Financial Overview and Strategic Insights
DISCLAIMERS & CAUTIONARY STATEMENTS
CRONOS GROUP INC.
This document may contain forward-looking information or forward-looking statements within the meaning
of applicable U.S. and Canadian securities laws and court decisions (collectively, "forward-looking
information"). All information contained in this communication that is not clearly historical in nature or that
necessarily depends on future or subsequent events is forward-looking information prepared as of the
date hereof and is based upon the opinions and estimates of management and the information available
to management as of the date hereof. In some cases, forward-looking information can be identified by the
use of forward-looking terminology such as "expect", "likely", "may", "will", "should", "intend", "anticipate",
"potential", "proposed", "estimate" and other similar words, expressions and phrases, including negative
and grammatical variations thereof, or statements that certain events or conditions "may" or "will" happen,
or by discussion of strategy. Forward-looking information is based upon a number of current internal
expectations, estimates, projections, assumptions and beliefs that, while considered reasonable by
management, are inherently subject to significant business, economic, competitive and other uncertainties
and contingencies. Forward-looking information is not a guarantee of future performance and involves.
known and unknown risks, uncertainties and other factors (including the risk factors disclosed under the
heading "Risk Factors" in the Company's most recent annual, quarterly or other reports filed with the U.S.
Securities and Exchange Commission (the "SEC"), which are available under the Company's EDGAR profile
at www.sec.gov/edgar, and applicable securities regulatory authorities in Canada on the Company's
SEDAR profile at www.sedar.com), that may cause actual results, performance or achievements to be
materially different from the future results, performance or achievements expressed or implied by such
forward-looking information. Any estimates, investment strategies or views expressed in this document are
based upon current market conditions, and/or data and information provided by unaffiliated third parties,
and are subject to change without notice. To the extent any information in this document was obtained
from third party sources, the Company has not independently verified that information, and there is a risk
that the assumptions made and conclusions drawn by the Company based on such information are not
accurate. Except as required by law, the Company disclaims any obligation to update or revise any
forward-looking information, whether as a result of new information, events or otherwise. Readers are
cautioned not to put undue reliance on this forward-looking information.
This presentation includes Adjusted EBITDA, a non-GAAP financial measure, which excludes non-cash
items and items that do not reflect management's assessment of ongoing business performance.
Management defines Adjusted EBITDA as net income (loss) before interest, tax expense (benefit),
depreciation and amortization adjusted for: share of income (loss) from equity method investments;
impairment loss on goodwill and intangible assets; impairment loss on long-lived assets; (gain) loss on
revaluation of derivative liabilities; (gain) loss on revaluation of financial instruments; transaction costs
related to strategic projects; impairment loss on other investments; foreign currency transaction loss;
other, net; loss from discontinued operations; restructuring costs; inventory write-downs resulting from
restructuring actions; share-based compensation; and financial statement review costs (and reserves)
related to the restatements of the Company's 2019 and 2021 interim financial statements, including the
costs related to the settlement of the Securities and Exchange Commission's and the Ontario Securities
Commission's investigations of the restatements and legal costs defending shareholder class action
complaints brought against the Company as a result of the 2019 restatement. Management believes that
Adjusted EBITDA provides the most useful insight into underlying business trends and results and provides
a more meaningful comparison of period-over-period results. Management uses Adjusted EBITDA for
planning, forecasting and evaluating business and financial performance, including allocating resources
and evaluating results relative to employee compensation targets. Non-GAAP measures should not be
considered a substitute for, or superior to, the financial information prepared and presented in accordance
with U.S. GAAP. A reconciliation of Adjusted EBITDA to net income (loss) has been included in this
presentation.
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