Cronos Group( NASDAQ: CRON) traded lower on Friday in the wake of the Q1 of financial 2020 results it released early in the day.
For the quarter, the company posted profits of $8.
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On average, analysts estimated Cronos would earn $108 million on the top line and post a per-share net profit of just $0.07
As in previous quarters, nevertheless, the company’s bottom line was affected by a large modification– particularly, the revaluation of derivative liabilities. This relates to the worth of warrants that Cronos’ tactical investor Altria keeps in the company, and is basically an accounting adjustment.
Without Q1’s $113 million revaluation, Cronos would have been well at a loss on the bottom line. Perhaps a more revealing line product in this respect was the company’s operating loss, which was available in at simply over $45 million for the quarter. That was narrower than the nearly $64 million deficit of Q4 2019 however much deeper than the $101 million posted in last-year’s Q1.
The marijuana company stated its income got an increase from the rollout of new products, such as vaporizers for the leisure marijuana market in its native Canada. South of that border, Cronos signaled out a brand-new cannabidiol (CBD)- instilled moisturizer offered under its U.S. CBD brand, Lord Jones.
Cronos stock fell by 3%Friday on a day when the major stock market indexes all published gains.
Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.”>
any of the stocks discussed. The Motley Fool has no position in any of the stocks pointed out. The Motley Fool has a disclosure policy“>