22nd Century Group, Inc. (NASDAQ: XXII), a tobacco products company focused on reduced-nicotine cigarettes, reported fourth-quarter 2025 results that came in below analyst expectations, while continuing to expand distribution of its VLN® products. VLN cigarettes were authorized by the FDA in 2021 as modified risk tobacco products with certain reduced-exposure claims related to nicotine consumption.
On March 26, 2026, the company reported fourth-quarter net revenue of $3.5 million, down from $4 million in the prior-year quarter. It also reported a net loss from continuing operations of $2.7 million and a basic and diluted loss per common share from continuing operations of $(5.89). While revenue remained under pressure, the company’s operating loss and adjusted EBITDA loss both improved from the year-earlier period.
Management said the company is continuing to shift toward higher-margin proprietary branded products by expanding VLN commercial distribution. In its earnings release, 22nd Century said it had increased Pinnacle® VLN® availability to almost 1,500 stores within a top-five convenience store chain across 12 states and had broadened state authorizations for several VLN and partner-branded products.
22nd Century said it ended 2025 with $7.1 million in cash, and its 2025 annual report shows $17.6 million in current assets versus $7.2 million in current liabilities, indicating a current ratio of roughly 2.42. The company also said it had extinguished its senior secured debt during 2025.
