0001656472-20-000093 | 10-Q | XBRL Viewer

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Cover Page - shares	9 Months Ended
Cover Page - shares	Sep. 30, 2020	Nov. 04, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2020
Document Transition Report	false
Entity File Number	001-38403
Entity Registrant Name	CRONOS GROUP INC.
Entity Incorporation, State or Country Code	Z4
Entity Address, Address Line One	111 Peter St. Suite 300
Entity Address, City or Town	Toronto
Entity Address, State or Province	ON
Entity Address, Postal Zip Code	M5V 2G9
City Area Code	416
Local Phone Number	504-0004
Title of 12(b) Security	Common Shares, no par value
Trading Symbol	CRON
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		356,186,817
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Entity Central Index Key	0001656472
Current Fiscal Year End Date	--12-31

Condensed Consolidated Balance Sheets - USD ($)
$ in Thousands

Sep. 30, 2020

Dec. 31, 2019

Current assets

Cash and cash equivalents

$ 1,097,846

$ 1,199,693

Short-term investments

202,883

306,347

Accounts receivable

^[1]

6,086

4,638

Other receivables

10,401

7,232

Current portion of loans receivable

7,781

4,664

Prepaids and other assets

10,532

9,395

Inventory, net

56,359

38,043

Held-for-sale assets

2,066

3,248

Total current assets

1,393,954

1,573,260

Investments in equity accounted investees

19,059

557

Advances to joint ventures

461

19,437

Loan receivable, net

76,148

44,967

Property, plant and equipment

171,404

159,948

Right-of-use assets

9,840

6,546

Intangible assets

68,604

71,235

Goodwill

179,459

214,492

Total assets

1,918,929

2,090,442

Current liabilities

Accounts payable and other liabilities

39,012

35,301

Current portion of lease obligation

1,274

427

Derivative liabilities

102,655

297,160

Total current liabilities

142,941

332,888

Due to non-controlling interests

2,889

1,844

Lease obligation

8,612

6,680

Total liabilities

154,442

341,412

Commitments and contingencies

^[2]

Shareholders’ equity

Share capital

566,577

561,165

^[3],[4]

Additional paid-in capital

32,491

23,234

Retained earnings

1,175,742

1,137,646

Accumulated other comprehensive income (loss)

(7,820)

27,838

Total equity attributable to shareholders of Cronos Group

1,766,990

1,749,883

Non-controlling interests

(2,503)

(853)

Total shareholders’ equity

1,764,487

1,749,030

Total liabilities and shareholders’ equity

$ 1,918,929

$ 2,090,442

[1]	Net of current expected credit loss allowance of $64 as of September 30, 2020 (December 31, 2019 – $136)
[2]	Refer to Note 19 and Note 20 in the notes to condensed consolidated financial statements.
[3]	Authorized for issuance as of September 30, 2020: unlimited (December 31, 2019 – unlimited).
[4]	Shares issued as of September 30, 2020: 355,733,914 (as of December 31, 2019: 348,817,472)

Condensed Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Current expected credit loss	$ 64	$ 136
Common stock, shares issued (in shares)	355,733,914	348,817,472

Condensed Consolidated Statements of Net Income (Loss) and Comprehensive Income (Loss) - USD ($)

3 Months Ended

9 Months Ended

Sep. 30, 2020

Sep. 30, 2019

Sep. 30, 2020

Sep. 30, 2019

Income Statement [Abstract]

Net revenue, before excise taxes

$ 13,621,000

$ 6,269,000

$ 34,397,000

$ 17,724,000

Excise taxes

(2,263,000)

(484,000)

(4,724,000)

(1,282,000)

Net revenue

11,358,000

5,785,000

29,673,000

16,442,000

Cost of sales

12,895,000

3,498,000

29,584,000

8,507,000

Inventory write-down

5,424,000

11,024,000

5,424,000

Gross profit (loss)

(1,537,000)

(3,137,000)

(10,935,000)

2,511,000

Operating expenses

Sales and marketing

7,236,000

4,591,000

20,849,000

9,723,000

Research and development (“R&D”)

4,734,000

2,605,000

12,955,000

6,076,000

General and administrative

18,860,000

16,202,000

61,048,000

34,987,000

Share-based payments

7,916,000

3,531,000

12,898,000

7,949,000

Depreciation and amortization

886,000

632,000

2,252,000

1,315,000

Total operating expenses

39,632,000

27,561,000

110,002,000

60,050,000

Operating loss

(41,169,000)

(30,698,000)

(120,937,000)

(57,539,000)

Other income (expense)

Interest income, net

3,781,000

8,939,000

15,266,000

20,455,000

Share of loss from investments in equity accounted investees

(1,327,000)

(565,000)

(3,293,000)

(1,504,000)

Gain on revaluation of derivative liabilities

105,307,000

632,482,000

182,795,000

1,158,008,000

Financing and transaction costs

(40,000)

(6,083,000)

(40,000)

(31,684,000)

Impairment loss on goodwill and intangible assets

(40,000,000)

Gain on disposal of other investments

3,974,000

4,743,000

16,242,000

Loss on reclassification of held-for-sale assets

(919,000)

Other income (loss)

318,000

147,000

334,000

147,000

Total other income (loss)

111,094,000

634,920,000

158,886,000

1,161,664,000

Income (loss) before income taxes

69,925,000

604,222,000

37,949,000

1,104,125,000

Income tax expense

988,000

58,000

988,000

58,000

Income from continuing operations

68,937,000

604,164,000

36,961,000

1,104,067,000

Income (loss) from discontinued operations

(473,000)

(36,000)

(519,000)

(63,000)

Net income (loss)

68,464,000

604,128,000

36,442,000

1,104,004,000

Net income (loss) attributable to:

Cronos Group

69,033,000

604,410,000

38,096,000

1,104,501,000

Non-controlling interests

(569,000)

(282,000)

(1,654,000)

(497,000)

Net income (loss)

68,464,000

604,128,000

36,442,000

1,104,004,000

Other comprehensive income (loss)

Foreign exchange gain (loss) on translation

26,167,000

(12,422,000)

(35,654,000)

Total other comprehensive income (loss)

26,167,000

(12,422,000)

(35,654,000)

9,424,000

Comprehensive income (loss)

94,631,000

591,706,000

788,000

1,113,428,000

Comprehensive income (loss) attributable to:

Cronos Group

95,183,000

591,996,000

2,438,000

1,113,929,000

Non-controlling interests

(552,000)

(290,000)

(1,650,000)

(501,000)

Comprehensive income (loss)

$ 94,631,000

$ 591,706,000

$ 788,000

$ 1,113,428,000

Net income (loss) per share

Basic - continuing operations (in dollars per share)

$ 0.20

$ 1.78

$ 0.11

$ 3.71

Basic - discontinued operations (in dollars per share)

0.00

Diluted - continuing operations (in dollars per share)

0.19

1.62

0.10

0.92

Diluted - discontinued operations (in dollars per share)

^[1]

$ 0.00

Weighted average number of outstanding shares

Basic (in shares)

350,288,783

338,957,949

349,397,156

297,964,058

Diluted (in shares)

^[1]

369,619,020

369,268,672

374,731,451

333,618,691

[1]	In computing diluted earnings per share, incremental common shares are not considered in periods in which a net loss is reported, as the inclusion of the common share equivalents would be anti-dilutive.

Condensed Consolidated Statements of Changes in Equity (Deficit) - USD ($) $ in Thousands	Total	Share capital	Additional paid-in capital	Retained earnings	Accumulated other comprehensive income (loss)	Non-controlling interests
Beginning balance (in shares) at Dec. 31, 2018		178,720,022
Beginning balance at Dec. 31, 2018	$ 148,549	$ 175,001	$ 11,263	$ (27,945)	$ (9,870)	$ 100
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued (in shares)		154,917,740
Shares issued	304,411	$ 304,411
Share issuance costs	(3,722)	$ (3,722)
Warrants exercised (in shares)		7,390,961
Warrants exercised	1,438	$ 2,034	(596)
Vesting of options	$ 7,309		7,309
Options exercised (in shares)	254,199	170,087
Options exercised	$ (844)	$ 356	(339)	(861)
Vesting of restricted share units, net of withholding taxes	186		186	0
Top-up Rights exercised (in shares)		2,565,397
Top-up Rights exercised	46,509	$ 46,509
Net income (loss)	1,104,004			1,104,501		(497)
Other comprehensive income (loss)	9,424				9,429	(5)
Ending balance (in shares) at Sep. 30, 2019		343,764,207
Ending balance at Sep. 30, 2019	1,617,264	$ 524,589	17,823	1,075,695	(441)	(402)
Beginning balance (in shares) at Jun. 30, 2019		336,144,543
Beginning balance at Jun. 30, 2019	921,058	$ 423,108	14,779	471,310	11,973	(112)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued (in shares)		5,086,586
Shares issued	56,109	$ 56,109
Share issuance costs	(4)	$ (4)
Vesting of options	2,891		2,891
Options exercised (in shares)		18,619
Options exercised	(20)	$ 38	(33)	(25)
Vesting of restricted share units, net of withholding taxes	186		186
Top-up Rights exercised (in shares)		2,514,459
Top-up Rights exercised	45,338	$ 45,338
Net income (loss)	604,128			604,410		(282)
Other comprehensive income (loss)	(12,422)				(12,414)	(8)
Ending balance (in shares) at Sep. 30, 2019		343,764,207
Ending balance at Sep. 30, 2019	1,617,264	$ 524,589	17,823	1,075,695	(441)	(402)
Beginning balance (in shares) at Dec. 31, 2019		348,817,472
Beginning balance at Dec. 31, 2019	1,749,030	$ 561,165	23,234	1,137,646	27,838	(853)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Warrants exercised (in shares)		5,407,890
Warrants exercised	0	$ 619	(619)
Vesting of options	$ 5,051		5,051
Options exercised (in shares)	1,841,863	1,094,464
Options exercised	$ 5	$ 1,386	(1,381)
Vesting of restricted share units, net of withholding (in shares)		414,088
Vesting of restricted share units, net of withholding taxes	5,699		5,699
Vesting of common shares issued in connection with the use of certain publicity rights in brand development	2,507	$ 2,000	507
Top-up Rights exercised	1,407	$ 1,407
Net income (loss)	36,442			38,096		(1,654)
Other comprehensive income (loss)	(35,654)				(35,658)	4
Ending balance (in shares) at Sep. 30, 2020		355,733,914
Ending balance at Sep. 30, 2020	1,764,487	$ 566,577	32,491	1,175,742	(7,820)	(2,503)
Beginning balance (in shares) at Jun. 30, 2020		349,886,402
Beginning balance at Jun. 30, 2020	1,663,055	$ 565,221	27,046	1,106,709	(33,970)	(1,951)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Warrants exercised (in shares)		5,407,890
Warrants exercised	0	$ 619	(619)
Vesting of options	1,551		1,551
Options exercised (in shares)		25,534
Options exercised	4	$ 57	(53)
Vesting of restricted share units, net of withholding (in shares)		414,088
Vesting of restricted share units, net of withholding taxes	4,217		4,217
Vesting of common shares issued in connection with the use of certain publicity rights in brand development	349		349
Top-up Rights exercised	680	$ 680	0
Net income (loss)	68,464			69,033		(569)
Other comprehensive income (loss)	26,167				26,150	17
Ending balance (in shares) at Sep. 30, 2020		355,733,914
Ending balance at Sep. 30, 2020	$ 1,764,487	$ 566,577	$ 32,491	$ 1,175,742	$ (7,820)	$ (2,503)

Condensed Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Operating activities
Net income (loss)	$ 36,442,000	$ 1,104,004,000
Items not affecting cash:
Inventory write-down	11,024,000	5,424,000
Share-based payments	12,898,000	7,949,000
Depreciation and amortization	5,095,000	2,956,000
Share of loss from investments in equity accounted investees	3,293,000	1,504,000
Gain on revaluation of derivative liabilities	(182,795,000)	(1,158,008,000)
Gain on disposal of other investments	(4,743,000)	(16,242,000)
Impairment loss on goodwill and intangible assets	40,000,000	0
Loss (gain) on unrealized foreign exchange	(3,020,000)	807,000
Provision for inventory and doubtful accounts	3,119,000	0
Non-cash sales and marketing	2,505,000	0
Loss on reclassification of held-for-sale assets	919,000	0
Other, net	(298,000)	(89,000)
Net changes in non-cash working capital	(29,123,000)	(25,098,000)
Cash flows used in operating activities	(104,684,000)	(76,793,000)
Investing activities
Purchase of short-term investments	(125,562,000)	(384,288,000)
Proceeds from disposal of short-term investments	220,058,000	0
Investments in equity accounted investees	0	(1,658,000)
Proceeds from sale of other investments	4,743,000	19,614,000
Advances to joint ventures	0	(15,951,000)
Purchase of property, plant and equipment	(21,334,000)	(37,622,000)
Payment of accrued interest on construction loan payable	0	(89,000)
Purchase of intangible assets	(3,094,000)	(574,000)
Acquisition of Redwood	0	(227,224,000)
Advances on loans receivable	(37,000,000)	(33,012,000)
Proceeds from repayment of loans receivable	0	238,000
Cash assumed on acquisition	0	2,957,000
Cash flows provided by (used in) investing activities	37,811,000	(677,609,000)
Financing activities
Advance from non-controlling interests	(187,000)
Advance from non-controlling interests		183,000
Repayment of lease obligations	(1,859,000)	(414,000)
Proceeds from Altria Investment	0	1,809,556,000
Proceeds from exercise of Top-up Rights	0	31,566,000
Proceeds from exercise of warrants and options	5,000	1,455,000
Withholding taxes paid on equity awards	(2,148,000)	(861,000)
Share issuance costs	0	(3,722,000)
Advance of loans payable	0	48,715,000
Repayment of loans payable	0	(48,309,000)
Transaction costs paid on construction loan payable	0	(15,971,000)
Cash flows provided by (used in) financing activities	(4,189,000)	1,822,198,000
Effect of foreign currency translation on cash and cash equivalents	(30,785,000)	22,691,000
Net change in cash and cash equivalents	(101,847,000)	1,090,487,000
Cash and cash equivalents, beginning of period	1,199,693,000	23,927,000
Cash and cash equivalents, end of period	1,097,846,000	1,114,414,000
Supplemental cash flow information
Interest paid	156,000	647,000
Interest received	$ 13,473,000	$ 9,690,000

Background	9 Months Ended
Background	Sep. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Background	Background Cronos Group Inc. (“Cronos Group” or the “Company”) was incorporated on August 21, 2012 under the Business Corporations Act (Ontario). Effective July 9, 2020, the Company’s legal existence was continued to the Province of British Columbia and under the British Columbia Business Corporations Act. The Company’s common shares are currently listed on the Toronto Stock Exchange (“TSX”) and Nasdaq Global Market (“Nasdaq”) under the ticker symbol “CRON.” Cronos Group is an innovative global cannabinoid company, with international production and distribution across five continents. The Company is committed to building disruptive intellectual property by advancing cannabis research, technology and product development and is building an iconic brand portfolio. Cronos Group’s brand portfolio includes PEACE NATURALS™, a global wellness platform; two adult-use brands, COVE™ and Spinach™; and three U.S. hemp-derived consumer products brands, Lord Jones™, Happy Dance™ and PEACE+™. Cronos Group has established four strategic joint ventures in Canada, Israel, and Colombia. One of these strategic joint ventures, Cronos Israel (as defined herein) is consolidated for financial reporting purposes. The Company also holds approximately 31% of the issued capital of Cronos Australia Limited (“Cronos Australia”) and accounts for its investment in Cronos Australia under the equity method of accounting. For additional discussion regarding the joint ventures and strategic investment, see Note 6.

Summary of Significant Accounting Policies and Changes in Accounting Policy

9 Months Ended

Sep. 30, 2020

Accounting Policies [Abstract]

Summary of Significant Accounting Policies and Changes in Accounting Policy

(a)Basis of presentation

The interim condensed consolidated financial statements of Cronos Group are unaudited. They have been prepared in accordance with Generally Accepted Accounting Principles in the United States (“U.S. GAAP”) for interim financial information and with applicable rules and regulations of the U.S. Securities and Exchange Commission relating to interim financial statements. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for any other reporting period.

These condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and related notes included in its Annual Report on Form 10-K/A for the year ended December 31, 2019 (the “Annual Financial Statements”).

(b)Basis of consolidation

The accompanying condensed consolidated financial statements include the accounts of the Company, and all entities in which the Company has a controlling voting interest and/or is the primary beneficiary of a variable interest as of and for the period presented. The Company consolidates the financial results of the following entities, which the Company controls:

Subsidiaries

Jurisdiction of incorporation

Incorporation date

Ownership interest (ii)

Cronos Israel G.S. Cultivation Ltd. (i)

Israel

February 4, 2018

70%

Cronos Israel G.S. Manufacturing Ltd. (i)

Israel

September 4, 2018

90%

Cronos Israel G.S. Store Ltd. (i)

Israel

June 28, 2018

90%

Cronos Israel G.S. Pharmacy Ltd. (i)

Israel

February 15, 2018

90%

(i) These Israeli entities are collectively referred to as “Cronos Israel.”

(ii) “Ownership interest” is defined as the proportionate share of net income to which the Company is entitled; equity interest may differ from ownership interest.

In the condensed consolidated statements of net income (loss) and comprehensive income (loss), the net income (loss) and comprehensive income (loss) are attributed to the equity holders of the Company and to the non-controlling interests. Non-controlling interests in the equity of Cronos Israel are presented separately in the shareholders’ equity (deficit) section of the condensed consolidated balance sheets and condensed consolidated statements of changes in equity (deficit). All intercompany transactions and balances are eliminated upon consolidation.

(c)Goodwill and indefinite life intangible assets

Goodwill and indefinite life intangible assets are reviewed for impairment annually or more frequently when events or changes in circumstances indicate that fair value of the reporting unit has been reduced to less than its carrying value. The Company performs an impairment test annually in the fourth quarter by comparing the fair value of the reporting unit with its carrying amount, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, goodwill is not considered to be impaired. An impairment charge would be recognized for the amount by which the carrying amount exceeds the reporting unit’s fair value. The Company determined that it has two reporting units: the U.S. reporting unit and the Rest of World reporting unit.

During the second quarter of 2020, the Company concluded that the projected impact of the COVID-19 pandemic on its sales and revenues in the near term, together with the volatility in the market conditions during the period represented potential indicators of impairment for the U.S. reporting unit. Accordingly, the Company performed an interim impairment analysis during the second quarter of 2020. No triggering events were identified during the three months ended September 30, 2020. See Note 13 for more information regarding intangibles assets and goodwill.

(d)Definite life intangible assets

On July 1, 2020, the Company changed its method of amortization for the computer software asset class from an accelerated 50% double declining method to the straight-line method of five years. The Company determined that the change in estimate to the straight-line method is more appropriate based on the usage of the assets in the asset class. The change in estimate is applied prospectively as of July 1, 2020.

Intangible assets with finite useful lives are recorded at cost less any accumulated amortization and accumulated impairment losses. Intangible assets acquired through a business combination are measured at fair value at the acquisition date.

The Company capitalizes certain costs incurred in connection with its enterprise resource planning software, which include external direct costs of materials and services consumed in developing or obtaining internal-use software, payroll and payroll-related costs for employees who are directly associated with and who devote time to the development of the software for the function intended. All other costs are expensed as incurred.

Intangible assets with finite useful lives are amortized over their estimated useful lives using the following methods and rates:


	Method	Rate
Software	Straight-line	5 years
Enterprise resource planning (“ERP”) system	Straight-line	5 years
Health Canada licenses	Straight-line	Useful life of corresponding facilities
Israeli codes(i)	Straight-line	Useful life of corresponding facilities

(i) The preliminary licenses granted to Kibbutz Gan Shmuel (the Cronos Israel joint venture partner) by the Medical Cannabis Unit of the Israeli Ministry of Health in early 2017 (the “Israeli codes”) were transferred by non-controlling interests to Cronos Israel in exchange for equity interests in the Cronos Israel entities specified above.

Amortization begins when assets become available for use. The estimated useful life, amortization method, and rate are reviewed at the end of each reporting period, with the effect of any changes in estimate being accounted for on a prospective basis.

(e)Assets held for sale and discontinued operations

In accordance with Accounting Standards Codification (“ASC”) 205-20 Presentation of Financial Statements: Discontinued Operations, a disposal of a component of an entity or a group of components of an entity is required to be reported as discontinued operations if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results when the components of an entity meet the criteria in paragraph 205-20-45-10. In the period in which the component meets held-for-sale or discontinued operations criteria the major current assets, other assets, current liabilities, and noncurrent liabilities shall be reported as components of total assets and liabilities separate from those balances of the continuing operations. At the same time, the results of all discontinued operations, less applicable income taxes (benefit), shall be reported as components of net income (loss) separate from the net income (loss) of continuing operations.

During the three months ended September 30, 2020, Original B.C. Ltd. (“OGBC”) met the criteria for “held-for-sale”. As a result, the Company has reflected amounts relating to OGBC as a disposal group classified as held-for-sale on the consolidated balance sheet and included as part of discontinued operations on the consolidated statement of net income (loss) and comprehensive income (loss) for all

periods presented in this Quarterly Report. OGBC is no longer included in the segment reporting following the reclassification to discontinued operations. The discontinued operations of OGBC are described further in Note 24.

The following table presents a reconciliation of the carrying amounts of major classes of assets and liabilities of the discontinued operations to total assets and liabilities of the disposal group classified as held-for-sale in the consolidated balance sheet of December 31, 2019:


	As of December 31, 2019
	As previously disclosed		Held-for-sale adjustment		Adjusted balance
Property, plant and equipment	$	161,809	$	(1,861)	$	159,948
Intangible assets	72,320		(1,085)		71,235
Goodwill	214,794		(302)		214,492

The following table presents a reconciliation of the major classes of line items constituting reported operating loss of discontinued operations to net loss of discontinued operations for the three and nine months ended September 30, 2019:


	Three months ended September 30, 2019						Nine months ended September 30, 2019
	As previously disclosed		Held-for-sale adjustment		Adjusted balance		As previously disclosed		Held-for-sale adjustment		Adjusted balance
Operating expenses	$	27,597	$	(36)	$	27,561	$	60,126	$	(76)	$	60,050
Other income (loss)	634,920		—		634,920		1,161,677		(13)		1,161,664
Net income (loss) from continuing operations	604,128		36		604,164		1,104,004		63		1,104,067

(f)Reclassifications

Certain reclassifications have been made to the prior period financial information to conform to the presentation used in the financial statements for the three and nine months ended September 30, 2020. These reclassifications have no effect on the results of reported operating loss, net income, shareholders’ equity or cash flows. See Note 2(e) and Note 24.

Corporate expense reclassifications within segment disclosures:

In the three months ended September 30, 2020, the Company recorded a reclassification related to the allocation of operating expenses that was determined to be corporate expenses in nature to its segments, which decreased its Rest of World segment net loss by $4,626 and increased net loss attributable to corporate expenses by the same amount. This reclassification had no effect on the Company's consolidated statement of net income (loss). See Note 18.

Had all these amounts been classified in this manner for the three-month periods ended March 31, 2020 and June 30, 2020, net income (loss) attributable to the Rest of World segment would have increased by $2,899 and $1,727, respectively, and increased net loss attributable to corporate expenses by the same amounts. The Company does not consider the effect on year-to-date 2020 results or the effect on comparable quarterly periods to be material, and there was no impact on 2019 full year results.

After evaluating the quantitative and qualitative aspects of these reclassifications, the Company concluded that its prior period financial statements were not materially misstated, and, therefore, no restatement was required.

Revision of previously issued financial statements:

During the three months ended September 30, 2020, the Company identified an error in the manner in which it calculated diluted earnings (loss) per share for the three months ended September 30, 2019. The error had no impact on diluted earnings (loss) per share for the nine months ended September 30, 2019. See Note 16.

While the Company had excluded the anti-dilutive effect of the one warrant of the Company (the “Altria Warrant”), refer to Note 15(a) in the calculation of weighted average number of common shares for computation of diluted income (loss) per share, the gain on revaluation of derivative liabilities attributable to the Altria Warrant was incorrectly included in the calculation of diluted earnings (loss) per share, which resulted in an error in the previously reported amount for the three months ended September 30, 2019. Because the average market price of the Company’s common stock remained above the strike price of the Altria Warrant for the nine months ended September 30, 2019, there was no impact on the reported amount for the nine months ended September 30, 2019, and there was no impact in prior or subsequent quarterly periods.

After evaluating the quantitative and qualitative aspects of this error, the Company concluded that its prior period financial statements were not materially misstated, and, therefore, no restatement was required. However, the Company is revising the previously presented September 30, 2019 diluted earnings (loss) per share and adjustment for gain (loss) on revaluation of derivative liabilities, as follows:


	Three months ended September 30, 2019
	As previously disclosed		Adjusted
Diluted earnings (loss) per share	$	0.42	$	1.62
Adjustment for gain (loss) on revaluation of derivative liabilities	(488,041)		(6,952)

New Accounting Pronouncements	9 Months Ended
New Accounting Pronouncements	Sep. 30, 2020
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
New Accounting Pronouncements	New Accounting Pronouncements (a)Adoption of new accounting pronouncements On January 1, 2020, the Company adopted ASU No. 2018-13, Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (Topic 820) (“ASU No. 2018-13”). ASU No. 2018-13 adds, modifies, and removes certain fair value measurement disclosure requirements. The adoption of this standard was applied prospectively and did not have a material impact on the Company’s condensed consolidated financial statements. On January 1, 2020, the Company adopted ASU No. 2018-15, Intangibles – Goodwill and Other Internal-use-software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU No. 2018-15”). ASU No. 2018-15 amends current guidance to align the accounting for costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing costs associated with developing or obtaining internal-use software. The guidance in ASU No. 2018-15 is effective for annual and interim periods beginning after December 15, 2019, with early adoption permitted. The adoption of this standard was applied prospectively and did not have a material impact on the Company’s condensed consolidated financial statements. On January 1, 2020, the Company adopted ASU No. 2017-04, Intangibles – Goodwill and Other (Topic 350) – Simplifying the Test for Goodwill Impairment (“ASU No. 2017-04”). ASU No. 2017-04 eliminates step 2 from the goodwill impairment test and instead requires an entity to measure the impairment of goodwill assigned to a reporting unit if the carrying value of assets and liabilities assigned to the reporting unit, including goodwill, exceeds the reporting unit’s fair value. The guidance in ASU No. 2017-04 is effective for annual and interim goodwill tests completed by the Company beginning on January 1, 2020. The adoption of this standard was applied prospectively and the Company follows a one-step model for goodwill impairment. (b)New accounting pronouncements not yet adopted In January 2020, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2020-01, Investments-Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) (“ASU No. 2020-01”). ASU No. 2020-01 clarifies the interaction of accounting for the transition into and out of the equity method. The new standard also clarifies the accounting for measuring certain purchased options and forward contracts to acquire investments. The guidance in ASU No. 2020-01 is effective for annual and interim periods beginning after December 15, 2020, with early adoption permitted. The Company is currently evaluating the effect of the adoption of ASU No. 2020-01, but anticipates that the adoption will not have a material impact on its condensed consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU No. 2019-12”). ASU No. 2019-12 eliminates certain exceptions and simplifies the application of U.S. GAAP-related changes in enacted tax laws or rates and employee stock option plans. ASU No. 2019-12 is effective for annual and interim periods beginning after December 15, 2020. Early adoption is permitted. The Company is currently evaluating the effect of the adoption of ASU No. 2019-12, but anticipates that the adoption will not have a material impact on its condensed consolidated financial statements. In August 2020, the FASB issued ASU 2020-06, Debt –Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging –Contracts in Entity’s Own Equity (Subtopic 815–40) (“ASU No. 2020-06”). ASU No. 2020-06 simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity’s own equity. ASU No 2020-06 is part of the FASB’s simplification initiative, which aims to reduce unnecessary complexity in U.S. GAAP. ASU No. 2020-6 is effective for fiscal years beginning after December 15, 2021, and interim periods within those fiscal years. The Company is currently evaluating the impact ASU No. 2020-06 will have on its financial statements

Revenues from Contracts with Customers	9 Months Ended
Revenues from Contracts with Customers	Sep. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenues from Contracts with Customers	Revenues from Contracts with Customers Cronos Group disaggregates net revenues based on product type. For further discussion, see Note 18. Receivables were $6,086 as of September 30, 2020 (December 31, 2019 – $4,638). The Company recorded a current expected credit loss allowance on receivables of $64 as of September 30, 2020 (December 31, 2019 – $136). The Company offers discounts to customers for prompt payment and calculates cash discounts as a percentage of the list price based on historical experience and agreed-upon payment terms. The Company records an allowance for cash discounts, which is included as a contra-asset against receivables on the Company’s condensed consolidated balance sheets. Revenue is measured net of returns. As a result, the Company is required to estimate the amount of returns based on the historical data by customer and product type, adjusted for forward-looking information. This is recorded as a provision against accounts receivable on the Company’s consolidated balance sheets. The Company estimates sales returns based principally on historical volume and return rates, as a reduction to revenues. The difference between actual sales and estimated sales returns is recorded in the period in which the actual amounts become known. These differences, if any, have not had a material impact on the Company’s condensed consolidated financial statements. Upon return, products can be extracted from dried cannabis, resold, or destroyed depending on the nature of the product. The Company has assessed that the amount recoverable from returned products for the nine months ended September 30, 2020 is not material.

Inventory

9 Months Ended

Sep. 30, 2020

Inventory Disclosure [Abstract]

Inventory, net

Inventory is comprised of the following items:


	As of
	September 30, 2020		December 31, 2019
Raw materials	$	10,214	$	2,469
Work-in-progress – dry cannabis	25,799		11,538
Work-in-progress – cannabis extracts	13,436		17,975
Finished goods – dry cannabis	4,514		1,798
Finished goods – cannabis extracts	2,067		2,624
Supplies and consumables	329		1,639

Total	$	56,359	$	38,043

Inventory is written down for any obsolescence such as slow-moving or non-marketable products, or when the net realizable value of inventory is less than the carrying value. For the nine months ended September 30, 2020, the Company recorded write-downs related to inventory of $11,024 (for the three and nine months ended September 30, 2019 – $5,424). No inventory write-downs were recorded during the three months ended September 30, 2020. As of September 30, 2020, an inventory reserve of $1,403 was recorded (September 30, 2019 – $nil)

Investments and Advances to Joint Ventures

9 Months Ended

Sep. 30, 2020

Equity Method Investments and Joint Ventures [Abstract]

Investments and Advances to Joint Ventures

Variable interest entities

The Company holds variable interests in Cronos Growing Company Inc. (“Cronos GrowCo”), Natuera S.à.r.l (“Natuera”), MedMen Canada Inc. (“MedMen Canada”) and Cannasoul Lab Services Ltd. (“CLS”).

Cronos GrowCo is a joint venture incorporated under the Canada Business Corporations Act (“CBCA”) on June 14, 2018 with the objective of building a cannabis production greenhouse, applying for cannabis licenses under the Cannabis Act (Canada), and growing, cultivating, extracting, producing and selling cannabis in accordance with such licenses. Cronos Group holds variable interests in Cronos GrowCo through its ownership of 50% of Cronos GrowCo’s common shares and senior secured debt in Cronos GrowCo. Cronos GrowCo’s economic performance is driven by the quantity and strains of cannabis grown. The joint venture partners mutually determine the quantity and strains of cannabis grown.

Natuera is a joint venture registered in Luxembourg with the objective of cultivating and commercializing hemp and cannabis products to serve the export market. Cronos holds variable interests in Natuera through its ownership of 50% of Natuera’s common shares and other debt in the entity. Natuera’s economic performance is driven by the quantity and strains of cannabis to be grown. The joint venture partners mutually determine the quantity and strains of cannabis grown.

