Cronos Group (NASDAQ:CRON) Releases Earnings Results, Beats Estimates By $0.01 EPS

Cronos Group (NASDAQ:CRON) released its quarterly earnings data on Thursday. The company reported $0.02 EPS for the quarter, beating the consensus estimate of $0.01 by $0.01, reports. The company had revenue of $58.39 million for the quarter, compared to analysts’ expectations of $38.51 million. Cronos Group had a negative return on equity of 1.12% and a net margin of 27.27%.

Here are the key takeaways from Cronos Group’s conference call:

• Record 2025 financials — Cronos reported Q4 net revenue of $44.5M (up 47% YoY) and organic full‑year net revenue growth of 25%, with record full‑year gross profit and Adjusted EBITDA, and a strong balance sheet of $832M cash and short‑term investments.
• Canadian brand and product momentum — Spinach led growth (vapes rose to #2 overall and #1 in vape cartridges in Q4), Sours edibles approached ~22% category share, and the new all‑in‑one PUFFERZ vape launched in select provinces with broader rollout planned in early 2026.
• International expansion and Netherlands acquisition — Israel net revenue grew 52% YoY and Cronos agreed to acquire CanAdelaar for €57.5M (~$67.5M) with earnouts, positioning Cronos in the Dutch adult‑use program and expanding its European footprint; management called the deal accretive.
• Near‑term margin and operational headwinds — Q4 adjusted gross margin weakened due to GrowCo expansion production quality mix and expense timing (Adjusted EBITDA was only $0.5M in Q4 and below earlier quarters), though management expects margins to normalize toward a ~43% run rate and CapEx to be modest in 2026.

Cronos Group Stock Up 1.7%

CRON traded up $0.05 during midday trading on Friday, reaching $2.72. The company had a trading volume of 997,896 shares, compared to its average volume of 1,346,012. The business has a 50-day moving average of $2.65 and a two-hundred day moving average of $2.60. Cronos Group has a 1 year low of $1.60 and a 1 year high of $3.43. The company has a market cap of $1.03 billion, a P/E ratio of 27.15 and a beta of 0.80.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on CRON. Wall Street Zen raised shares of Cronos Group from a “sell” rating to a “hold” rating in a report on Saturday, February 14th. Zacks Research lowered shares of Cronos Group from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, January 6th. Weiss Ratings reissued a “hold (c)” rating on shares of Cronos Group in a report on Monday, December 29th. Canaccord Genuity Group began coverage on Cronos Group in a report on Tuesday, January 27th. They issued a “buy” rating for the company. Finally, Sanford C. Bernstein reissued a “market perform” rating and issued a $2.30 target price on shares of Cronos Group in a report on Wednesday, January 14th. Two investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, Cronos Group currently has a consensus rating of “Hold” and a consensus price target of $2.30.

Key Stories Impacting Cronos Group

Here are the key news stories impacting Cronos Group this week:

• Positive Sentiment: Reported revenue and growth momentum — Management said Q4 and FY‑2025 produced record net revenue (Q4 up ~47% year‑over‑year; FY net revenue +25%) and continued organic strength in Israel. This top‑line momentum supports valuation re‑rating. Cronos press release
• Positive Sentiment: Earnings and revenue beat — Cronos reported $0.02 EPS vs. $0.01 consensus and reported revenue above analyst estimates, which helped sentiment. Investors typically reward upside surprises on both EPS and revenue. MarketBeat earnings summary
• Positive Sentiment: Very strong liquidity — Company reports an industry‑leading balance sheet with roughly $832M in cash, equivalents and short‑term investments, which reduces financing risk and gives optionality for M&A or investment. Press coverage
• Neutral Sentiment: Strategic expansion vs. regulatory friction — Management highlighted strategic moves in Europe that could support growth longer term, but flagged regulatory challenges that create execution risk; this is a mixed catalyst. Earnings call highlights
• Neutral Sentiment: Short‑interest data appears unreliable — Recent short‑interest entries show inconsistent/zero figures; there’s no clear short‑squeeze signal from the available data. This leaves investor positioning ambiguous.
• Negative Sentiment: Foreign‑exchange losses and GAAP hit — FX transaction losses pushed the company to a Q4 GAAP loss (and contributed to a modest FY net loss), reducing the cleanness of the beat and tempering upside. Media coverage emphasized FX as the drag. Seeking Alpha MarketWatch

Institutional Investors Weigh In On Cronos Group

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CRON. Brooklyn Investment Group lifted its stake in shares of Cronos Group by 5,733.0% during the 3rd quarter. Brooklyn Investment Group now owns 10,966 shares of the company’s stock valued at $30,000 after buying an additional 10,778 shares in the last quarter. Scientech Research LLC purchased a new stake in shares of Cronos Group during the third quarter worth about $32,000. HighTower Advisors LLC raised its stake in Cronos Group by 323.4% during the 4th quarter. HighTower Advisors LLC now owns 12,959 shares of the company’s stock valued at $34,000 after purchasing an additional 18,761 shares during the period. Sender Co & Partners Inc. purchased a new position in Cronos Group in the 3rd quarter worth approximately $35,000. Finally, Envestnet Asset Management Inc. purchased a new position in Cronos Group in the 2nd quarter worth approximately $36,000. Institutional investors own 8.71% of the company’s stock.

About Cronos Group

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.