Emerging Growth Research Releases Q3 2025 Update Report on 22nd Century Group

New York, New York--(Newsfile Corp. - November 26, 2025) - Emerging Growth Research today released its latest quarterly update report on 22nd Century Group, Inc. (NASDAQ: XXII), highlighting the Company's now cash-rich balance sheet, full debt repayment, settlement of a $9.5 million insurance case, and stabilization of its Contract Manufacturing Operations (CMO). The updated report also reflects management's revised outlook for EBITDA breakeven, now expected in Q3 2026.

Key Highlights from the Update Report:

• 22nd Century Group has fully repaid all remaining debt and settled its long-running $9.5 million insurance-related legal case, giving the Company a materially strengthened net-cash position.
• Q3 2025 revenue of $4.0 million represents stabilization following restructuring and the 2024 CMO price-hike attrition.
• Gross profit declined to $(1.1) million due to higher excise taxes, despite underlying per-unit margin improvement.
• Operating loss improved year-over-year to $(3.2) million as SG&A expenses continued to tighten.
• Adjusted EBITDA was $(2.6) million, remaining stable compared to prior quarters.
• Net cash increased to $14.0 million in Q3 2025, compared to $(0.8) million in Q2 2025.
• Management maintains confidence in reaching EBITDA breakeven by Q3 2026 on higher-margin CMO mix and VLN® expansion.
• VLN® rollout continues, with state registrations now covering nearly all U.S. states and initial shipments underway.

For a copy of the full quarterly report, please visit:

https://emerginggrowth.com/wp-content/uploads/2025/11/XXII_Update_11.26.25.pdf

or

http://www.EmergingGrowth.com/profile/xxii/ (on the right side of the page as you scroll down)

About the Company

22nd Century Group, Inc. (NASDAQ: XXII) is a U.S.-based contract manufacturer for combustible tobacco products and the sole provider of VLN® reduced-nicotine cigarettes. With a focus on nicotine harm reduction and a stabilized CMO business, the Company is positioned to drive growth through its proprietary VLN® products while leveraging its operational capacity to scale higher-margin offerings. Founded in 1998, it is headquartered in Mocksville, NC.

Contact

Emerging Growth Research

Research@EmergingGrowth.com 

www.EmergingGrowth.com

Forward-Looking Statements

This press release contains forward-looking statements, including expectations regarding EBITDA breakeven timing, anticipated CMO and VLN® revenue growth, long-term financial performance, cash utilization, and potential dilution related to warrants or preferred share conversions. Actual results may differ materially due to risks and uncertainties. Readers are encouraged to review the full disclosure and risk factors included in the complete Emerging Growth Research update report.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/276032