MedMen Canada is a joint venture incorporated under the CBCA on March 13, 2018, with the objective of the retail sale and marketing of cannabis products in Canada. MedMen Canada holds the exclusive license to the MedMen brand in Canada for a minimum term of 20 years. Cronos holds variable interests in MedMen Canada through its ownership of 50% of MedMen Canada’s common shares and other subordinated debt in the entity. MedMen Canada’s economic performance is driven by the quantity and strains of cannabis sold. Subject to applicable law, the joint venture partners mutually determine the quantity and strains of cannabis to be sold in MedMen Canada’s retail stores, if and when stores are opened.

The Company’s investments in Cronos GrowCo, Natuera and MedMen Canada are exposed to economic variability from each entity’s performance; however, the Company does not consolidate the entities as it does not have the power to direct the activities that most significantly impact each entities’ economic performance. Thus, Cronos Group is not considered the primary beneficiary of each entity. These investments are accounted for as equity method investments classified as “Investments in equity accounted investees” in the consolidated balance sheets.

CLS is a wholly owned subsidiary of Cannasoul Analytics Ltd., incorporated with the purpose of establishing a commercial cannabis analytical testing laboratory located on the premises of Cronos Israel (the “Cannasoul Collaboration”). Cronos Israel will advance ILS 8,297 (approximately $2,446) by a non-recourse loan to CLS over a period of two years from April 1, 2020 for the capital and operating expenditures of the laboratory. The loan will bear interest at 3.5% annually. Cronos Israel will receive 70% of the profits of the laboratory until such time as it has recovered 150% of the amounts advanced to CLS, after which time it will receive 50% of the laboratory profits. As a result, the Company is exposed to economic variability from CLS’s performance. The Company does not consolidate CLS as it does not have the power to direct the activities that most significantly impact the entity’s economic performance; thus, the Company is not considered the primary beneficiary of the entity. The carrying amount of the non-recourse loan is recorded under loans receivable and the full loan amount, ILS 8,297, represents the Company’s maximum potential exposure to losses through the Cannasoul Collaboration. See Note 10 for further information regarding loans receivable.

(a)Net investment in equity accounted investees

A reconciliation of the carrying amount of the investments in associates and joint ventures is as follows:


		Carrying Amount
	Ownership %	September 30, 2020		December 31, 2019

Cronos Australia(i)	31%	$	—	$	(346)
Cronos GrowCo(ii)	50%	19,059		1,501
MedMen Canada	50%	—		—
Natuera	50%	—		(598)

		$	19,059	$	557

(i) On October 25, 2019, Cronos Australia issued 40 million new shares in an initial public offering at an offering price of A$0.50 per share. The Company’s ownership in Cronos Australia decreased from 50% to 31% on November 7, 2019 when Cronos Australia began trading on the Australian Securities Exchange. This resulted in a reconsideration event, which required the reassessment of the Company’s variable interest entity conclusion. Upon reconsideration, the Company determined that the entity was no longer a variable interest entity as of December 31, 2019 and is now reported under the equity method.

(ii) On September 25, 2020, the Company and 2645485 Ontario Inc. (“Mucci”), the other joint venture partner of Cronos GrowCo, agreed to capitalize certain historical advances made by each shareholder to Cronos GrowCo. Total aggregate gross advances to Cronos GrowCo, excluding any amounts advanced by the Company to Cronos GrowCo under the GrowCo Credit Facility, were C$49,300 ($37,932), of which the Company advanced 50% and Mucci advanced the remaining 50% for an amount of C$24,650 ($18,505) each. As a result, the Company transferred the advances of C$24,650 ($18,505) to investments in equity accounted investees in respect of Cronos GrowCo..

The Company’s share of net earnings (losses) from equity investments accounted for under the equity method of accounting:


	For the three months ended September 30,				For the nine months ended September 30,
	2020		2019		2020		2019

Whistler Medicinal Marijuana Company (“Whistler”)	$	—	$	—	$	—	$	29
Cronos Australia(i)	(57)		(251)		(292)		(892)
Cronos GrowCo	(401)		(60)		(902)		(87)
MedMen Canada	—		32		—		36
Natuera(ii)	(869)		(286)		(2,099)		(590)

	$	(1,327)	$	(565)	$	(3,293)	$	(1,504)

(i) The Company’s share of accumulated net losses in excess of its equity investment and advances in Cronos Australia was $512 for the nine months ended September 30, 2020 (September 30, 2019 – $nil).

(ii) The Company’s share of accumulated net losses in excess of its equity investment in Natuera has been applied as a loss allowance on the loan receivable. See Note 6(b) and Note 10.

(b)Advances to joint venture


	MedMen Canada(i)		Cronos GrowCo(ii)		Cronos Australia(iii)		Natuera		Total
As of January 1, 2020	$	471	$	18,966	$	—	$	—	$	19,437

Transfer to investments in equity accounted investees(ii)	—		(18,505)		—		—		(18,505)



Interest on advances	—		—		35		—		35
Advances to joint ventures recovered from (applied to) carrying amount of investments	—		—		(36)		—		(36)
Effect from foreign exchange	(10)		(461)		1		—		(470)
As of September 30, 2020	$	461	$	—	$	—	$	—	$	461


	MedMen Canada(i)		Cronos GrowCo(ii)		Cronos Australia(iii)		Natuera		Total
As of January 1, 2019	$	1,244	$	2,970	$	475	$	—	$	4,689
Advances (repayment)	(852)		15,494		274		219		15,135
Advances to joint ventures recovered from (applied to) carrying amount of investments	35		22		(779)		(224)		(946)
Effect from foreign exchange	44		480		30		5		559
As of December 31, 2019	$	471	$	18,966	$	—	$	—	$	19,437

(i) Advance is unsecured, non-interest bearing, and there are no terms of repayment.

(ii) On September 25, 2020, the Company and Mucci agreed to capitalize historical advances made by each shareholder to Cronos GrowCo. The Company capitalized C$24,650 ($18,505) through a transfer of aggregate gross advances from advances to joint ventures to investments in equity accounted investees in respect of Cronos GrowCo. Refer to Note 6(a)(ii).

(iii) A$1,500 is governed by an unsecured loan bearing interest at a rate of 12% per annum, calculated and compounded daily, in arrears, on the amounts advanced from the date of each advance. The loan is due on January 1, 2022. If the loan is overdue, the outstanding amount bears interest at an additional 2% per annum.

Other Investments	9 Months Ended
Other Investments	Sep. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Other Investments	Other Investments Other investments consist of investments in common shares and warrants of several companies in the cannabis industry. As of September 30, 2020, the Company did not hold any other investments. The gain and losses on sale of other investments are classified as fair value through net income. During the three months ended September 30, 2020, in connection with the achievement of the final milestone related to the Whistler Transaction (defined below), the Company received 402,561 shares of Aurora Cannabis Inc. (“Aurora”). The Company subsequently sold all 402,561 of the Aurora shares during the three months ended September 30, 2020 for gross proceeds of approximately $3,974 (C$5,354) recorded as a gain on disposal of other investments in other income (expense). During the nine months ended September 30, 2020, in connection with the achievement of certain milestones related to the Whistler Transaction, the Company received 980,662 shares of Aurora. The Company sold all 980,662 of the Aurora shares during the nine months ended September 30, 2020 for gross proceeds of approximately $4,743 (C$6,404) recorded as a gain on disposal of other investments in other income (expense). On March 4, 2019, the Company sold all 2,563 shares of Whistler, representing approximately 19.0% of Whistler’s issued and outstanding common shares, to Aurora, in connection with Aurora's acquisition of Whistler (the “Whistler Transaction”). As a result of the closing of the Whistler Transaction, the Company received 2,524,341 Aurora common shares. During the nine months ended September 30, 2019, the Company sold all 2,524,341 common shares of Aurora, for gross proceeds of $19,259 recorded as a gain on disposal of other investments in other income (expense). No transactions occurred during the three months ended September 30, 2019. During the nine months ended September 30, 2019, the Company sold all remaining 11,062 common shares of Canopy Growth Corporation (“Canopy”) for net proceeds of $355 recorded as an other item in the other income (expense).

Accumulated Other Comprehensive Income (Loss)

9 Months Ended

Sep. 30, 2020

Equity [Abstract]

Accumulated Other Comprehensive Income (Loss)

The following are continuity schedules of accumulated other comprehensive income (loss):


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Net unrealized gain (loss) on revaluation and disposal of other investments
Balance beginning of period	$	5	$	5	$	5	$	5



Balance as of September 30	$	5	$	5	$	5	$	5

Net foreign exchange gain (loss) on translation
Balance beginning of period	$	(33,975)	$	11,968	$	27,833	$	(9,875)
Net unrealized (loss) gain	26,150		(12,414)		(35,658)		9,429
Balance as of September 30	(7,825)		(446)		(7,825)		(446)
Total accumulated other comprehensive income (loss)	$	(7,820)	$	(441)	$	(7,820)	$	(441)

Leases	9 Months Ended
Leases	Sep. 30, 2020
Leases [Abstract]
Leases	Leases The Company has entered into leases primarily for land-use rights, office premises and equipment used in the production of cannabis and related products. The Company’s leases have terms which range from three years to six years, excluding land use rights, which generally extend to 15 years. These leases often include options to extend the term of the lease for up to 10 years. When it is reasonably certain that an option will be exercised, the impact of such option is included in the lease term for purposes of determining total future lease payments. Operating leases greater than one year are included in right-of-use assets and operating lease liabilities. Finance leases are included in property, plant and equipment on the Company’s consolidated balance sheet. During the nine months ended September 30, 2020, the Company recognized two new operating leases for office premises which are included within the lease obligation and right-of-use lines in the condensed consolidated balance sheet. In June 2020, the Company terminated an operating lease for an office premise. The lease was removed from the lease obligation and right-of-use balances in the condensed consolidated balance sheet. The Company’s finance leases were not material as of September 30, 2020 and December 31, 2019.

Loans Receivable, net

9 Months Ended

Sep. 30, 2020

Receivables [Abstract]

Loans Receivable, net


	As of
	September 30, 2020		December 31, 2019
Current portion
Natuera Series A loan(i)	$	5,210	$	4,575
GrowCo Credit Facility(ii)	2,254		—
Add: Accrued interest	317		89
Total current portion of loans receivable	7,781		4,664
Long term portion
GrowCo Credit Facility(ii)	60,408		31,678
Mucci Promissory Note(iii)	12,648		12,587
Cannasoul Collaboration loan(iv)	1,187		—
Add: Accrued interest	1,905		702
Total long-term portion of loans receivable	76,148		44,967
Total loans receivable	$	83,929	$	49,631

(i)On July 24, 2020, the Company and its joint venture partner entered into an amendment to the Series A Loan with Natuera to increase the principal amount of the Series A Loan by $6,350, to an aggregate principal amount of $15,500, of which the Company has committed to fund 50% and its joint venture partner has committed to fund the remaining 50%. Outstanding principal amounts continue to bear interest at a fixed annual rate of 5.67% and the maturity date of the Series A Loan has been extended to March 1, 2021.

For the nine months ended September 30, 2020, a loss allowance of $2,552 was recorded against the Natuera Series A Loan related to the Company’s share of net loss from Natuera in excess of the carrying value of the equity method investment. Refer to Note 6.

(ii)On August 23, 2019, the Company entered into a credit agreement with Cronos GrowCo in respect of a C$100,000 ($75,140) secured non-revolving term loan credit facility (the “GrowCo Credit Facility”). The GrowCo Credit Facility will mature on March 31, 2031 and will bear interest at varying rates based on the Canadian prime rate as announced by the Bank of Montreal. Interest began to accrue as of the closing date of the GrowCo Credit Facility and is payable on a quarterly basis until maturity, except that any interest accrued prior to March 31, 2021 will be payable no later than December 31, 2021. Repayment of principal will be made on a quarterly basis commencing on March 31, 2021. The credit facility is secured by substantially all present and after acquired property of Cronos GrowCo and its subsidiaries. Mucci, the other 50% shareholder of Cronos GrowCo, has provided a limited recourse guarantee in favor of Cronos GrowCo, secured by Mucci’s shares in Cronos GrowCo. As of September 30, 2020, Cronos GrowCo had drawn C$85,150 ($63,981) from the Cronos GrowCo Credit Facility.

For the nine months ended September 30, 2020, a current expected credit loss allowance of $1,317 was recorded against the GrowCo Facility.

(iii)On June 28, 2019, the Company entered into a promissory note receivable agreement (the “Mucci Promissory Note”) for C$16,350 ($12,285) with Mucci. The outstanding principal amount of the Mucci Promissory Note bears interest at 3.95% annually and is due within 90 days of demand. The Company does not intend to demand the loan within 12 months. Interest accrued under the Mucci Promissory Note until July 1, 2021 is payable by way of capitalization on the principal amount and interest thereafter must be paid in cash on a quarterly basis. The Mucci Promissory Note is secured by a general security agreement covering all the assets of Mucci.

For the nine months ended September 30, 2020, a current expected credit loss allowance of $258 has been recorded against the Mucci loan.

(iv)On April 1, 2020, Cronos Israel entered into the Cannasoul Collaboration. Cronos Israel has agreed to advance approximately ILS 8,297 (approximately $2,495) by a non-recourse loan to CLS over a period of two years for the capital and operating expenditures of the laboratory. The outstanding principal on the loan bears interest at 3.5% annually and will be repaid through the profits generated from the Cannasoul Collaboration. As of September 30, 2020, CLS has received ILS 4,149 (approximately $1,198).

For the nine months ended September 30, 2020, a current expected credit loss allowance of $25 has been recorded against the Cannasoul Collaboration loan.

Derivative Liabilities

9 Months Ended

Sep. 30, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Liabilities

On March 8, 2019, the Company closed the previously announced investment in the Company (the “Altria Investment”) by Altria Group, Inc. (“Altria”), pursuant to a subscription agreement dated December 7, 2018. As of the closing date of the Altria Investment, the Altria Investment consisted of 149,831,154 common shares of the Company as of the closing date, issued to a wholly owned subsidiary of Altria and the Altria Warrant, issued to a wholly owned subsidiary of Altria. As of the closing date of the Altria Investment, Altria beneficially held an approximately 45% ownership interest in the Company (calculated on a non-diluted basis). As summarized in this note, if exercised in full on such date, the exercise of the Altria Warrant would have resulted in Altria holding a total ownership interest in the Company of approximately 55% (calculated on a non-diluted basis). Pursuant to the investor rights agreement between the Company and Altria, entered into in connection with the closing of the Altria Investment (the “Investor Rights Agreement”), the Company granted Altria certain rights, among others, summarized in this note.

The summaries below are qualified entirely by the terms and conditions fully set out in the Investor Rights Agreement and the Altria Warrant, as applicable.

a.The Altria Warrant entitles the holder, subject to certain qualifications and limitations, to subscribe for and purchase up to an additional 10% of the common shares of Cronos (approximately 79.1 million common shares at September 30, 2020) at a per share exercise price of C$19.00 which expires on March 8, 2023.

b.The Company granted to Altria, subject to certain qualifications and limitations, upon the occurrence of certain issuances of common shares of the Company executed by the Company (including issuances pursuant to the R&D partnership with Ginkgo Bioworks Inc. (“Ginkgo”) (the “Ginkgo Strategic Partnership”), which is discussed in Note 19(a)(i) below, the right to purchase up to such number of common shares of the Company in order to maintain their ownership percentage of issued and outstanding common shares of the Company immediately preceding any issuance of shares by the Company (“Pre-emptive Rights”), at the same price per common share of the Company at which the common shares are sold in the relevant issuance. The price per common share of the Company to be paid by Altria pursuant to its exercise of its Pre-emptive Rights related to the Ginkgo Strategic Partnership will be C$16.25 per common share. These rights may not be exercised if Altria’s ownership percentage of the issued and outstanding shares of the Company falls below 20%.

c.In addition to (and without duplication of) the Pre-emptive Rights, the Company granted to Altria, subject to certain qualifications and limitations, the right to subscribe for common shares of the Company issuable in connection with the exercise, conversion or exchange of convertible securities of the Company issued prior to March 8, 2019 or thereafter (excluding any convertible securities of the Company owned by Altria or any of its subsidiaries), a share incentive plan of the Company, the exercise of any right granted by the Company pro rata to all shareholders of the Company to purchase additional common shares and/or securities of the Company, bona fide bank debt, equipment financing or non-equity interim financing transactions that contemplate an equity component or bona fide acquisitions (including acquisitions of assets or rights under a license or otherwise), mergers or similar business combination transactions or joint ventures involving the Company in order to maintain their ownership percentage of issued and outstanding common shares of the Company immediately preceding any such transactions (“Top-up Rights”).

