the calculations of gross profit and gross margin, which resulted from the Cronos GrowCo Transaction. Results are reported as total consolidated results, reflecting our reporting structure of one reportable segment. Management believes that Adjusted Gross Profit and Adjusted Gross Margin provide useful insight into underlying business trends to facilitate comparisons of period-over-period results by removing the impacts of inventory-related purchase accounting adjustments resulting from the Cronos GrowCo Transaction, which reflect a one-time event and do not reflect management’s assessment of ongoing business performance. The following table sets forth a reconciliation of Gross profit and Gross margin, each as determined in accordance with U.S. GAAP, to Adjusted Gross Profit and Adjusted Gross Margin, respectively, for the periods indicated: For the three months ended June 30, 2026, Adjusted Gross Profit was $28.5 million, representing an increase of $13.9 million from the three months ended June 30, 2025. For the six months ended June 30, 2026, Adjusted Gross Profit was $47.6 million, representing an increase of $18.8 million from the six months ended June 30, 2025. For both comparative periods, the increase was primarily due to higher average sales prices, largely driven by a mix shift to Israel and other countries, which carry no excise taxes, and higher sales volumes. Higher sales volumes led to higher net revenue and efficiencies as fixed overhead costs were spread over greater volumes. Constant Currency To supplement the consolidated financial statements presented in accordance with U.S. GAAP, we have presented constant currency adjusted financial measures for net revenue, gross profit, gross profit margin, operating expenses, net income (loss) and Adjusted EBITDA for the three and six months ended June 30, 2026, as well as cash and cash equivalents and short-term investment balances as of June 30, 2026 compared to December 31, 2025, which are considered non-GAAP financial measures. We present constant currency information to provide a framework for assessing how our underlying operations performed excluding the effect of foreign currency rate fluctuations. To present this information, current and comparative prior period income statement results in currencies other than U.S. dollars are converted into U.S. dollars using the average exchange rates from the three month comparative period in 2025 rather than the actual average exchange rates in effect during the respective current period; constant currency current and prior comparative balance sheet information is translated at the prior year-end spot rate rather than the current period spot rate. All growth comparisons relate to the corresponding period in 2025. We have provided this non-GAAP financial information to aid investors in better understanding the performance of our operations. The non-GAAP financial measures presented in this press release should not be considered as a substitute for, or superior to, the measures of financial performance prepared in accordance with U.S. GAAP. The table below sets forth certain measures of consolidated results from continuing operations on a constant currency basis for the three and six months ended June 30, 2026 compared to the three and six months ended June 30, 2025 as well as cash and cash equivalents, short-term investments and non-current interest-bearing deposits as of June 30, 2026 and December 31, 2025, both on an as-reported and constant currency basis (in thousands): Net revenue For the three months ended June 30, 2026, net revenue on a constant currency basis was $50.4 million, representing a 51% increase from the three months ended June 30, 2025. For the six months ended June 30, 2026, net revenue on a constant currency basis was $92.3 million, representing a 40% increase from the six months ended June 30, 2025. On a constant currency basis, net revenue increased for the three and six months ended June 30, 2026, primarily due to higher cannabis flower sales in Israel and other countries, which carry no excise taxes, and higher cannabis flower and extract sales in the Canadian market. Gross profit For the three months ended June 30, 2026, gross profit on a constant currency basis was $26.9 million, representing an 85% increase from the three months ended June 30, 2025. For the six months ended June 30, 2026, gross profit on a constant currency basis was $44.5 million, representing a 58% increase from the six months ended June 30, 2025. On a constant currency basis, gross profit increased for the three and six months ended June 30, 2026, primarily due to higher average sales prices, largely driven by a mix shift to Israel and other countries, which carry no excise taxes, and higher sales volumes. Higher sales volumes led to higher net revenue and efficiencies as fixed overhead costs were spread over greater volumes. For the six months ended June 30, 2025, we recognized $0.5 million of inventory step-up from the Cronos GrowCo Transaction in cost of sales. No such costs were recognized for the three months ended June 30, 2025 or the three and six months ended June 30, 2026. Operating expenses For the three months ended June 30, 2026, operating expenses on a constant currency basis were $20.6 million, representing a 4% increase from the three months ended June 30, 2025. For