Core Insights - The company has achieved significant balance sheet improvement, becoming debt-free and receiving $9.5 million in non-dilutive cash from an insurance settlement [4][6][11] - The third quarter marks a strategic pivot towards a branded products strategy, with an increasing store count and new distribution agreements for VLN® products [2][4] - The company aims to lead the Tobacco Harm Reduction Movement by offering low nicotine products, aligning with FDA mandates [3][4] Financial Performance - Net revenues for Q3 2025 decreased slightly to $4.0 million from $4.1 million in Q2 2025, while gross profit showed a loss of $(1.1) million compared to $(0.6) million [6][12] - Operating expenses decreased to $2.2 million from $2.3 million, but operating loss increased to $3.2 million from $3.0 million [6][12] - Consolidated net income increased to $5.5 million, reflecting the $9.5 million insurance settlement, compared to a net loss of $3.4 million in the previous quarter [6][12] Product Line and Market Expansion - Cigarette net revenues were $2.5 million, down from $2.7 million, while VLN® cigarette revenues increased by $0.2 million due to initial stocking orders [7][12] - The company has expanded market access for VLN® and Partner VLN® brand launches, with state authorizations now including 45 states for 22nd Century VLN® and 38 states for Smoker Friendly VLN® [11][12] - The company is advancing plans for new product formats and international offerings, including a 100mm format for VLN® cigarettes [11][12] Balance Sheet and Cash Position - The company ended Q3 2025 with cash of $4.8 million and no outstanding debt, having extinguished $3.9 million of senior secured debt [6][12] - The recent insurance settlement has significantly improved the company's cash position, providing a solid foundation for future growth [4][6][12]

Core Viewpoint - 22nd Century Group, Inc. is set to discuss its second quarter results for 2025 during a webcast on August 14, 2025, highlighting its ongoing efforts in nicotine harm reduction and the introduction of its VLN® cigarette product [1][2]. Company Overview - 22nd Century Group is a leader in the nicotine harm reduction movement within the tobacco industry, focusing on enabling smokers to manage their nicotine consumption [4]. - The company has developed the VLN® cigarette, which contains 95% less nicotine than traditional cigarettes, providing smokers with a familiar alternative to help reduce their nicotine intake [5]. Product Details - The VLN® cigarette is designed to allow consumers to make informed choices regarding their nicotine consumption, potentially avoiding addictive levels altogether [5]. - The proprietary reduced nicotine tobacco blends are created using patented technologies that regulate nicotine biosynthesis in tobacco plants, ensuring full flavor and high yield while maintaining low nicotine levels [6]. Webcast Information - The webcast will feature Larry Firestone, CEO, and Dan Otto, CFO, who will review financial results and discuss the company's progress and plans for 2025 [2][3]. - The live and archived webcast will be available on the company's Investor Relations website [3].

Core Insights - 22nd Century Group, Inc. has launched its new Pinnacle VLN® Gold and Pinnacle VLN® Menthol reduced nicotine content cigarettes, with initial shipments supporting a sales launch on September 1, 2025, at nearly 1,000 locations across 12 states for a top-5 U.S. convenience store chain [1][2] - The Pinnacle VLN® products represent a significant innovation in the tobacco industry, offering a 95% reduction in nicotine compared to traditional cigarettes, aligning with the FDA's proposed low nicotine mandate [2][4] - The company aims to expand the reach of its VLN® products to promote harm reduction in smoking habits, backed by extensive clinical research [4][6] Product Details - VLN® products utilize proprietary tobacco that has 95% reduced nicotine content, making them the first combusted tobacco products compliant with the FDA's proposed new Tobacco Product Standard for Nicotine Yield [3][7] - The VLN® cigarette is designed to provide traditional smokers with a familiar alternative that allows them to control their nicotine consumption [6][7] - The company holds a comprehensive patent portfolio, ensuring it remains the only provider of low nicotine combustible cigarettes in the U.S. and critical international markets [7] Market Strategy - The launch of Pinnacle VLN® products is expected to enhance brand loyalty among customers of the convenience store chain, reinforcing the company's position in the tobacco harm reduction movement [2][4] - The company plans to continue adding more states and locations for Pinnacle VLN® products, along with re-ordering inventory through the distributor [2]

Core Insights - 22nd Century Group is expanding the availability of its VLN® reduced nicotine content products through partnerships with multiple tobacco brands, aiming to reduce smoking rates and related health harms [1][2][3] - The FDA's proposed Tobacco Product Standard for nicotine yield, which sets a maximum nicotine content of 0.7 mg per gram of tobacco, is driving interest in VLN products, which average 0.5 mg per gram [3][4][5] - The implementation of the FDA's proposal could prevent approximately 48 million youth and young adults from starting to smoke by the year 2100 [4][6] Company Overview - 22nd Century Group is recognized as a pioneering company in nicotine harm reduction, providing smokers with options to control their nicotine consumption [7][8] - The VLN® cigarette is designed to offer a familiar alternative for traditional smokers, containing 95% less nicotine than conventional cigarettes [8][9] - The company holds a comprehensive patent portfolio that ensures it has the only low nicotine combustible cigarette in the U.S. and critical international markets [9]