The price per common share to be paid by Altria pursuant to the exercise of its Top-up Rights will be, subject to certain limited exceptions, the 10-day volume-weighted average price of the common shares of the Company on the TSX for the ten full days preceding such exercise by Altria, provided that the price per common share of the Company to be paid by Altria pursuant to the exercise of its Top-up Rights in connection with the issuance of common shares of the Company pursuant to the exercise of options or warrants that were outstanding as of March 8, 2019 will be C$16.25 per common share without any set off, counterclaim, deduction, or withholding. These rights may not be exercised if Altria’s ownership percentage of the issued and outstanding shares of the Company falls below 20%. The Altria Warrant, Pre-emptive Rights, and fixed price Top-up Rights have been classified as derivative liabilities; related transaction costs of $22,355 were expensed as financing costs during the year ended December 31, 2019.

A reconciliation of the carrying amounts of the derivative liability is presented below:


	As of July 1, 2020		(Gain) / loss on revaluation		Exercise of rights		Effect from foreign exchange		As of September 30, 2020
(a) Altria Warrant	$	165,958	$	(82,495)	$	—	$	2,374	$	85,837
(b) Pre-emptive Rights	16,180		(8,702)		—		143		7,621
(c) Top-up Rights	23,576		(14,110)		(680)		411		9,197
	$	205,714	$	(105,307)	$	(680)	$	2,928	$	102,655


	As of January 1, 2020		(Gain) / loss on revaluation		Exercise of rights		Effect from foreign exchange		As of September 30, 2020
(a) Altria Warrant	$	234,428	$	(140,547)	$	—	$	(8,044)	$	85,837
(b) Pre-emptive Rights	12,787		(4,777)		—		(389)		7,621
(c) Top-up Rights	49,945		(37,471)		(1,407)		(1,870)		9,197
	$	297,160	$	(182,795)	$	(1,407)	$	(10,303)	$	102,655

Fluctuations in the Company’s share price are a primary driver for the changes in the derivative valuations during each reporting period. As the share price decreases for each of the related derivative instruments, the liability of the instrument generally decreases. Share price is one of the significant observable inputs used in the fair value measurement of each of the Company’s derivative instruments. During the nine months ended September 30, 2020, the Company’s share price decreased from December 31, 2019 resulting in a gain on revaluation of $182,795.

The fair values of the derivative liabilities were determined using the Black-Scholes pricing model as of September 30, 2020 and December 31, 2019 applying the following inputs:


	As of September 30, 2020			As of December 31, 2019
	Altria Warrant	Pre-emptive Rights	Top-up Rights	Altria Warrant	Pre-emptive Rights	Top-up Rights
Share price at valuation date (per share in C$)	$6.69	$6.69	$6.69	$9.97	$9.97	$9.97
Subscription price (per share in C$)	$19.00	$16.25	$16.25	$19.00	$16.25	$16.25
Weighted average risk-free interest rate (i)	0.25%	0.24%	0.20%	1.69%	1.73%	1.71%
Weighted average expected life (in years) (ii)	2.43	1.75	1.13	3.18	1.25	1.66
Expected annualized volatility (iii)	81%	81%	81%	82%	82%	82%
Expected dividend yield	—%	—%	—%	—%	—%	—%

(i) The risk-free interest rate was based on Bank of Canada government treasury bills and bonds with a remaining term equal to the expected life of the derivative liabilities. The risk-free interest rate uses a range of approximately 0.12% to 0.36% as of September 30, 2020 (December 31, 2019 – 1.66% to 1.73%) for the Pre-emptive Rights and Top-up Rights.

(ii) The expected life in years represents the period of time that the derivative liabilities are expected to be outstanding. The expected life of the Pre-emptive Rights and Top-up Rights is determined based on the expected term of the underlying options, warrants, and shares, to which the Pre-emptive Rights and Top-up Rights are linked. The expected life uses a range of approximately 0.25 year to 5.25 years as of September 30, 2020 (December 31, 2019 – 0.25 year to 6 years).

(iii) Volatility was based on an equally weighted blended historical volatility level of the underlying equity securities of the Company and peer companies.

The following table quantifies each of the significant inputs described above and provides a sensitivity analysis of the impact on the reported values of the derivative liabilities. The sensitivity analysis for each significant input is performed by assuming a 10% decrease in the input while other significant inputs remain constant at management’s best estimate as of the respective dates. A decrease in the inputs noted below would cause a decrease in derivative liability and as of September 30, 2020, there would be an equal but opposite impact on net income (loss).


	Decrease as of September 30, 2020						Decrease as of December 31, 2019
	Altria Warrant		Pre-emptive Rights		Top-up Rights		Altria Warrant		Pre-emptive Rights		Top-up Rights
Share price	$	16,133	$	1,598	$	2,196	$	36,436	$	2,743	$	9,577
Weighted average expected life	9,996		1,304		1,999		17,471		2,366		2,178
Expected annualized volatility	19,188		1,737		2,347		33,343		2,180		7,714

These inputs are classified in Level 3 on the fair value hierarchy and are subject to volatility and several factors outside of the Company’s control, which could significantly affect the fair value of these derivative liabilities in future periods.

Property, Plant and Equipment

9 Months Ended

Sep. 30, 2020

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

Property, plant and equipment, net consisted of the following:


	As of
		September 30, 2020		December 31, 2019
Cost
Land		$	3,037		$	3,071
Building		148,112			149,690
Furniture and equipment		17,161			10,079
Computer equipment		669			526
Leasehold improvements		3,400			1,758
Construction in progress		14,267			3,569
Less: accumulated depreciation		(15,242)			(8,745)

Total		$	171,404		$	159,948

Depreciation expense included in cost of sales relating to manufacturing equipment and production facilities for the nine months ended September 30, 2020 was $1,935 (September 30, 2019 – $1,628). Depreciation expense included in operating expenses related to general office space and equipment for the nine months ended September 30, 2020 was $1,682 (September 30, 2019 – $577). The remaining depreciation is included in inventory.

For the nine months ended September 30, 2020, there was no capitalized interest included in construction in progress (September 30, 2019 – $367).

Intangible Assets and Goodwill

9 Months Ended

Sep. 30, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets and Goodwill

The ongoing restrictions and closures experienced by retail stores in the U.S. as a result of the COVID-19 pandemic have negatively impacted sales and demand which has resulted in slower than expected revenue growth in the U.S. reporting unit. The Company expects the revenue growth and operating results in the U.S. reporting unit to continue to be negatively impacted as the decrease in customer demand and retail closures are expected to continue as a result of the pandemic. The Company performed an interim impairment test as of June 30, 2020 on the U.S. reporting unit, which holds the Redwood goodwill, as well as the indefinite-lived intangible asset (Lord Jones™ brand) to determine whether the carrying amount of the reporting unit and intangible asset exceeded their respective fair values. The Company reassessed its estimates and forecasts during the second quarter of 2020 to determine the fair values of the reporting unit and intangible asset. The fair values were determined using a discounted cash flow method on the reporting unit and the relief-from-royalty method on the Lord Jones™ brand. Based on these valuations, the carrying value exceeded the fair value resulting in an impairment on both the reporting unit as well as the Lord Jones™ brand. The Company does not believe the declines in fair values are temporary.

The Company recorded $35,000 of impairment charges on the U.S. reporting unit and $5,000 on the Lord Jones™ brand for the nine months ended September 30, 2020. No impairment loss was recorded for either goodwill or intangible assets during the three months ended September 30, 2020 or during the three and nine months ended September 30, 2019.

(a)Intangible assets

Intangible assets are comprised of the following items:


	Weighted average amortization period (in years)	As of September 30, 2020
		Cost		Accumulated amortization		Impairment charges		Net
Software	5	$	575	$	(234)	$	—	$	341
ERP system	5	2,851		(130)		—		2,721
Health Canada licenses	17	7,211		(1,102)				6,109
Lord Jones™ brand	N/A	64,000		—		(5,000)		59,000
Trademarks	N/A	146		—		—		146
Israeli codes(i)	25	300		(13)		—		287
		$	75,083	$	(1,479)	$	(5,000)	$	68,604

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.


	Weighted average amortization period (in years)	As of December 31, 2019
		Cost		Accumulated amortization		Net
Software	5	$	541	$	(202)	$	339

Health Canada licenses	17	7,387		(821)		6,566
Lord Jones™ brand	N/A	64,000		—		64,000
Trademarks	N/A	36		—		36
Israeli codes(i)	25	298		(4)		294
		$	72,262	$	(1,027)	$	71,235

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.

The aggregate amortization for the nine months ended September 30, 2020 was $570 (September 30, 2019 – $480). There were no disposals of software during the three months ended September 30, 2020 and 2019.

The amortization expense for the next five years on intangible assets in use is estimated to be as follows: 2021 – $573; 2022 – $562; 2023: $529; 2024 – $524; 2025 – $509.

(b)Goodwill


	As of December 31, 2019		Additions		Impairment charges		Effect of foreign exchange		As of September 30, 2020
Peace Naturals	1,078		—		—		(33)		1,045
Redwood	213,414		—		(35,000)		—		178,414
	$	214,492	$	—	$	(35,000)	$	(33)	$	179,459

General and Administrative Expenses

9 Months Ended

Sep. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

General and Administrative Expenses

General and administrative expense are comprised of the following items:


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Salaries and wages	$	4,611	$	7,789	$	18,412	$	13,137
Professional and consulting	4,295		4,694		13,144		11,948
Office and general	4,449		1,643		11,064		7,166

Review costs related to restatement of 2019 interim financial statements(i)	958		—		8,824		—
Other	4,547		2,076		9,604		2,736
Total	$	18,860	$	16,202	$	61,048	$	34,987

(i)These financial statement review costs include costs related to the restatement of the Company’s 2019 interim financial statements, costs related to the Company’s responses to requests for information from various regulatory authorities relating to such restatement and legal costs defending shareholder class action complaints brought against the Company as a result of the restatement.

Share-based Payments

9 Months Ended

Sep. 30, 2020

Share-based Payment Arrangement [Abstract]

Share-based Payments

(a)Warrants

The following is a summary of the changes in warrants during the nine months ended September 30, 2020 and 2019:


	Weighted average exercise price (C$)		Number of warrants
Balance as of January 1, 2020	$	0.26	18,066,662
Exercise of warrants	0.27		(5,626,410)

Balance as of September 30, 2020	$	0.25	12,440,252

Balance as of January 1, 2019	$	0.26	25,457,623
Exercise of warrants	0.26		(7,390,961)

Balance as of September 30, 2019	$	0.26	18,066,662

As of September 30, 2020, the Company had outstanding warrants as follows. For a description of the Altria Warrant, see Note 11.


Grant date	Expiry date	Weighted average exercise price (C$)		Number of warrants
October 8 – 28, 2015	October 8 – 28, 2020	$	0.31	452,903
May 13 – 27, 2016	May 13 – 27, 2021	0.25		11,987,349
As of September 30, 2020		$	0.25	12,440,252

(b)Stock options

(i)Stock option plans

The Company adopted an amended and restated stock option plan dated May 26, 2015 (the “2015 Stock Option Plan”) which was approved by shareholders of the Company at the annual general meeting of shareholders held on June 28, 2017. The 2015 Stock Option Plan allowed the Company’s Board of Directors (the “Board”) to award options to purchase shares to directors, officers, key employees and service providers of the Company. As of June 28, 2018, no further awards will be granted under the 2015 Stock Option Plan; however, shares may be purchased via option exercise by the holders of any outstanding options previously issued under the 2015 Stock Option Plan. As of September 30, 2020, options to purchase 10,443,447 Company common shares were outstanding under the 2015 Stock Option Plan.

On June 28, 2018, the shareholders of the Company approved a stock option plan (the “2018 Stock Option Plan”), which replaced the 2015 Stock Option Plan. As of June 25, 2020, the date on which the 2020 Omnibus Plan (as defined below) was approved by the shareholders of the Company, no further awards will be granted under the 2018 Stock Option Plan; however, shares may be purchased via option exercise by the holders of any outstanding options previously issued under the 2018 Stock Option Plan. As of September 30, 2020, options to purchase 1,641,759 Company common shares were outstanding under the 2018 Stock Option Plan.

On March 29, 2020, the Board adopted a new omnibus equity incentive plan (the “2020 Omnibus Plan”), which was approved by the shareholders of the Company at the annual and special meeting of shareholders held on June 25, 2020. The 2020 Omnibus Plan provides for grants of stock options, share appreciation rights, restricted shares, restricted share units (“RSUs”) and other share-based or cash-based awards, which are subject to terms as determined by the Compensation Committee of the Board, and awards may be granted to eligible employees, non-employee directors and consultants. As of September 30, 2020, options to purchase 2,000,000 Company common shares were outstanding under the 2020 Omnibus Plan.

For the three and nine months ended September 30, 2020, the total stock-based compensation expense associated with the stock options was $1,551 and $5,051 respectively (September 30, 2019 – $3,531 and $7,949, respectively).

(ii) Summary of changes

The following is a summary of the changes during the nine months ended September 30, 2020 and 2019:


	Weighted average exercise price (C$)		Number of options	Weighted average remaining contractual term (years)
Balance as of January 1, 2020	$	4.84	14,149,502	2.56
Issuance of options(i)	6.96		2,000,000
Exercise of options	2.04		(1,841,863)
Cancellation, forfeiture and expiry of options	15.06		(222,433)
Balance as of September 30, 2020	$	5.34	14,085,206	2.54
Exercisable as of September 30, 2020	$	3.56	9,381,601	1.57

Balance as of January 1, 2019	$	2.99	12,902,995	3.35
Issuance of options	20.08		1,534,162
Exercise of options	3.72		(254,199)
Cancellation, forfeiture and expiry of options	—		(5,083)
Balance as of September 30, 2019	$	4.83	14,177,875	2.81
Exercisable as of September 30, 2019	$	2.66	7,442,390	2.47

(i)On September 9, 2020, options to purchase 2,000,000 Company common shares were granted to Kurt Schmidt in connection with his appointment as President and Chief Executive Officer of the Company under the 2020 Omnibus Plan.

(iii)Fair value of options issued

The fair value of the options issued was determined using the Black-Scholes option pricing model, using the following inputs:


	For the nine months ended September 30,
	2020	2019
Share price at grant date (per share)	C$6.96	C$15.34 - C$24.75
Exercise price (per option)	C$6.96	C$15.34 - C$24.75
Risk-free interest rate	0.43%	1.39% - 1.62%
Expected life of options (in years)(i)	5	5
Expected annualized volatility	91%	89%
Expected dividend yield	—%	—%
Weighted average Black-Scholes value at grant date (per option)	C$4.84	C$10.6 - C$15.91
Forfeiture rate	—%	—%

(i)The expected life of the awards represents the period of time stock options are expected to be outstanding and is estimated considering vesting terms and employees’ and non-employees’ historical exercise and post-vesting employment termination behavior. Volatility was based on an equally weighted blended historical volatility level of the underlying equity securities of the Company and peer companies. The risk-free interest rate was based on the Bank of Canada government bonds with a remaining term equal to the expected life of the options at the grant date.

During the nine months ended September 30, 2020, the weighted average fair value per share at grant date of options was C$4.84 (nine months ended September 30, 2019 - C$13.32).

(c)Restricted share units

For the three and nine months ended September 30, 2020, the Company recorded $6,365 and $7,847, respectively (for three and nine months ended September 30, 2019 – $186) in share-based compensation expense related to the issuance of RSUs during such periods.