the six months ended June 30, 2026, operating expenses on a constant currency basis were $40.6 million, representing an 8% increase from the six months ended June 30, 2025. On a constant currency basis, operating expenses increased for the three and six months ended June 30, 2026, primarily due to higher salaries and benefits, transaction costs and product development costs, partially offset by the recovery of excise tax stamp penalties, as well as lower anti-dumping costs and restatement litigation costs. Net income (loss) For the three months ended June 30, 2026, net income on a constant currency basis was $35.2 million, representing an increase in net income of $73.7 million from the three months ended June 30, 2025. For the six months ended June 30, 2026, net income on a constant currency basis was $50.0 million, representing an increase in net income of $80.8 million from the six months ended June 30, 2025. On a constant currency basis, the improvement in net income for the three and six months ended June 30, 2026, was primarily due to higher gross profit and other income, partially offset by higher operating expenses. Adjusted EBITDA For the three months ended June 30, 2026, Adjusted EBITDA on a constant currency basis was $11.9 million, representing a $10.2 million improvement from the three months ended June 30, 2025. For the six months ended June 30, 2026, Adjusted EBITDA on a constant currency basis was $16.0 million, representing a $12.1 million improvement from the six months ended June 30, 2025. The improvement in Adjusted EBITDA for the three and six months ended June 30, 2026, on a constant currency basis was driven by higher gross profit, partially offset by higher operating expenses due to higher sales and marketing, general and administrative, and research and development costs. Cash and cash equivalents, short-term investments and non-current interest-bearing deposits Cash and cash equivalents, short-term investments and non-current interest-bearing deposits on a constant currency basis decreased $3.3 million to $828.5 million as of June 30, 2026, from $831.8 million as of December 31, 2025. The decrease in cash and cash equivalents, short-term investments and non-current interest-bearing deposits on a constant currency basis is primarily due to repurchases of common stock, purchases of property, plant and equipment, and withholding taxes paid on share-based awards, partially offset by positive cash provided by operating activities. Foreign currency exchange rates All currency amounts in this press release are stated in U.S. dollars, which is our reporting currency, unless otherwise noted. All references to “dollars” or “$” are to U.S. dollars. The assets and liabilities of our foreign operations are translated into dollars at the exchange rate in effect as of June 30, 2026, June 30, 2025, and December 31, 2025. Transactions affecting the shareholders’ equity (deficit) are translated at historical foreign exchange rates. The condensed consolidated statements of net income (loss) and comprehensive income (loss) and condensed consolidated statements of cash flows of our foreign operations are translated into dollars by applying the average foreign exchange rate in effect for the reporting period as reported on Bloomberg. The exchange rates used to translate from Canadian dollars (“C$”) to dollars are shown below: The exchange rates used to translate from New Israeli Shekels (“ILS”) to dollars are shown below: For further information, please contact: Harrison Aaron Investor Relations Tel: (416) 504-0004 [email protected] 1 Hifyre Retail Analytics - National Retail Dollar by Brand in Canada - Q2 2026. 2 Market share and ranking information from pharmacy data collected by Cronos - Q2 2026. 3 Hifyre Retail Analytics - National Retail Dollar by Brand in Canada - Q2 2026. 4 Market share and ranking information from pharmacy data collected by Cronos - Q2 2026.

Interested in Cronos Group Inc.? Here are five stocks we like better. Record Q2 performance: Cronos Group’s net revenue rose 58% year over year to $53 million, gross profit increased 96% to $28.5 million, and adjusted EBITDA reached a record $13.1 million. Growth was driven by Israel, Canada, Germany and stronger cannabis flower and extract sales. Brand momentum across key markets: Israel delivered its 10th consecutive quarter of record revenue, while Canada’s Spinach brand expanded its leading positions in vapes and edibles. International revenue outside Israel increased 88%, led by Germany. Expansion and capital flexibility: Cronos had $827 million in cash, investments and deposits at quarter-end and continues share repurchases. The company expects to complete its CanAdelaar acquisition in the Netherlands in the second half of 2026, pending regulatory approval, while disputing Israel’s dumping allegations. Cannabis: One Stock to Play the Movement Cronos Group (NASDAQ:CRON) reported record second-quarter net revenue, gross profit and adjusted EBITDA for 2026, supported by growth in Israel, Canada and other international markets, including Germany. Consolidated net revenue rose 58% year over year to $53 million, while gross profit increased 96% to $28.5 million. Adjusted EBITDA reached a record $13.1 million, improving by $11.4 million from the prior-year period. → 3 Drone Stocks That Should Soar After the Summer Slump Will This New Development Mean A Big Rally In Cannabis Stocks? Chairman, President and CEO Mike Gorenstein said the results reflected momentum behind the company’s “borderless product strategy” across its operating regions. CFO Anna Shlimak said higher cannabis flower sales in Israel, Canada and Germany, as well as increased Canadian cannabis extract sales, drove revenue growth. Shlimak said gross-profit growth was driven by higher average selling prices, sales mix shifting toward Israel and other international markets that do not carry excise taxes, and higher volumes that improved overhead-cost absorption. She also pointed to seasonally favorable growing conditions, which contributed to higher yields and more Grade A flower available for sale. