Cronos Group Reports 2025 Fourth Quarter and Full-Year Results
Executive Summary
- Cronos Group reported record net revenue of $44.5 M in Q4 2025 (↑47% YoY) and $146.6 M for FY 2025 (↑25% YoY).
- The company posted a net loss of $2.9 M for the quarter and $2.9 M for the full year, reversing a prior‑year profit of $43.9 M and $40.0 M respectively.
- A definitive share‑sale agreement was signed to acquire CanAdelaar B.V. for €57.5 M (≈$67 M) cash up‑front plus contingent earn‑outs tied to 0.5× normalized EBITDA in 2026‑27.
Key Details
- Financial Highlights – Q4 2025
- Net revenue: $44,531 K (↑47% YoY).
- Gross profit: $16,189 K (↑50%).
- Adjusted gross profit: $16,189 K (↑80%).
- Net loss: $(491) K (vs. $43,941 K income in Q4 2024).
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Adjusted EBITDA: $456 K (improvement of $7.1 M vs. Q4 2024).
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Financial Highlights – FY 2025
- Net revenue: $146,587 K (↑25%).
- Gross profit: $62,759 K (↑149%).
- Adjusted gross profit: $63,276 K (↑108%).
- Net loss: $(2,929) K (vs. $40,022 K income in FY 2024).
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Adjusted EBITDA: $10,110 K (up $45.1 M YoY).
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Cash Position – Cash & cash equivalents of $791.8 M at year‑end 2025 (down 8% YoY); short‑term investments $40.0 M.
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Operating Segments
- Israel: net revenue $41,796 K (+47% YoY).
- Canada: net revenue $90,330 K (+10%).
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Other countries: net revenue $14,461 K (+112%).
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Brand Performance – PEACE NATURALS® remained #1 cannabis brand in Israel; Spinach® held #2 overall Canadian market share (5.1%); SOURZ by Spinach® led edibles category with ~21% Q4 share.
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Acquisition – CanAdelaar B.V.
- Purchase price: €57.5 M cash upfront (~$67 M) ≈ 1.4× CanAdelaar FY‑2025 net revenue and 2.4× EBITDA.
- Contingent consideration: 0.5× normalized EBITDA payable in 2026 & 2027.
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Expected close: first half of 2026, subject to Dutch regulatory approvals.
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Cronos GrowCo Transaction – Additional investment made June 20 2024; Cronos now holds majority board control and has been consolidating results since July 1 2024. Contributed $10.3 M of cannabis flower sales in FY 2025.
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Restructuring & Impairments
- Goodwill impairment (Lord Jones® trademark) recorded in Q4 2025.
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Impairment of long‑lived assets related to equipment no longer used.
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Adjusted EBITDA Adjustments – Excludes share‑based compensation, depreciation/amortization, goodwill impairments, inventory step‑up adjustments, transaction costs (Cronos GrowCo & CanAdelaar), restructuring costs, and credit‑loss provisions on the High Tide loan.
Notable Quotes
“Cronos delivered record net revenue, gross profit and Adjusted EBITDA in 2025… Once completed, our pending acquisition of CanAdelaar will establish a strategic footprint in Europe…” – Mike Gorenstein, Chairman, President & CEO.