The following is a summary of the changes in RSUs from January 1, 2020 to September 30, 2020:


	Number of RSUs	Weighted average grant date fair value (C$)
Balance as of January 1, 2020	732,972	$	15.34
Granted(i)	814,874	7.32
Vested and issued(ii)	(732,972)	15.34
Cancellation and forfeitures	(9,497)	7.52
Balance as of September 30, 2020	805,377	$	7.32

(i)On September 9, 2020, the Company issued 450,000 RSUs to Mr. Schmidt in connection with his appointment as President and Chief Executive Officer of the Company under the 2020 Omnibus Plan. The RSUs vest on September 10, 2023, subject to Mr. Schmidt’s continued employment through such date. The vesting of such RSUs is not subject to the achievement of any performance criteria.

In August 2020 and May 2020, the Company issued an aggregate of 85,597 and 279,277 RSUs, respectively, to certain employees under the 2020 Omnibus Plan. Each RSU entitles the holder thereof to receive upon vesting one common share of the Company. The RSUs vest annually in equal installments over a three-year period following the grant date, subject to such holder’s continued employment through each vesting date. The vesting of such RSUs is not subject to the achievement of any performance criteria.

(ii)On July 20, 2020, the Company entered into separation agreements with Robert Rosenheck and another Redwood Wellness, LLC (“Redwood”) employee pursuant to which they resigned from their employment with Redwood. In connection with such separation agreements, 732,972 outstanding and unvested RSUs were accelerated and vested during the three months ended September 30, 2020.

The following is a summary of the changes in RSUs from January 1, 2019 to September 30, 2019:


	Number of RSUs	Weighted average grant date fair value (C$)
Balance as of January 1, 2019	—	$	—
Granted(i)	732,972	15.34
Balance as of September 30, 2019	732,972	$	15.34

(i)During the three months ended September 30, 2019, the Company issued an aggregate of 732,972 RSUs to Mr. Rosenheck and another Redwood employee in connection with the acquisition of four Redwood Holding Group, LLC subsidiaries. These RSUs were accelerated and vested during the three months ended September 30, 2020.

(d)Deferred share units

On August 10, 2019, the Company established a cash-settled deferred share unit plan (“DSU Plan”) pursuant to which its non-executive directors receive deferred share units (“DSUs”). The DSU Plan is designed to promote a greater alignment of long-term interests between non-executive directors and shareholders. The number of DSUs granted under the DSU Plan (including fractional DSUs) is determined by dividing the amount of remuneration payable by the closing price as reported by the TSX on the trading day immediately preceding the day of grant. DSUs are payable at the time a non-executive director ceases to hold the office of director for any reason and are settled by a lump-sum cash payment, in accordance with the terms of the DSU Plan, based on the fair value of the DSUs at such time. The fair value of the cash payout is determined by multiplying the number of DSUs vested at the payout date by the closing price as reported by the TSX on the trading day immediately preceding the payout date. The fair value of the cash payout is determined at each reporting date based on the fair value of the Company’s common shares at the reporting date and is recorded within other liabilities.

The following is a summary of the changes in DSUs from January 1, 2020 to September 30, 2020:


	Number of DSUs	Financial liability
Balance as of January 1, 2020	33,397	$	255
Granting and vesting of DSUs	58,380	338
Liabilities settled	(8,484)	(46)
Loss (gain) on revaluation	—	(128)
Balance as of September 30, 2020	83,293	$	419

The following is a summary of the changes in DSUs from January 1, 2019 to September 30, 2019:


	Number of DSUs	Financial liability
Balance as of January 1, 2019	—	$	—
Granting and vesting of DSUs	33,937	454

Loss (gain) on revaluation	—	(147)
Balance as of September 30, 2019	33,937	$	307

Earnings (Loss) Per Share

9 Months Ended

Sep. 30, 2020

Earnings Per Share [Abstract]

Earnings (Loss) Per Share

Basic and diluted earnings (loss) per share from continuing operations are calculated using the following numerators and denominators:


	For the three months ended September 30,				For the nine months ended September 30,
	2020		2019		2020		2019
Basic earnings per share computation
Net income (loss) attributable to common shareholders of Cronos Group	$	69,506	$	604,446	$	38,615	$	1,104,564
Weighted average number of common shares outstanding	350,288,783		338,957,949		349,397,156		297,964,058
Basic earnings per share(i)	$	0.20	$	1.78	$	0.11	$	3.71
Diluted earnings per share computation
Net income (loss) used in the computation of basic earnings per share	$	69,506	$	604,446	$	38,615	$	1,104,564
Adjustment for gain (loss) on revaluation of derivative liabilities	(680)		(6,952)		(1,407)		(798,799)
Net income (loss) used in the computation of diluted income per share	$	68,826	$	597,494	$	37,208	$	305,765

Weighted average number of common shares outstanding used in the computation of basic earnings per share	350,288,783		338,957,949		349,397,156		297,964,058
Dilutive effect of warrants	12,514,864		17,792,227		17,126,222		20,080,244
Dilutive effect of stock options	6,688,620		10,435,804		7,992,139		11,030,736
Dilutive effect of RSUs	126,753		732,972		215,934		732,972
Dilutive effect of Altria Warrant	—		—		—		1,833,853
Dilutive effect of Top-up Rights – exercised and exercisable fixed price	—		1,349,720		—		1,976,828
Weighted average number of common shares for computation of diluted income (loss) per share	369,619,020		369,268,672		374,731.451		333,618,691
Diluted earnings per share(i)	$	0.19	$	1.62	$	0.10	$	0.92

(i) Basic and dilutive earnings per share from discontinued operations were $0.00 for the three and nine months ended September 30, 2020 and 2019.

The following securities were not included in the computation of diluted shares outstanding because the effect would be anti-dilutive or because conditions for contingently issuable shares were not satisfied at the end of the reporting periods.


	Three months ended September 30,		Nine months ended September 30,
	2020	2019	2020	2019
Ginkgo equity milestones	14,674,904	14,674,904	14,674,904	14,674,904
Pre-emptive Rights	12,006,740	12,006,740	12,006,740	12,006,740
Top-up Rights – fixed price	22,551,531	25,126,670	22,551,531	25,126,670
Top-up Rights – market price	3,065,570	1,255,223	3,065,570	1,255,223
Altria Warrant	79,051,981	76,392,046	79,051,981	—
Stock options	2,017,176	1,346,902	1,571,134	51,830


Total anti-dilutive securities	133,367,902	130,802,485	132,921,860	53,115,367

Related Party Transactions and Balances

9 Months Ended

Sep. 30, 2020

Related Party Transactions and Balances

On March 8, 2019, in connection with the Altria Investment, Altria, through certain of its wholly owned subsidiaries, purchased a 45% equity interest in the Company.

The Company incurred the following expenses for consulting services from Altria Pinnacle LLC, a subsidiary of Altria (“Altria Pinnacle”):


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Altria Pinnacle – expense	$	160	$	1,772	$	1,113	$	1,772
Total	$	160	$	1,772	$	1,113	$	1,772

The following is a summary of amounts payable related to the consulting services with Altria Pinnacle:


	As of
	September 30, 2020		December 31, 2019
Altria Pinnacle – payable	$	5	$	1,152
Total	$	5	$	1,152

During 2019, the Company purchased machinery and equipment amounting to $1,258 from a subsidiary of Altria. Refer to Note 19 for additional information.

Refer to Note 11 for further information on the derivative liabilities related to the Altria Investment.

There were no other material related party transactions for the three and nine months ended September 30, 2020 and 2019.

Segment Information

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Segment Information

Segment reporting is prepared on the same basis that the Company’s chief operating decision makers (the “CODMs”) manage the business, make operating decisions and assess the Company’s performance. The Company determined that it has the following two reportable segments: United States and Rest of World. The United States operating segment consists of the manufacture and distribution of hemp-derived CBD infused products. The Rest of World operating segment is involved in the cultivation, manufacture, and marketing of cannabis and cannabis-derived products for the medical and adult-use markets. These two segments represent the geographic regions in which the Company operates and the different product offerings within each geographic region. The results of each segment are regularly reviewed by the CODMs to assess the performance of the segment and make decisions regarding the allocation of resources. The CODMs review operating income (loss) as the measure of segment profit or loss to evaluate performance of and allocate resources for its reportable segments. Operating income (loss) is defined as net revenue less cost of sales and operating expenses. Corporate expenses are expenses that relate to the consolidated business and not to an individual operating segment. The Company’s method of allocating corporate costs is refined periodically.

Reporting by operating segments follows the same accounting policies as those used to prepare the consolidated financial statements. The operating segments are presented in accordance with the same criteria used for internal reporting prepared for the CODMs. Intersegment transactions are recorded at the stated values as agreed to by the segments.

Segment data was as follows for the three months ended September 30, 2020:


	Three months ended September 30, 2020
	United States		Rest of World		Corporate expenses		Total
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue
Cannabis flower	$	—	$	7,958	$	—	$	7,958
Cannabis extracts	1,639		1,504		—		3,143
Other	—		257		—		257
Net revenue	$	1,639	$	9,719	$	—	$	11,358

Share of loss from investments in equity accounted investees	$	—	$	1,327	$	—	$	1,327

Interest income	3		3,844		—		3,847
Interest expense	—		(66)		—		(66)
Interest income, net	$	3	$	3,778	$	—	$	3,781

Impairment loss on goodwill and intangible assets	$	—	$	—	$	—	$	—

Depreciation and amortization	35		851		—		886
Income tax expense	143		845		—		988
Income (loss) from discontinued operations	—		(473)		—		(473)
Net income (loss)	(14,004)		93,447		(10,979)		68,464

Segment data was as follows for the nine months ended September 30, 2020:


	Nine months ended September 30, 2020
	United States		Rest of World		Corporate expenses		Total
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue
Cannabis flower	$	—	$	16,373	$	—	$	16,373
Cannabis extracts	5,989		6,821		—		12,810
Other	—		490		—		490
Net revenue	$	5,989	$	23,684	$	—	$	29,673

Share of loss from investments in equity accounted investees	$	—	$	3,293	$	—	$	3,293

Interest income	16		15,406		—		15,422
Interest expense	—		(156)		—		(156)
Interest income, net	$	16	$	15,250	$	—	$	15,266

Impairment loss on goodwill and intangible assets	$	40,000	$	—	$	—	$	40,000

Depreciation and amortization	104		2,148		—		2,252
Income tax expense	143		845		—		988
Income (loss) from discontinued operations	—		(519)		—		(519)
Net income (loss)	(71,571)		132,704		(24,691)		36,442

Consolidated balance sheets
Total assets	$	251,835	$	369,621	$	1,297,473	$	1,918,929
Investments in equity accounted investees	—		19,059		—		19,059
Goodwill	178,414		1,045		—		179,459
Purchase of property, plant and equipment, net	294		21,040		—		21,334

Sources of net revenue for the three and nine months ended September 30, 2020 and 2019 were as follows:


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Cannabis flower	$	7,958	$	4,266	$	16,373	$	12,187
Cannabis extracts	3,143		1,500		12,810		4,138
Other	257		19		490		117
Net revenue	$	11,358	$	5,785	$	29,673	$	16,442

Net revenue attributed to a geographic region based on the location of the customer were as follows:


	Three months ended September 31,				Nine months ended September 31,
	2020		2019		2020		2019
Canada	$	9,205	$	5,093	$	22,712	$	15,416
United States	1,639		675		5,989		675
Other countries	514		17		972		351
Net revenue	$	11,358	$	5,785	$	29,673	$	16,442

Property, plant and equipment assets were physically located in the following geographic regions:


	As of September 30, 2020		As of December 31, 2019
Canada	$	146,292	$	139,160
United States	2,302		2,103
Other countries	22,810		18,685
Total	$	171,404	$	159,948

The Company sells products through a limited number of major customers. Major customers are defined as customers that each individually accounted for greater than 10% of the Company’s revenues and greater than 10% of accounts receivable.

United States

During the three and nine months ended September 30, 2020 and 2019, the U.S. segment had no major customers.

As of September 30, 2020, $41 (December 31, 2019 – $12) in expected credit losses has been recognized on receivables from contracts with customers.

Rest of World

During the three months ended September 30, 2020, the Rest of World segment earned a total net revenue before excise taxes of $9,790 from four major customers, Société Québécoise du Cannabis, Alberta Gaming, Liquor and Cannabis Commission, Ontario Cannabis Retail Corporation, and BC Liquor Distribution Branch accounting for 26%, 22%, 20% and 14%, respectively, of the Company’s total revenue (three months ended September 30, 2019 – $3,351 from two major customers, together accounting for 58% of the Company’s total revenues).

During the nine months ended September 30, 2020, the Rest of World segment earned a total net revenue before excise taxes of $22,142 from the same four major customers as mentioned above, accounting for 18%, 23%, 16%, and 17%, respectively, of the Company’s total revenue (nine months ended September 30, 2019 – $7,101 from two major customers, together accounting for 43% of the Company’s total revenues).

As of September 30, 2020, $23 (December 31, 2019 – $124) in expected credit losses has been recognized on receivables from contracts with customers.

During the three months ended September 30, 2020, the Company classified OGBC as held-for-sale. The loss from discontinued operations from the Rest of World segment for the three and nine months ended September 30, 2020 was $473 and $519, respectively. The loss from discontinued operations from the Rest of World segment for the three and nine months ended September 30, 2019 was $36 and $63, respectively.

Commitments	9 Months Ended
Commitments	Sep. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments	Commitments (a)R&D commitments (i) Ginkgo. On September 4, 2018, the Company announced an R&D partnership with Ginkgo to develop scalable and consistent production of eight target cannabinoids, including THC, CBD and a variety of other lesser known and rarer cannabinoids. As part of this partnership, Cronos Group has agreed to issue up to 14,674,903 common shares of the Company (aggregate value of approximately $100,000 as of July 17, 2018 assuming all milestones are met) (collectively the “Ginkgo Equity Milestones”) in tranches and $22,000 in cash subject to Ginkgo’s achievement of certain milestones and to fund certain R&D expenses, including foundry access fees. (ii) Technion. On October 15, 2018, the Company entered into a sponsored research agreement with the Technion Research and Development Foundation of the Technion – Israel Institute of Technology (“Technion”). Research will be focused on the use of cannabinoids and their role in regulating skin health and skin disorders. The Company has committed to $1,784 of research funding over a period of three years. An additional $4,900 of cash payments will be paid to Technion upon the achievement of certain milestones. (b)Altria consulting services On February 18, 2019, the Company entered into an agreement with a wholly owned subsidiary of Altria (which agreement was subsequently amended and restated to substitute Altria Pinnacle as a party thereto), to receive strategic advisory and project management services from Altria Pinnacle (the “Services Agreement”). Pursuant to the Services Agreement, the Company will pay Altria Pinnacle a monthly fee equal to the product of 105% and the sum of: (i) all costs directly associated with the services incurred during the monthly period, and (ii) a reasonable and appropriate allocation of indirect costs incurred during the monthly period. The Company will also pay all third-party direct charges incurred during the monthly period in connection with the services, including any reasonable and documented costs, fees and expenses associated with obtaining any consent, license or permit. The Services Agreement will remain in effect until terminated by either party. (c)Use of publicity rights in brand development On December 23, 2019, the Company issued 856,017 restricted common shares to Kristen Bell, an accredited investor, in a private placement (“Private Placement – 2019”) in reliance on Section 4(a)(2) of the Securities Act of 1933 in connection with the use of certain publicity rights in the brand development of Happy Dance™. One-third of such common shares vested on January 31, 2020 with the remaining shares vesting in two equal installments on June 23, 2021, and December 23, 2022. The issuance did not involve a public offering and was made without general solicitation or advertising. The total fair value of the consideration paid for the issuance of such common shares was approximately $6,000. The fair value of the shares was calculated using the ten-day volume weighted average price per share of the Company’s common shares on Nasdaq. Additional restricted common shares are issued when certain performance milestones are achieved: (i) First Performance Issuance: if, prior to December 23, 2022, the product line generates at least $50,000 in net revenue, additional common shares with an aggregate value of $1,000 will be issued. (ii) Second Performance Issuance: if, prior to December 23, 2022, the product line generates at least $100,000 in net revenue, additional common shares with an aggregate value of $1,000 will be issued (together with the First Performance Issuance noted above). The number of common shares that would be issued upon achieving the foregoing milestones will be determined based on the ten-day volume weighted average price per share of the Company’s common shares on Nasdaq as of the trading day immediately prior to the date of filing with the SEC of the Company’s audited year-end financial statements for the first fiscal year during which such milestones are achieved.