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Cronos Group Inc's Revenues Are Up, Is It Time to Buy? “This quarter’s gross margin demonstrates what our business looks like when it’s firing on all cylinders,” Shlimak said, while cautioning that quarterly margins can vary based on seasonality, geographic and product mix, production volumes, and potential price compression. She said the company believes trailing 12-month gross-margin performance provides more useful context than any one quarter. Operating expenses totaled $21 million, up $1.2 million year over year. The increase reflected higher sales and marketing, research and development, and general and administrative spending. About $500,000 of the increase was related to transaction costs, primarily tied to Cronos’ pending acquisition of CanAdelaar in the Netherlands. → Jersey Mike's Serves Fresh Gains After IPO Stumble Cronos Israel delivered its 10th consecutive quarter of record net revenue, with sales rising 60% year over year, or 32% on a constant-currency basis, according to Gorenstein. He said the company’s PEACE NATURALS brand continued to extend its lead in Israel’s medical cannabis market based on pharmacy data collected by Cronos. Lord Jones, meanwhile, completed its second quarter of sales in Israel and was gaining momentum in the premium flower segment, Gorenstein said. The company also addressed a newly announced investigation by the Trade Levies Commissioner of Israel’s Ministry of Economy and Industry into alleged dumping of medical cannabis imports from Canada. Gorenstein said Cronos disputes the allegations and will cooperate with the ministry. He noted that a previous investigation into similar claims did not result in an anti-dumping duty. “Cronos does not engage in dumping,” Gorenstein said, adding that the company previously submitted pricing and cost data showing its Israeli pricing was not below its Canadian pricing. Despite geopolitical and regulatory challenges in Israel, Gorenstein said Cronos remains committed to the market. The company has invested more than ILS 100 million in a greenhouse, manufacturing facility and cannabinoid research-and-development laboratory, and employs approximately 80 people in the country. In Canada, Cronos recorded its highest quarterly net revenue, while its brands generated 25% year-over-year retail sales growth compared with 1% industry-wide sales growth, according to Hifyre data cited by the company. The Spinach brand retained its No. 1 position in vapes for the second consecutive quarter, expanding total vape market share to 10.6%. In vape cartridges, Spinach remained No. 1 for the third consecutive quarter, with 11.8% share. The brand ranked second in disposable vapes, where its share increased to 8.2%, aided by the PUFFERZ all-in-one offering launched late in 2025. Cronos launched three PUFFERZ flavors during the quarter: Strawberry Burst, Peach Iced Tea and Grape Gas. It also introduced the Spinach Orange Vanilla Twist one-gram cartridge as the brand’s first limited-time summer vape cartridge offering. Spinach remained Canada’s top edible brand for the eighth consecutive quarter, with 20.8% market share and 22.5% share within gummies. Five SOURZ by Spinach Fully Blasted products ranked among Canada’s top 10 edible stock-keeping units, including the Fully Blasted Blue Raspberry Watermelon 10-pack, which ranked first nationally. In flower, Spinach ranked third with a 5.4% market share. GMO Cookies and OG Kush were among the country’s six top-selling flower products during the quarter. Spinach also rose to seventh place in pre-rolls, with a 3.1% share, while gaining ground in infused and traditional pre-rolls. Outside Israel, Cronos’ international net revenue increased 88% year over year, led by demand in Germany. Gorenstein said the company’s additional supply capacity has allowed it to place greater focus on Europe, while its approach remains centered on delivering a competitive product offering rather than avoiding competitive markets. Gorenstein also said GrowCo is fully online and that Cronos expects further operational efficiencies as it continues refining the facility, manufacturing processes and genetic breeding program. He said the added flower supply has supported gains across flower, pre-rolls and vapes while helping the company maintain its edible-market leadership. Regarding CanAdelaar, Gorenstein said the Netherlands business was performing in line with Cronos’ expectations. The company expects to close the acquisition in the second half of 2026, subject to Dutch regulatory clearance and