22nd Century Group reports preliminary Q3 revenue of $4.8 million

22nd Century Group, Inc. (Nasdaq: XXII) announced preliminary and unaudited financial results for the third quarter ended September 30, 2026, projecting net revenues of approximately $4.8 million. This figure represents a 66% increase from the $2.9 million reported in the second quarter of 2026. The company stated that these preliminary figures reflect continuing operations and exclude discontinued operations.

The preliminary data indicates a shift in profitability metrics, with gross profit expected to be approximately $0.4 million, compared to a gross loss in the prior quarter. Operating expenses are projected to remain consistent with the second quarter at $3.0 million. Consequently, the company expects an operating loss of $2.6 million for the third quarter, narrowing from the $3.3 million operating loss recorded in the second quarter. The net loss is also expected to be $2.6 million, down from $3.3 million in the previous period. Adjusted EBITDA is projected to show a loss of $2.2 million, an improvement from the $3.5 million loss in the second quarter.

As of October 22, 2026, 22nd Century Group reported 3,416,441 common shares outstanding with no warrants remaining outstanding. The company held $3.9 million in cash and equivalents at the end of the quarter.

Larry Firestone, Chief Executive Officer of 22nd Century Group, attributed the results to disciplined execution and increased consumer awareness for the company's Pinnacle VLN and 22nd Century VLN low nicotine cigarettes. Firestone noted that same-store sales reports for the Pinnacle brand showed growth in the third quarter compared to the second quarter. He stated that early adoption of VLN low nicotine cigarettes suggests a developing market path for a low nicotine category, with an anticipation that multiple brands may eventually carry VLN-branded products alongside standard brands.

The financial information provided is preliminary, prepared internally by management, and has not been audited, reviewed, or compiled by an independent registered public accounting firm. Actual results may differ materially from these preliminary estimates due to final review, closing procedures, and audit adjustments. The company anticipates releasing its full third quarter 2026 earnings on or before November 13, 2026, followed by a conference call for investors and financial analysts.