Contingencies	9 Months Ended
Contingencies	Sep. 30, 2020
Loss Contingency [Abstract]
Contingencies	Contingencies The Company is subject to various legal proceedings in the ordinary course of its business and in connection with its marketing, distribution and sale of its products. Many of these legal proceedings are in the early stages of litigation and seek damages that are unspecified or not quantified. Although the outcome of these matters cannot be predicted with certainty, the Company does not believe these legal proceedings, individually or in the aggregate, will have a material adverse effect on the its financial condition but could be material to the its results of operations for a quarterly period depending, in part, on its results for that quarter. (a)Class action complaints relating to restatement On March 11 and 12, 2020, two alleged shareholders of the Company separately filed two putative class action complaints in the U.S. District Court for the Eastern District of New York against the Company and its former Chief Executive Officer (now Executive Chairman) and Chief Financial Officer alleging violations of Section 10(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder against all defendants, and Section 20(a) of the Exchange Act against the individual defendants. The complaints generally allege that certain of the Company’s prior public statements about revenues and internal controls were incorrect based on the Company’s March 2, 2020, disclosure that the Audit Committee of its Board of Directors was conducting a review of the appropriateness of revenue recognized in connection with certain bulk resin purchases and sales of products through the wholesale channel. The complaints do not quantify a damage request. Defendants have not yet responded to the complaints. On June 3, 2020, an alleged shareholder filed a Statement of Claim in the Ontario Superior Court of Justice in Toronto, Ontario, Canada, seeking, among other things, an order certifying the action as a class action on behalf of a putative class of shareholders and damages of an unspecified amount. The Statement of Claim names the Company, its former Chief Executive Officer (now Executive Chairman), Chief Financial Officer, former Chief Financial Officer and Chief Commercial Officer, and current and former members of its Board of Directors as defendants and alleges breaches of the Ontario Securities Act, oppression under the Ontario Business Corporations Act and common law misrepresentation. The Statement of Claim generally alleges that certain of the Company’s prior public statements about revenues and internal controls were misrepresentations based on the Company’s March 2, 2020 disclosure that the Audit Committee of its Board of Directors was conducting a review of the appropriateness of revenue recognized in connection with certain bulk resin purchases and sales of products through the wholesale channel, and the Company’s subsequent restatement. The Statement of Claim does not quantify its damage request. The Company and the other named defendants have not yet filed a response to the Statement of Claim. (b)Regulatory reviews relating to restatement The Company has been responding to requests for information from various regulatory authorities relating to its previously disclosed restatement of its financial statements for the first three quarters of 2019. The Company is responding to all such requests for information and cooperating with all regulatory authorities. The Company cannot predict the outcome of any such regulatory review or investigation and it is possible that additional investigations or one or more formal proceedings may be commenced against the Company and its current and former officers and directors in connection with these regulatory reviews and investigations. (c)Litigation relating to marketing, distribution and sale of products On June 16, 2020, an alleged consumer filed a Statement of Claim on behalf of a class in the Court of Queen’s Bench of Alberta in Alberta, Canada, against the Company and other Canadian cannabis manufacturers and/or distributors. The Statement of Claim alleges claims related to the defendants’ advertised content of cannabinoids in cannabis products for medicinal use on or after June 16, 2010 and cannabis products for adult use on or after October 17, 2018. The Statement of Claim seeks a total of C$500 million for breach of contract, compensatory damages, and unjust enrichment or such other amount as may be proven in trial and C$5 million in punitive damages against each defendant, including the Company. The Statement of Claim also seeks interest and costs associated with the action. The Company has not responded to the Statement of the Claim. A number of claims, including purported class actions, have been brought in the U.S. against companies engaged in the U.S. hemp business alleging, among other things, violations of state consumer protection, health and advertising laws. On April 8, 2020, a putative class action complaint was filed in the U.S. District Court for the Central District of California against Redwood, alleging violations of California’s Unfair Competition Law, False Advertising Law, Consumers Legal Remedies Act, and breaches of the California Commercial Code for breach of express warranties and implied warranty of merchantability with respect to Redwood’s marketing and sale of U.S. hemp products. The complaint does not quantify a damage request. On April 10, 2020, the class action complaint was dismissed for certain pleading deficiencies and the plaintiff was granted leave until April 24, 2020 to amend the complaint to establish federal subject matter jurisdiction. On April 28, 2020, the action was dismissed without prejudice for failure to prosecute and for failure to comply with a court order. As of the date of this Quarterly Report, the plaintiff has not refiled the complaint. The Company expects litigation and regulatory proceedings relating to the marketing, distribution and sale of its products to increase.

Financial Instruments	9 Months Ended
Financial Instruments	Sep. 30, 2020
Risks and Uncertainties [Abstract]
Financial Instruments	Financial Instruments The Company’s activities expose it to a variety of financial risks, including credit risk, liquidity risk, and market risk (including interest rate risk) and foreign currency risk. (a)Credit risk Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations. The Company is exposed to credit risk from its operating activities, primarily accounts receivable and other receivables, and its investing activities, including cash held with banks and financial institutions, short-term investments, loan receivable, and advances to joint ventures. The Company’s maximum exposure to this risk is equal to the carrying amount of these financial assets, which amounted to $1,401,606 as of September 30, 2020 (December 31, 2019 – $1,586,978). (i)Accounts receivable An impairment analysis is performed at each reporting date using a provision matrix to measure expected credit losses. The provision rates are based on the days past due for groupings of various customer segments with similar loss patterns. The calculation reflects the probability-weighted outcome, the time value of money and reasonable and supportable information that is available at the reporting date about past events, current conditions and forecasts of future economic conditions. Accounts receivable are written off when there is no reasonable expectation of recovery. Indicators that there is no reasonable expectation of recovery include, among others, the failure of a debtor to engage in a repayment plan, and a failure to make contractual payments for a period of greater than 120 days past due. For the three months ended September 30, 2020, the Company recorded a current expected credit loss allowance of $64 (December 31, 2019 – $136). The Company has assessed that there is a concentration of credit risk, as 59% of the Company’s accounts receivable were due from four customers as of September 30, 2020 (December 31, 2019 – 56% due from two customers) with an established credit history with the Company. (ii)Cash and cash equivalents, short-term investments, and other receivables The Company held cash and cash equivalents of $1,097,846 as of September 30, 2020 (December 31, 2019 – $1,199,693). The short-term investments and related interest receivable of $202,883 as of September 30, 2020 (December 31, 2019 – $306,347) represents short-term investments with a maturity of less than a year and accrued interest as of period end. The cash and cash equivalents and short-term investments, including guaranteed investment certificates and bankers’ acceptances, are held with central banks and financial institutions that are highly rated. In addition to interest receivable, other receivables include sales taxes receivable from the government. As such, the Company has assessed an insignificant loss allowance on these financial instruments. (iii)Advances to joint ventures The Company has assessed the credit risk of advances to joint ventures based on the financial position of the borrowers, and the regulatory and economic environment of the borrowers. The expected loss rates are based on the historical credit losses experienced. Where appropriate, the historical loss rates are adjusted to reflect current and forward-looking information. The Company has assessed an expected credit loss allowance on these advances as of September 30, 2020 to be $nil (December 31, 2019 – $nil). (b) Liquidity risk Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due and arises principally from the Company’s accounts payable and other liabilities. The Company’s policy is to review liquidity resources and ensure that sufficient funds are available to meet financial obligations as they become due. Further, the Company’s management is responsible for ensuring funds exist and are readily accessible to support business opportunities as they arise. The Company’s funding is primarily provided in the form of capital raised through the issuance of common shares and warrants. As of September 30, 2020, the Company had no concentration risk of vendors (December 31, 2019 – 42% due to three vendors). (c)Market risk Market risk is the risk that the fair value of, or future cash flows from, the Company’s financial instruments will significantly fluctuate due to changes in market prices. The value of financial instruments can be affected by changes in interest rates, market and economic conditions, and equity and commodity prices. The Company is exposed to market risk in divesting its investments, such that unfavorable market conditions could result in dispositions of investments at less than their carrying values. Further, the revaluation of securities classified as fair value through net income could result in significant write-downs of the Company’s investments, which would have an adverse impact on the Company’s financial position, unless these would flow through other comprehensive income. The Company manages market risk by having a portfolio of securities from multiple issuers so that the Company is not materially exposed to any one issuer. (d) Interest rate risk Interest rate risk is the risk that the value or yield of fixed-income investments may decline if interest rates change. Fluctuations in interest rates may impact the level of income and expense recorded on the cash equivalents and short-term investments, and the market value of all interest-earning assets, other than those which possess a short-term to maturity. A 10% change in the interest rate in effect on September 30, 2020 and December 31, 2019, would not have a material effect on (i) fair value of the cash equivalents and short-term investments as the majority of the portfolio has a maturity date of three months or less, or (ii) interest income. Management continues to monitor external interest rates and revise the Company’s investment strategy as a result. During the nine months ended September 30, 2020, the Company had net interest income of $15,266 (September 30, 2019 – $20,455). During the three and nine months ended September 30, 2020, the Company’s average variable interest rate fell 0.03% and 1.44%, respectively. Had the interest rates been consistent, net interest income would have increased by $303 and $15,214, respectively for the three and nine months ended September 30, 2020. (e) Currency rate risk Currency rate risk is the risk that the fair value of, or future cash flows from, the Company’s financial instruments will significantly fluctuate due to changes in foreign exchange rates. The Company is exposed to this risk on advances to joint ventures denominated in A$ and C$. The Company is further exposed to this risk through subsidiaries operating in Israel and the U.S. as the Company’s functional currency is in Canadian dollars. The Company does not currently use foreign exchange contracts to hedge its exposure to currency rate risk. As such, the Company’s financial position and financial results may be adversely affected by the unfavorable fluctuations in currency exchange rates. As of September 30, 2020, the Company had foreign currency gain (loss) on translation of $(35,654) (September 30, 2019 – $9,424). A 10% change in the exchange rates for the U.S. dollar would affect the carrying value of net assets by approximately $176,449 as of September 30, 2020 (December 31, 2019 –$174,902).

Fair Value Measurement

9 Months Ended

Sep. 30, 2020

Fair Value Disclosures [Abstract]

Fair Value Measurement

The Company complies with ASC 820, Fair Value Measurements, for its financial assets and liabilities that are re-measured and reported at fair value at each reporting period, and non-financial assets and liabilities that are re-measured and reported at fair value at least annually. In general, fair values are determined by:

•Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities.

•Level 2 inputs utilize data points that are observable such as quoted prices, interest rates and yield curves.

•Level 3 inputs are unobservable data points for the asset or liability, and includes situations where there is little, if any, market activity for the asset or liability.

The following tables present information about the Company’s assets that are measured at fair value on a recurring basis as of September 30, 2020 and December 31, 2019 and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value.


September 30, 2020	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	1,097,846	$	—	$	—	$	1,097,846
Short-term investments	202,883		—		—		202,883
Derivative liabilities	—		—		102,655		102,655


December 31, 2019	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	1,199,693	$	—	$	—	$	1,199,693
Short-term investments	306,347		—		—		306,347
Derivative liabilities	—		—		297,160		297,160

There were no transfers between categories during the periods presented.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Supplementary Cash Flow Information

9 Months Ended

Sep. 30, 2020

Supplemental Cash Flow Elements [Abstract]

Supplementary Cash Flow Information

The net changes in non-cash working capital items are as follows:


	For the nine months ended September 30,
	2020		2019
Accounts receivable	$	(1,448)	$	(1,991)
Other receivables	(3,169)		(3,315)
Prepaids and other assets	(1,137)		(5,930)
Current portion of loans receivable	—		(4,607)
Inventory, net	(18,316)		(33,903)
Accounts payable and other liabilities	3,711		23,676

Cumulative effect from foreign exchange	(8,764)		—
Add back: net working capital assumed on acquisition	—		972
Total	$	(29,123)	$	(25,098)

Held-For-Sale Assets and Discontinued Operations

9 Months Ended

Sep. 30, 2020

Discontinued Operations and Disposal Groups [Abstract]

Held-For-Sale Assets and Discontinued Operations

During the three months ended September 30, 2020, the Company advanced its plans for the sale and disposal of substantially all of the assets of OGBC.

As a result, OGBC’s results of operations have been reclassified as discontinued operations in the accompanying condensed consolidated financial statements. Accordingly, the assets and liabilities of OGBC are separately reported as assets and liabilities “held-for-sale” as of September 30, 2020 on the consolidated balance sheet. For comparative purposes, amounts in the prior periods have been reclassified to conform to current year presentation, as disclosed in Note 2(e). The Company recorded $919 as a valuation allowance upon reclassification of assets as held-for-sale on OGBC for the three and nine months ended September 30, 2020.

The following table summarizes the financial information for discontinued operations:


	Three months ended September 30,			Nine months ended September 30,
		2020			2019		2020		2019
Consolidated statements of net income (loss) and comprehensive income (loss)
OGBC income from discontinued operations, net of income taxes		$	(473)		$	(36)	$	(519)	$	(63)

As of

September 30, 2020

December 31, 2019

Consolidated balance sheets

Long-term assets classified as discontinued operations

2,066

3,248

Non-monetary Transactions	9 Months Ended
Non-monetary Transactions	Sep. 30, 2020
Nonmonetary Transactions [Abstract]
Non-monetary Transactions	Non-monetary Transactions During the nine months ended September 30, 2020, the Company had no non-monetary transactions. On March 28, 2019, the Company entered into two transactions to simultaneously purchase and sell inventory to a third party. The Company purchased cannabis resin from the third party and in turn sold cannabis dry flower to the third party. The transactions involved the exchange of work in progress inventory and were accounted for at the carrying value of inventory transferred by the Company, which equaled the value of the cannabis resin received. No revenue was recognized as a result of this transaction and no gain or loss was recognized in the condensed consolidated statements of net income (loss) and comprehensive income (loss). In September 2019, the Company entered into three transactions to simultaneously purchase and sell inventory to a third party. The Company purchased cannabis resin and cannabis tincture oil and in turn sold cannabis dry flower to the third party. The transactions involved the exchange of work in progress inventory and were accounted for in accordance with ASC 845 Non-monetary transactions at the carrying value of inventory transferred by the Company. $2,300 was recognized in revenue as a result of this transaction and no gain or loss was recognized in the consolidated statements of net income (loss) and comprehensive income (loss).

Summary of Significant Accounting Policies and Changes in Accounting Policy (Policies)

9 Months Ended

Sep. 30, 2020

Accounting Policies [Abstract]

Basis of presentation

Basis of consolidation

Basis of consolidationThe accompanying condensed consolidated financial statements include the accounts of the Company, and all entities in which the Company has a controlling voting interest and/or is the primary beneficiary of a variable interest as of and for the period presented. In the condensed consolidated statements of net income (loss) and comprehensive income (loss), the net income (loss) and comprehensive income (loss) are attributed to the equity holders of the Company and to the non-controlling interests. Non-controlling interests in the equity of Cronos Israel are presented separately in the shareholders’ equity (deficit) section of the condensed consolidated balance sheets and condensed consolidated statements of changes in equity (deficit). All intercompany transactions and balances are eliminated upon consolidation.

Goodwill and indefinite life intangible assets

Goodwill and indefinite life intangible assetsGoodwill and indefinite life intangible assets are reviewed for impairment annually or more frequently when events or changes in circumstances indicate that fair value of the reporting unit has been reduced to less than its carrying value. The Company performs an impairment test annually in the fourth quarter by comparing the fair value of the reporting unit with its carrying amount, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, goodwill is not considered to be impaired. An impairment charge would be recognized for the amount by which the carrying amount exceeds the reporting unit’s fair value. The Company determined that it has two reporting units: the U.S. reporting unit and the Rest of World reporting unit.