remaining closing conditions. Cronos has not been informed of specific issues with its regulatory submission, he said. CanAdelaar is the largest company participating in the Netherlands’ legal adult-use cannabis program, according to Cronos. Gorenstein said the acquisition could create an opportunity to introduce adult-use products such as SOURZ by Spinach and PUFFERZ into the Dutch market. Cronos ended the quarter with $827 million in cash equivalents, short-term investments and non-current interest-bearing deposits, up $5 million from the first quarter. The increase reflected $24 million in positive operating cash flow, partly offset by $60 million in share repurchases and $2 million in capital expenditures. The company also held a $17 million loan receivable, a $15 million current income tax receivable and $5 million in other investments. Gorenstein said Cronos remains active under its share repurchase program and views buybacks as an attractive use of capital while maintaining flexibility to invest in growth opportunities. Cronos Group Inc is a Canadian cannabinoid company dedicated to the cultivation, production and distribution of cannabis and cannabidiol (CBD) products for both medical and adult-use markets. Headquartered in Toronto, Ontario, the company manages operations that span the full cannabis value chain, including breeding, greenhouse cultivation, extraction, product formulation and packaging. Cronos Group's business model emphasizes innovation in product development and scalability in manufacturing to meet evolving regulatory and consumer demands. The company's branded portfolio includes Peace Naturals, which focuses on pharmaceutical-grade medical cannabis; Spinach, a line of adult-use cannabis oils and tinctures; and Cove, a range of wellness-oriented CBD offerings. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Cronos Group Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Cronos Group Inc (NASDAQ:CRON) delivered record net revenue, gross profit, and adjusted EBITDA in Q2 2026, with consolidated net revenue up 58% year-over-year to $53 million. The company's Spinach brand continues to dominate the Canadian market, holding the #1 position in vapes and edibles for multiple consecutive quarters, with significant market share gains across all product categories. Cronos Group Inc (NASDAQ:CRON)'s international expansion is gaining momentum, with record net revenue outside Israel growing 88% year-over-year, led by strong demand in Germany. The company maintains a fortress balance sheet with $827 million in cash and investments, generating $24 million in positive cash flow from operations while actively repurchasing shares. Cronos Group Inc (NASDAQ:CRON)'s Israel operations delivered its 10th consecutive quarter of record net revenue, growing 60% year-over-year, with the Peace Naturals brand expanding its market leadership. The pending acquisition of Canatalar in the Netherlands is progressing, which would provide entry into the largest adult-use cannabis program in Europe and create opportunities for the Spinach brand. Cronos Group Inc (NASDAQ:CRON) faces a new anti-dumping investigation in Israel regarding alleged dumping of medical cannabis imports from Canada, creating regulatory uncertainty despite the company's confidence in its defense. The closing of the Canatalar acquisition has taken longer than expected due to the Dutch regulatory review process, with no specific timeline for completion beyond the second half of 2026. Gross margins may be volatile quarter-to-quarter due to seasonality, product mix, and potential price compression, with the company cautioning that Q2's performance may not be sustainable. Operating expenses increased year-over-year, driven by higher sales and marketing, R&D, and G&A costs, including transaction costs related to the Canatalar acquisition. The company's stock liquidity remains thin despite its NASDAQ listing, reflecting broader investor focus on US markets and skepticism toward Canadian LPs, limiting capital market flexibility. Cronos Group Inc (NASDAQ:CRON) faces intense competition and price compression in key markets like Germany and Canada, requiring constant innovation and adaptation to maintain market share. Warning! GuruFocus has detected 8 Warning Signs with VTRS. Is CRON fairly valued? Test your thesis with our free DCF calculator. Q: Can you expand on your supply chain in Israel? What percent of what you sell is produced by Cronos in Israel versus imported, and does reported Israel sales include third-party product?A: Mike Gorenstein, Chairman, President, and CEO: We have a domestic grow and also buy from third parties in Israel and from GrowCo in Canada. All sales in Israel include everything that goes through our facility sold under our brand. We dispute the anti-dumping allegations and are confident we will prevail again, as we did in the previous investigation. We view Israel as a strong and important part of our business and have increased supply with Israel in mind. Q: In a scenario where the U.S. has rescheduling but maintains a state-by-state silo system with no interstate commerce, would Cronos want to participate more actively in the U.S.?A: Mike Gorenstein, Chairman, President, and CEO: We would look to enter with a focus on borderless products rather than full production sites. We would enter with