Canadian cannabis producer Cronos Group lost $78.9 million in its fourth quarter ended Dec. 31, bringing the company’s net loss for the year to $168.7 million.
The Toronto-based company on Tuesday reported that its net revenue grew 23% year-over-year to $91.9 million in 2022.
Cronos’ revenue in the United States fell 48% in the same time period, to $5.2 million in 2022.
That was offset by sales growth in Canada and Israel.
The company’s net revenue in Canada grew 12% in 2022 over 2021 to $56.2 million.
In Israel, net revenue increased 128% over 2021 to $30.5 million in 2022.
Cronos said net revenue increased primarily because of higher cannabis extract sales in the Canadian adult-use market and higher flower sales in the Israeli medical marijuana market.
In the October-December quarter, Cronos saw its consolidated net revenue fall to $22.9 million, down 11% over the same quarter one year earlier.
Last year, Cronos said it executed “a strategic plan to realign the business around its brands, centralize functions and evaluate the company’s supply chain.”
“We exceeded our originally stated goal by saving $28.7 million in operating expenses in 2022, to right-size our cost structure to be more adaptable to the changing landscape we face globally in the cannabis industry,” CEO Mike Gorenstein said in a statement.
Cronos said it expects to save up to another $20 million in 2023, driven by sales and marketing, general and administrative as well as research and development.
Cronos appointed James Holm as chief financial officer in November.
Cronos had $764.6 million in cash at the end of the year.
Shares of Cronos are traded as CRON on the Toronto Stock Exchange and Nasdaq.