Definite life intangible assets

Intangible assets with finite useful lives are amortized over their estimated useful lives using the following methods and rates:


	Method	Rate
Software	Straight-line	5 years
Enterprise resource planning (“ERP”) system	Straight-line	5 years
Health Canada licenses	Straight-line	Useful life of corresponding facilities
Israeli codes(i)	Straight-line	Useful life of corresponding facilities

Assets held for sale and discontinued operations

periods presented in this Quarterly Report. OGBC is no longer included in the segment reporting following the reclassification to discontinued operations.

New accounting pronouncements

New Accounting Pronouncements

(a)Adoption of new accounting pronouncements

On January 1, 2020, the Company adopted ASU No. 2018-13, Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (Topic 820) (“ASU No. 2018-13”). ASU No. 2018-13 adds, modifies, and removes certain fair value measurement disclosure requirements. The adoption of this standard was applied prospectively and did not have a material impact on the Company’s condensed consolidated financial statements.

On January 1, 2020, the Company adopted ASU No. 2018-15, Intangibles – Goodwill and Other Internal-use-software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU No. 2018-15”). ASU No. 2018-15 amends current guidance to align the accounting for costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing costs associated with developing or obtaining internal-use software. The guidance in ASU No. 2018-15 is effective for annual and interim periods beginning after December 15, 2019, with early adoption permitted. The adoption of this standard was applied prospectively and did not have a material impact on the Company’s condensed consolidated financial statements.

On January 1, 2020, the Company adopted ASU No. 2017-04, Intangibles – Goodwill and Other (Topic 350) – Simplifying the Test for Goodwill Impairment (“ASU No. 2017-04”). ASU No. 2017-04 eliminates step 2 from the goodwill impairment test and instead requires an entity to measure the impairment of goodwill assigned to a reporting unit if the carrying value of assets and liabilities assigned to the reporting unit, including goodwill, exceeds the reporting unit’s fair value. The guidance in ASU No. 2017-04 is effective for annual and interim goodwill tests completed by the Company beginning on January 1, 2020. The adoption of this standard was applied prospectively and the Company follows a one-step model for goodwill impairment.

(b)New accounting pronouncements not yet adopted

In January 2020, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2020-01, Investments-Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) (“ASU No. 2020-01”). ASU No. 2020-01 clarifies the interaction of accounting for the transition into and out of the equity method. The new standard also clarifies the accounting for measuring certain purchased options and forward contracts to acquire investments. The guidance in ASU No. 2020-01 is effective for annual and interim periods beginning after December 15, 2020, with early adoption permitted. The Company is currently evaluating the effect of the adoption of ASU No. 2020-01, but anticipates that the adoption will not have a material impact on its condensed consolidated financial statements.

In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU No. 2019-12”). ASU No. 2019-12 eliminates certain exceptions and simplifies the application of U.S. GAAP-related changes in enacted tax laws or rates and employee stock option plans. ASU No. 2019-12 is effective for annual and interim periods beginning after December 15, 2020. Early adoption is permitted. The Company is currently evaluating the effect of the adoption of ASU No. 2019-12, but anticipates that the adoption will not have a material impact on its condensed consolidated financial statements.

In August 2020, the FASB issued ASU 2020-06, Debt –Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging –Contracts in Entity’s Own Equity (Subtopic 815–40) (“ASU No. 2020-06”). ASU No. 2020-06 simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity’s own equity. ASU No 2020-06 is part of the FASB’s simplification initiative, which aims to reduce unnecessary complexity in U.S. GAAP. ASU No. 2020-6 is effective for fiscal years beginning after December 15, 2021, and interim

periods within those fiscal years. The Company is currently evaluating the impact ASU No. 2020-06 will have on its financial statements

Summary of Significant Accounting Policies and Changes in Accounting Policy (Tables)

9 Months Ended

Sep. 30, 2020

Accounting Policies [Abstract]

Schedule of Consolidated Entities

The Company consolidates the financial results of the following entities, which the Company controls:

Subsidiaries

Jurisdiction of incorporation

Incorporation date

Ownership interest (ii)

Cronos Israel G.S. Cultivation Ltd. (i)

Israel

February 4, 2018

70%

Cronos Israel G.S. Manufacturing Ltd. (i)

Israel

September 4, 2018

90%

Cronos Israel G.S. Store Ltd. (i)

Israel

June 28, 2018

90%

Cronos Israel G.S. Pharmacy Ltd. (i)

Israel

February 15, 2018

90%

(i) These Israeli entities are collectively referred to as “Cronos Israel.”

(ii) “Ownership interest” is defined as the proportionate share of net income to which the Company is entitled; equity interest may differ from ownership interest.

Schedule of Finite-Lived Intangible Assets

Intangible assets with finite useful lives are amortized over their estimated useful lives using the following methods and rates:


	Method	Rate
Software	Straight-line	5 years
Enterprise resource planning (“ERP”) system	Straight-line	5 years
Health Canada licenses	Straight-line	Useful life of corresponding facilities
Israeli codes(i)	Straight-line	Useful life of corresponding facilities

Intangible assets are comprised of the following items:


	Weighted average amortization period (in years)	As of September 30, 2020
		Cost		Accumulated amortization		Impairment charges		Net
Software	5	$	575	$	(234)	$	—	$	341
ERP system	5	2,851		(130)		—		2,721
Health Canada licenses	17	7,211		(1,102)				6,109
Lord Jones™ brand	N/A	64,000		—		(5,000)		59,000
Trademarks	N/A	146		—		—		146
Israeli codes(i)	25	300		(13)		—		287
		$	75,083	$	(1,479)	$	(5,000)	$	68,604

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.


	Weighted average amortization period (in years)	As of December 31, 2019
		Cost		Accumulated amortization		Net
Software	5	$	541	$	(202)	$	339

Health Canada licenses	17	7,387		(821)		6,566
Lord Jones™ brand	N/A	64,000		—		64,000
Trademarks	N/A	36		—		36
Israeli codes(i)	25	298		(4)		294
		$	72,262	$	(1,027)	$	71,235

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.

Summary of Financial Information for Discontinued Operations


	As of December 31, 2019
	As previously disclosed		Held-for-sale adjustment		Adjusted balance
Property, plant and equipment	$	161,809	$	(1,861)	$	159,948
Intangible assets	72,320		(1,085)		71,235
Goodwill	214,794		(302)		214,492


	Three months ended September 30, 2019						Nine months ended September 30, 2019
	As previously disclosed		Held-for-sale adjustment		Adjusted balance		As previously disclosed		Held-for-sale adjustment		Adjusted balance
Operating expenses	$	27,597	$	(36)	$	27,561	$	60,126	$	(76)	$	60,050
Other income (loss)	634,920		—		634,920		1,161,677		(13)		1,161,664
Net income (loss) from continuing operations	604,128		36		604,164		1,104,004		63		1,104,067

The following table summarizes the financial information for discontinued operations:


	Three months ended September 30,			Nine months ended September 30,
		2020			2019		2020		2019
Consolidated statements of net income (loss) and comprehensive income (loss)
OGBC income from discontinued operations, net of income taxes		$	(473)		$	(36)	$	(519)	$	(63)

As of

September 30, 2020

December 31, 2019

Consolidated balance sheets

Long-term assets classified as discontinued operations

2,066

3,248

Schedule of Prior Period Adjustments

However, the Company is revising the previously presented September 30, 2019 diluted earnings (loss) per share and adjustment for gain (loss) on revaluation of derivative liabilities, as follows:


	Three months ended September 30, 2019
	As previously disclosed		Adjusted
Diluted earnings (loss) per share	$	0.42	$	1.62
Adjustment for gain (loss) on revaluation of derivative liabilities	(488,041)		(6,952)

- Definition

Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component.

+ References

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Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
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Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
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-Topic 205
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Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
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-Topic 205
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Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
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-URI http://asc.fasb.org/extlink&oid=109222650&loc=d3e1361-107760

Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
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Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 13: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
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-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721663-107760

+ Details

Inventory, net (Tables)

9 Months Ended

Sep. 30, 2020

Inventory Disclosure [Abstract]

Schedule of Inventory

Inventory is comprised of the following items:


	As of
	September 30, 2020		December 31, 2019
Raw materials	$	10,214	$	2,469
Work-in-progress – dry cannabis	25,799		11,538
Work-in-progress – cannabis extracts	13,436		17,975
Finished goods – dry cannabis	4,514		1,798
Finished goods – cannabis extracts	2,067		2,624
Supplies and consumables	329		1,639

Total	$	56,359	$	38,043

Investments and Advances to Joint Ventures (Tables)

9 Months Ended

Sep. 30, 2020

Equity Method Investments and Joint Ventures [Abstract]

Schedule of Equity Method Investments

Net investment in equity accounted investees

A reconciliation of the carrying amount of the investments in associates and joint ventures is as follows:


		Carrying Amount
	Ownership %	September 30, 2020		December 31, 2019

Cronos Australia(i)	31%	$	—	$	(346)
Cronos GrowCo(ii)	50%	19,059		1,501
MedMen Canada	50%	—		—
Natuera	50%	—		(598)

		$	19,059	$	557

The Company’s share of net earnings (losses) from equity investments accounted for under the equity method of accounting:


	For the three months ended September 30,				For the nine months ended September 30,
	2020		2019		2020		2019

Whistler Medicinal Marijuana Company (“Whistler”)	$	—	$	—	$	—	$	29
Cronos Australia(i)	(57)		(251)		(292)		(892)
Cronos GrowCo	(401)		(60)		(902)		(87)
MedMen Canada	—		32		—		36
Natuera(ii)	(869)		(286)		(2,099)		(590)

	$	(1,327)	$	(565)	$	(3,293)	$	(1,504)

(ii) The Company’s share of accumulated net losses in excess of its equity investment in Natuera has been applied as a loss allowance on the loan receivable. See Note 6(b) and Note 10.

Schedule of Advances to Joint Ventures

Advances to joint venture


	MedMen Canada(i)		Cronos GrowCo(ii)		Cronos Australia(iii)		Natuera		Total
As of January 1, 2020	$	471	$	18,966	$	—	$	—	$	19,437

Transfer to investments in equity accounted investees(ii)	—		(18,505)		—		—		(18,505)



Interest on advances	—		—		35		—		35
Advances to joint ventures recovered from (applied to) carrying amount of investments	—		—		(36)		—		(36)
Effect from foreign exchange	(10)		(461)		1		—		(470)
As of September 30, 2020	$	461	$	—	$	—	$	—	$	461


	MedMen Canada(i)		Cronos GrowCo(ii)		Cronos Australia(iii)		Natuera		Total
As of January 1, 2019	$	1,244	$	2,970	$	475	$	—	$	4,689
Advances (repayment)	(852)		15,494		274		219		15,135
Advances to joint ventures recovered from (applied to) carrying amount of investments	35		22		(779)		(224)		(946)
Effect from foreign exchange	44		480		30		5		559
As of December 31, 2019	$	471	$	18,966	$	—	$	—	$	19,437

(i) Advance is unsecured, non-interest bearing, and there are no terms of repayment.

Accumulated Other Comprehensive Income (Loss) (Tables)

9 Months Ended

Sep. 30, 2020

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss)

The following are continuity schedules of accumulated other comprehensive income (loss):


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Net unrealized gain (loss) on revaluation and disposal of other investments
Balance beginning of period	$	5	$	5	$	5	$	5



Balance as of September 30	$	5	$	5	$	5	$	5

Net foreign exchange gain (loss) on translation
Balance beginning of period	$	(33,975)	$	11,968	$	27,833	$	(9,875)
Net unrealized (loss) gain	26,150		(12,414)		(35,658)		9,429
Balance as of September 30	(7,825)		(446)		(7,825)		(446)
Total accumulated other comprehensive income (loss)	$	(7,820)	$	(441)	$	(7,820)	$	(441)

Loans Receivable, net (Tables)

9 Months Ended

Sep. 30, 2020

Receivables [Abstract]

Schedule of Loan Receivable


	As of
	September 30, 2020		December 31, 2019
Current portion
Natuera Series A loan(i)	$	5,210	$	4,575
GrowCo Credit Facility(ii)	2,254		—
Add: Accrued interest	317		89
Total current portion of loans receivable	7,781		4,664
Long term portion
GrowCo Credit Facility(ii)	60,408		31,678
Mucci Promissory Note(iii)	12,648		12,587
Cannasoul Collaboration loan(iv)	1,187		—
Add: Accrued interest	1,905		702
Total long-term portion of loans receivable	76,148		44,967
Total loans receivable	$	83,929	$	49,631

For the nine months ended September 30, 2020, a current expected credit loss allowance of $1,317 was recorded against the GrowCo Facility.

For the nine months ended September 30, 2020, a current expected credit loss allowance of $258 has been recorded against the Mucci loan.

For the nine months ended September 30, 2020, a current expected credit loss allowance of $25 has been recorded against the Cannasoul Collaboration loan.

Derivative Liabilities (Tables)

9 Months Ended

Sep. 30, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Reconciliation of Carrying Amounts

A reconciliation of the carrying amounts of the derivative liability is presented below:


	As of July 1, 2020		(Gain) / loss on revaluation		Exercise of rights		Effect from foreign exchange		As of September 30, 2020
(a) Altria Warrant	$	165,958	$	(82,495)	$	—	$	2,374	$	85,837
(b) Pre-emptive Rights	16,180		(8,702)		—		143		7,621
(c) Top-up Rights	23,576		(14,110)		(680)		411		9,197
	$	205,714	$	(105,307)	$	(680)	$	2,928	$	102,655


	As of January 1, 2020		(Gain) / loss on revaluation		Exercise of rights		Effect from foreign exchange		As of September 30, 2020
(a) Altria Warrant	$	234,428	$	(140,547)	$	—	$	(8,044)	$	85,837
(b) Pre-emptive Rights	12,787		(4,777)		—		(389)		7,621
(c) Top-up Rights	49,945		(37,471)		(1,407)		(1,870)		9,197
	$	297,160	$	(182,795)	$	(1,407)	$	(10,303)	$	102,655

Schedule of Fair Values of Derivative Liabilities

The fair values of the derivative liabilities were determined using the Black-Scholes pricing model as of September 30, 2020 and December 31, 2019 applying the following inputs:


	As of September 30, 2020			As of December 31, 2019
	Altria Warrant	Pre-emptive Rights	Top-up Rights	Altria Warrant	Pre-emptive Rights	Top-up Rights
Share price at valuation date (per share in C$)	$6.69	$6.69	$6.69	$9.97	$9.97	$9.97
Subscription price (per share in C$)	$19.00	$16.25	$16.25	$19.00	$16.25	$16.25
Weighted average risk-free interest rate (i)	0.25%	0.24%	0.20%	1.69%	1.73%	1.71%
Weighted average expected life (in years) (ii)	2.43	1.75	1.13	3.18	1.25	1.66
Expected annualized volatility (iii)	81%	81%	81%	82%	82%	82%
Expected dividend yield	—%	—%	—%	—%	—%	—%

(iii) Volatility was based on an equally weighted blended historical volatility level of the underlying equity securities of the Company and peer companies.