genetics, edibles, vapes, and pre-rolls, but not necessarily build out strong grow infrastructure. This is because we believe interstate commerce and free trade will eventually happen, making it tough to compete with centralized, national-scale production similar to CPG companies. Q: The Spinach brand has shown strength across product formats. How do you envision the brand's potential to cross borders into adult-use markets?A: Mike Gorenstein, Chairman, President, and CEO: Part of Spinach's strength is that we treat each product as if it were a new launch, ensuring best-in-class quality. We've already shown the ability for products to translate to other markets. We're planning for this, and it's a key reason we're excited about the Canadolar acquisition, as it's an adult-use market where Spinach products like Sours and Puppers can perform well. Q: Germany has gotten tougher with price compression, but you're showing strong growth. Can you explain your route to market and how you're positioned there?A: Mike Gorenstein, Chairman, President, and CEO: Our success in Germany is based on the same value proposition approach we use in Canada and Israel. While we don't have boots on the ground, a great product finds demand. The market isn't as competitive yet as others we're in. The unlock has been additional capacity at GrowCo, allowing more focus on Europe than in the past. Q: Gross margin expanded more than expected. Which bucket was the largest contributor behind the year-over-year expansion?A: Anna Slemak, CFO: The largest contributor was seasonally better growing conditions, leading to higher yields and more high-quality Grade A flower, which spreads overhead costs over greater volumes. This was followed by a geographic shift to higher ASPs in Israel and international markets with no excise tax, and finally, strong growth in Canada's vape portfolio, which carries the best margins. We believe trailing 12-month gross margin provides better context than a single quarter. Q: Were these results better than you expected internally, and is there anything that really went right in the quarter?A: Mike Gorenstein, Chairman, President, and CEO: We're generally optimistic but conservative, so we're extremely pleased. Things went well in nearly every market and category. Key drivers included Puppers launching and gaining momentum in Canada, having more supply to satisfy demand, and positive weather and growing conditions. The work put in over the last few years is starting to click, with improvements at GrowCo, Stayner, and Israel. Q: There's been talk about a pressured Canadian consumer moving toward value products. Have you run into that problem?A: Mike Gorenstein, Chairman, President, and CEO: It's about delivering value propositions that matter. For some, that's the value category, but we see opportunity in our segments. There's some switching from other categories, like beer to cannabis, based on cost-effectiveness. We haven't seen many issues with consumer resiliency. Q: How is the GrowCo integration supporting market share gains, and what are your expectations for the fully ramped site's contribution to top-line and gross margin?A: Mike Gorenstein, Chairman, President, and CEO: GrowCo is fully online and going extremely well. We'll see more efficiency gains as we dial it in, particularly from our genetic breeding program, which is hard to measure but likely where the most efficiency gains will come. The extra supply has helped gains across flower, pre-rolls, and vapes, while maintaining our lead in edibles. The facility expansion is fully integrated, and we now have a full handle on scheduling and processing. Q: Why is liquidity so low for NASDAQ-listed Canadian LPs like Cronos, despite growth and export potential, while U.S. MSOs are seen as catalysts?A: Mike Gorenstein, Chairman, President, and CEO: The market has many companies, and investors have been burned by loud companies making promises. It's a "show me" industry now. I don't think of it as US versus Canada; every company is different, and lines are blurring. We don't worry about it because we don't need to use our stock as currency or raise capital. We have a buyback opportunity and focus on the market opportunity, which remains plenty within our current markets. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Cronos Group Inc. has reported its second-quarter 2026 results, with sales rising to US$70.6 million and revenue to US$53.01 million, alongside a shift from a net loss to net income of US$32.09 million compared with the same period last year. This move into profitability, with basic earnings per share from continuing operations at US$0.09 versus a loss per share a year earlier, highlights a clear improvement in operating performance over both the quarter and first half of 2026. We’ll now consider how this return to profitability, particularly the swing to US$32.09 million in quarterly net income, affects Cronos Group’s investment narrative. The future of work is here. Discover the 36 top robotics and automation stocks leading the charge in AI-driven automation and industrial transformation. To own Cronos Group, you have to believe the company can convert its growing cannabis brands and international footprint into durable, repeatable profits. The Q2 2026 swing to US$32.09 million in net income supports that view in the