Cronos shares slide 2% premarket after earnings

Ciara Linnane - finance.yahoo.com Posted 5 years ago

Cronos Group Inc. said Tuesday it had revenue of C$5.6 million ($4.2 million) in the fourth quarter, up from $1.6 million in the fourth quarter of 2017. The Canadian cannabis company did not offer a net profit or loss number, but said gross profit before fair value adjustments came to C$2.5 million, up from C$400,000 in the year-earlier period. The increase was driven by an increase in kilograms sold, the company said without providing a number. Operating costs rose to C$12.4 million in the quarter from C$2.9 million a year ago, driven by R&D costs, talent acquisition and professional and consulting fees for strategic initiatives, including the C$2.4 billion investment from Altria Inc. . For the full year, it said it had a loss of C$19.2 million, or 11 cents a share, after a profit of C$1.8 million, or 1 cent a share, in the year-earlier period. With just two estimates gathered by FactSet, there is no reliable consensus for the quarter or year. Shares fell 2% in premarket trade, but have gained 175% in the last 12 months, while the S&P 500 has gained 5%.

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