near term and helps ease concerns about ongoing losses, but it does not remove key risks around sustainability of margins and execution at GrowCo, which still looks like the most important short term catalyst and operational risk. Among recent announcements, the ongoing share repurchase plan (up to 18,712,918 shares or US$50 million through May 2027) is most relevant here, because a return to profitability can strengthen the case for buybacks as a way to return excess cash while the business continues to invest in product launches like Spinach STIX in Canada and the Lord Jones brand in Israel, both of which tie directly into the revenue and margin catalysts behind this quarter’s results. But against this improving earnings picture, investors should still be aware of how any setback at GrowCo could quickly change the story... Read the full narrative on Cronos Group (it's free!) Cronos Group's narrative projects $212.6 million revenue and $59.8 million earnings by 2029. Uncover how Cronos Group's forecasts yield a CA$4.68 fair value, a 8% upside to its current price. Before this Q2 report, the most bearish analysts were assuming Cronos might reach about US$182.7 million in revenue and US$64.4 million in earnings by 2029, which is far more cautious than the consensus and highlights how differently you and other shareholders might weigh regulatory risks and international exposure as you interpret this latest profitability milestone. Explore 3 other fair value estimates on Cronos Group - why the stock might be worth as much as 93% more than the current price! Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts. A great starting point for your Cronos Group research is our analysis highlighting 2 key rewards that could impact your investment decision. Our free Cronos Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Cronos Group's overall financial health at a glance. Don't miss your shot at the next 10-bagger. Our latest stock picks just dropped: We've uncovered the 6 dividend fortresses yielding 5%+ that don't just survive market storms, but thrive in them. Rare earth metals are the new gold rush. Find out which 28 stocks are leading the charge. Uncover the next big thing with 14 elite penny stocks that balance risk and reward. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include CRON.TO. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

TORONTO, July 16, 2026 (GLOBE NEWSWIRE) -- Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON) (“Cronos” or the “Company”) will hold its 2026 second quarter earnings conference call on Thursday, August 6, 2026 at 8:30 a.m. ET. Cronos’ senior management team will discuss the Company’s financial results and will be available for questions from the investment community after prepared remarks. To attend the conference call or webcast, participants should register online at https://ir.thecronosgroup.com/events-presentations. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. The webcast of the call will be archived for replay on the Company’s website. About Cronos Cronos is a global cannabis company focused on scaling leading consumer goods products through R&D and innovation. With a passion to responsibly elevate the consumer experience, Cronos is building an iconic brand portfolio. Cronos’ diverse international brand portfolio includes Spinach®, PEACE NATURALS®, LIT™ and Lord Jones®. For more information about Cronos and its brands, please visit: https://thecronosgroup.com/. Forward-looking Statements This press release may contain information that may constitute “forward-looking information” or “forward-looking statements” within the meaning of applicable Canadian and U.S. securities laws and court decisions (collectively, “Forward-looking Statements”). All information contained herein that is not clearly historical in nature may constitute Forward-looking Statements. In some cases, Forward-looking Statements can be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “plan”, “anticipate”, “intend”, “potential”, “estimate”, “believe” or the negative of these terms, or other similar expressions intended to identify Forward-looking Statements. Some of the Forward-looking Statements contained in this press release include statements about Cronos’ intention to build an iconic brand portfolio and its focus on scaling leading consumer goods products through R&D and innovation. Forward-looking Statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive risks, financial results, results, performance or achievements expressed or implied by those Forward-looking Statements and the Forward-looking Statements are not guarantees of future performance. A discussion of some of the material risks applicable to the Company can be found in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 and the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, each of which have been filed on SEDAR+ and EDGAR and can be accessed at www.sedarplus.ca and www.sec.gov/edgar, respectively. Any Forward-looking Statement included in this press release is made as of the date of this press release and, except as required by law, Cronos disclaims any obligation to update or revise any Forward-looking Statement. Readers are cautioned not to put undue reliance on any Forward-looking Statement. Cronos ContactHarrison AaronInvestor RelationsTel: (416) [email protected]