Schedule of Sensitivity Analysis


	Decrease as of September 30, 2020						Decrease as of December 31, 2019
	Altria Warrant		Pre-emptive Rights		Top-up Rights		Altria Warrant		Pre-emptive Rights		Top-up Rights
Share price	$	16,133	$	1,598	$	2,196	$	36,436	$	2,743	$	9,577
Weighted average expected life	9,996		1,304		1,999		17,471		2,366		2,178
Expected annualized volatility	19,188		1,737		2,347		33,343		2,180		7,714

Property, Plant and Equipment (Tables)

9 Months Ended

Sep. 30, 2020

Property, Plant and Equipment [Abstract]

Schedule of Property, Plant & Equipment, Useful Lives

Property, plant and equipment, net consisted of the following:


	As of
		September 30, 2020		December 31, 2019
Cost
Land		$	3,037		$	3,071
Building		148,112			149,690
Furniture and equipment		17,161			10,079
Computer equipment		669			526
Leasehold improvements		3,400			1,758
Construction in progress		14,267			3,569
Less: accumulated depreciation		(15,242)			(8,745)

Total		$	171,404		$	159,948

Intangible Assets and Goodwill (Tables)

9 Months Ended

Sep. 30, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Finite-Lived Intangible Assets

Intangible assets with finite useful lives are amortized over their estimated useful lives using the following methods and rates:


	Method	Rate
Software	Straight-line	5 years
Enterprise resource planning (“ERP”) system	Straight-line	5 years
Health Canada licenses	Straight-line	Useful life of corresponding facilities
Israeli codes(i)	Straight-line	Useful life of corresponding facilities

Intangible assets are comprised of the following items:


	Weighted average amortization period (in years)	As of September 30, 2020
		Cost		Accumulated amortization		Impairment charges		Net
Software	5	$	575	$	(234)	$	—	$	341
ERP system	5	2,851		(130)		—		2,721
Health Canada licenses	17	7,211		(1,102)				6,109
Lord Jones™ brand	N/A	64,000		—		(5,000)		59,000
Trademarks	N/A	146		—		—		146
Israeli codes(i)	25	300		(13)		—		287
		$	75,083	$	(1,479)	$	(5,000)	$	68,604

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.


	Weighted average amortization period (in years)	As of December 31, 2019
		Cost		Accumulated amortization		Net
Software	5	$	541	$	(202)	$	339

Health Canada licenses	17	7,387		(821)		6,566
Lord Jones™ brand	N/A	64,000		—		64,000
Trademarks	N/A	36		—		36
Israeli codes(i)	25	298		(4)		294
		$	72,262	$	(1,027)	$	71,235

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.

Schedule of Indefinite-Lived Intangible Assets

Intangible assets are comprised of the following items:


	Weighted average amortization period (in years)	As of September 30, 2020
		Cost		Accumulated amortization		Impairment charges		Net
Software	5	$	575	$	(234)	$	—	$	341
ERP system	5	2,851		(130)		—		2,721
Health Canada licenses	17	7,211		(1,102)				6,109
Lord Jones™ brand	N/A	64,000		—		(5,000)		59,000
Trademarks	N/A	146		—		—		146
Israeli codes(i)	25	300		(13)		—		287
		$	75,083	$	(1,479)	$	(5,000)	$	68,604

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.


	Weighted average amortization period (in years)	As of December 31, 2019
		Cost		Accumulated amortization		Net
Software	5	$	541	$	(202)	$	339

Health Canada licenses	17	7,387		(821)		6,566
Lord Jones™ brand	N/A	64,000		—		64,000
Trademarks	N/A	36		—		36
Israeli codes(i)	25	298		(4)		294
		$	72,262	$	(1,027)	$	71,235

(i)The Israeli codes were transferred by non-controlling interests to Cronos Israel in exchange for their equity interests in the Cronos Israel entities specified above.

Schedule of Goodwill


	As of December 31, 2019		Additions		Impairment charges		Effect of foreign exchange		As of September 30, 2020
Peace Naturals	1,078		—		—		(33)		1,045
Redwood	213,414		—		(35,000)		—		178,414
	$	214,492	$	—	$	(35,000)	$	(33)	$	179,459

General and Administrative Expenses (Tables)

9 Months Ended

Sep. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of General and Administrative Expenses

General and administrative expense are comprised of the following items:


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Salaries and wages	$	4,611	$	7,789	$	18,412	$	13,137
Professional and consulting	4,295		4,694		13,144		11,948
Office and general	4,449		1,643		11,064		7,166

Review costs related to restatement of 2019 interim financial statements(i)	958		—		8,824		—
Other	4,547		2,076		9,604		2,736
Total	$	18,860	$	16,202	$	61,048	$	34,987

Share-based Payments (Tables)

9 Months Ended

Sep. 30, 2020

Share-based Payment Arrangement [Abstract]

Summary of Changes in Warrants and DSUs

The following is a summary of the changes in warrants during the nine months ended September 30, 2020 and 2019:


	Weighted average exercise price (C$)		Number of warrants
Balance as of January 1, 2020	$	0.26	18,066,662
Exercise of warrants	0.27		(5,626,410)

Balance as of September 30, 2020	$	0.25	12,440,252

Balance as of January 1, 2019	$	0.26	25,457,623
Exercise of warrants	0.26		(7,390,961)

Balance as of September 30, 2019	$	0.26	18,066,662

The following is a summary of the changes in DSUs from January 1, 2020 to September 30, 2020:


	Number of DSUs	Financial liability
Balance as of January 1, 2020	33,397	$	255
Granting and vesting of DSUs	58,380	338
Liabilities settled	(8,484)	(46)
Loss (gain) on revaluation	—	(128)
Balance as of September 30, 2020	83,293	$	419

The following is a summary of the changes in DSUs from January 1, 2019 to September 30, 2019:


	Number of DSUs	Financial liability
Balance as of January 1, 2019	—	$	—
Granting and vesting of DSUs	33,937	454

Loss (gain) on revaluation	—	(147)
Balance as of September 30, 2019	33,937	$	307

Summary of Outstanding Warrants

As of September 30, 2020, the Company had outstanding warrants as follows. For a description of the Altria Warrant, see Note 11.


Grant date	Expiry date	Weighted average exercise price (C$)		Number of warrants
October 8 – 28, 2015	October 8 – 28, 2020	$	0.31	452,903
May 13 – 27, 2016	May 13 – 27, 2021	0.25		11,987,349
As of September 30, 2020		$	0.25	12,440,252

Summary of the Changes in Options

The following is a summary of the changes during the nine months ended September 30, 2020 and 2019:


	Weighted average exercise price (C$)		Number of options	Weighted average remaining contractual term (years)
Balance as of January 1, 2020	$	4.84	14,149,502	2.56
Issuance of options(i)	6.96		2,000,000
Exercise of options	2.04		(1,841,863)
Cancellation, forfeiture and expiry of options	15.06		(222,433)
Balance as of September 30, 2020	$	5.34	14,085,206	2.54
Exercisable as of September 30, 2020	$	3.56	9,381,601	1.57

Balance as of January 1, 2019	$	2.99	12,902,995	3.35
Issuance of options	20.08		1,534,162
Exercise of options	3.72		(254,199)
Cancellation, forfeiture and expiry of options	—		(5,083)
Balance as of September 30, 2019	$	4.83	14,177,875	2.81
Exercisable as of September 30, 2019	$	2.66	7,442,390	2.47

Summary of Fair Value of Options Issued

The fair value of the options issued was determined using the Black-Scholes option pricing model, using the following inputs:


	For the nine months ended September 30,
	2020	2019
Share price at grant date (per share)	C$6.96	C$15.34 - C$24.75
Exercise price (per option)	C$6.96	C$15.34 - C$24.75
Risk-free interest rate	0.43%	1.39% - 1.62%
Expected life of options (in years)(i)	5	5
Expected annualized volatility	91%	89%
Expected dividend yield	—%	—%
Weighted average Black-Scholes value at grant date (per option)	C$4.84	C$10.6 - C$15.91
Forfeiture rate	—%	—%

Summary of Restricted Share Units Activity

The following is a summary of the changes in RSUs from January 1, 2020 to September 30, 2020:


	Number of RSUs	Weighted average grant date fair value (C$)
Balance as of January 1, 2020	732,972	$	15.34
Granted(i)	814,874	7.32
Vested and issued(ii)	(732,972)	15.34
Cancellation and forfeitures	(9,497)	7.52
Balance as of September 30, 2020	805,377	$	7.32

The following is a summary of the changes in RSUs from January 1, 2019 to September 30, 2019:


	Number of RSUs	Weighted average grant date fair value (C$)
Balance as of January 1, 2019	—	$	—
Granted(i)	732,972	15.34
Balance as of September 30, 2019	732,972	$	15.34

Earnings (Loss) Per Share (Tables)

9 Months Ended

Sep. 30, 2020

Earnings Per Share [Abstract]

Schedule of Earnings (Loss) Per Share

Basic and diluted earnings (loss) per share from continuing operations are calculated using the following numerators and denominators:


	For the three months ended September 30,				For the nine months ended September 30,
	2020		2019		2020		2019
Basic earnings per share computation
Net income (loss) attributable to common shareholders of Cronos Group	$	69,506	$	604,446	$	38,615	$	1,104,564
Weighted average number of common shares outstanding	350,288,783		338,957,949		349,397,156		297,964,058
Basic earnings per share(i)	$	0.20	$	1.78	$	0.11	$	3.71
Diluted earnings per share computation
Net income (loss) used in the computation of basic earnings per share	$	69,506	$	604,446	$	38,615	$	1,104,564
Adjustment for gain (loss) on revaluation of derivative liabilities	(680)		(6,952)		(1,407)		(798,799)
Net income (loss) used in the computation of diluted income per share	$	68,826	$	597,494	$	37,208	$	305,765

Weighted average number of common shares outstanding used in the computation of basic earnings per share	350,288,783		338,957,949		349,397,156		297,964,058
Dilutive effect of warrants	12,514,864		17,792,227		17,126,222		20,080,244
Dilutive effect of stock options	6,688,620		10,435,804		7,992,139		11,030,736
Dilutive effect of RSUs	126,753		732,972		215,934		732,972
Dilutive effect of Altria Warrant	—		—		—		1,833,853
Dilutive effect of Top-up Rights – exercised and exercisable fixed price	—		1,349,720		—		1,976,828
Weighted average number of common shares for computation of diluted income (loss) per share	369,619,020		369,268,672		374,731.451		333,618,691
Diluted earnings per share(i)	$	0.19	$	1.62	$	0.10	$	0.92

(i) Basic and dilutive earnings per share from discontinued operations were $0.00 for the three and nine months ended September 30, 2020 and 2019.

Schedule of Antidilutive Securities Excluded from Computation of Diluted Shares Outstanding


	Three months ended September 30,		Nine months ended September 30,
	2020	2019	2020	2019
Ginkgo equity milestones	14,674,904	14,674,904	14,674,904	14,674,904
Pre-emptive Rights	12,006,740	12,006,740	12,006,740	12,006,740
Top-up Rights – fixed price	22,551,531	25,126,670	22,551,531	25,126,670
Top-up Rights – market price	3,065,570	1,255,223	3,065,570	1,255,223
Altria Warrant	79,051,981	76,392,046	79,051,981	—
Stock options	2,017,176	1,346,902	1,571,134	51,830


Total anti-dilutive securities	133,367,902	130,802,485	132,921,860	53,115,367

Related Party Disclosures (Tables)

9 Months Ended

Sep. 30, 2020

Schedule of Related Party Transactions

The Company incurred the following expenses for consulting services from Altria Pinnacle LLC, a subsidiary of Altria (“Altria Pinnacle”):


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Altria Pinnacle – expense	$	160	$	1,772	$	1,113	$	1,772
Total	$	160	$	1,772	$	1,113	$	1,772

The following is a summary of amounts payable related to the consulting services with Altria Pinnacle:


	As of
	September 30, 2020		December 31, 2019
Altria Pinnacle – payable	$	5	$	1,152
Total	$	5	$	1,152

Segment Information (Tables)

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Schedule of Segment Data

Segment data was as follows for the three months ended September 30, 2020:


	Three months ended September 30, 2020
	United States		Rest of World		Corporate expenses		Total
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue
Cannabis flower	$	—	$	7,958	$	—	$	7,958
Cannabis extracts	1,639		1,504		—		3,143
Other	—		257		—		257
Net revenue	$	1,639	$	9,719	$	—	$	11,358

Share of loss from investments in equity accounted investees	$	—	$	1,327	$	—	$	1,327

Interest income	3		3,844		—		3,847
Interest expense	—		(66)		—		(66)
Interest income, net	$	3	$	3,778	$	—	$	3,781

Impairment loss on goodwill and intangible assets	$	—	$	—	$	—	$	—

Depreciation and amortization	35		851		—		886
Income tax expense	143		845		—		988
Income (loss) from discontinued operations	—		(473)		—		(473)
Net income (loss)	(14,004)		93,447		(10,979)		68,464

Segment data was as follows for the nine months ended September 30, 2020:


	Nine months ended September 30, 2020
	United States		Rest of World		Corporate expenses		Total
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue
Cannabis flower	$	—	$	16,373	$	—	$	16,373
Cannabis extracts	5,989		6,821		—		12,810
Other	—		490		—		490
Net revenue	$	5,989	$	23,684	$	—	$	29,673

Share of loss from investments in equity accounted investees	$	—	$	3,293	$	—	$	3,293

Interest income	16		15,406		—		15,422
Interest expense	—		(156)		—		(156)
Interest income, net	$	16	$	15,250	$	—	$	15,266

Impairment loss on goodwill and intangible assets	$	40,000	$	—	$	—	$	40,000

Depreciation and amortization	104		2,148		—		2,252
Income tax expense	143		845		—		988
Income (loss) from discontinued operations	—		(519)		—		(519)
Net income (loss)	(71,571)		132,704		(24,691)		36,442

Consolidated balance sheets
Total assets	$	251,835	$	369,621	$	1,297,473	$	1,918,929
Investments in equity accounted investees	—		19,059		—		19,059
Goodwill	178,414		1,045		—		179,459
Purchase of property, plant and equipment, net	294		21,040		—		21,334

Sources of net revenue for the three and nine months ended September 30, 2020 and 2019 were as follows:


	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Cannabis flower	$	7,958	$	4,266	$	16,373	$	12,187
Cannabis extracts	3,143		1,500		12,810		4,138
Other	257		19		490		117
Net revenue	$	11,358	$	5,785	$	29,673	$	16,442

Schedule of Revenue from External Customers by Geographic Areas

Net revenue attributed to a geographic region based on the location of the customer were as follows:


	Three months ended September 31,				Nine months ended September 31,
	2020		2019		2020		2019
Canada	$	9,205	$	5,093	$	22,712	$	15,416
United States	1,639		675		5,989		675
Other countries	514		17		972		351
Net revenue	$	11,358	$	5,785	$	29,673	$	16,442

Schedule of Long-lived Assets by Geographic Areas

Property, plant and equipment assets were physically located in the following geographic regions:


	As of September 30, 2020		As of December 31, 2019
Canada	$	146,292	$	139,160
United States	2,302		2,103
Other countries	22,810		18,685
Total	$	171,404	$	159,948

Fair Value Measurement (Tables)

9 Months Ended

Sep. 30, 2020

Fair Value Disclosures [Abstract]

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis


September 30, 2020	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	1,097,846	$	—	$	—	$	1,097,846
Short-term investments	202,883		—		—		202,883
Derivative liabilities	—		—		102,655		102,655


December 31, 2019	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	1,199,693	$	—	$	—	$	1,199,693
Short-term investments	306,347		—		—		306,347
Derivative liabilities	—		—		297,160		297,160

Supplementary Cash Flow Information (Tables)

9 Months Ended

Sep. 30, 2020

Supplemental Cash Flow Elements [Abstract]

Schedule of Net Changes in Non-Cash Working Capital

The net changes in non-cash working capital items are as follows:


	For the nine months ended September 30,
	2020		2019
Accounts receivable	$	(1,448)	$	(1,991)
Other receivables	(3,169)		(3,315)
Prepaids and other assets	(1,137)		(5,930)
Current portion of loans receivable	—		(4,607)
Inventory, net	(18,316)		(33,903)
Accounts payable and other liabilities	3,711		23,676

Cumulative effect from foreign exchange	(8,764)		—
Add back: net working capital assumed on acquisition	—		972
Total	$	(29,123)	$	(25,098)

Held-For-Sale Assets and Discontinued Operations (Tables)

9 Months Ended

Sep. 30, 2020

Discontinued Operations and Disposal Groups [Abstract]

Summary of Financial Information for Discontinued Operations


	As of December 31, 2019
	As previously disclosed		Held-for-sale adjustment		Adjusted balance
Property, plant and equipment	$	161,809	$	(1,861)	$	159,948
Intangible assets	72,320		(1,085)		71,235
Goodwill	214,794		(302)		214,492


	Three months ended September 30, 2019						Nine months ended September 30, 2019
	As previously disclosed		Held-for-sale adjustment		Adjusted balance		As previously disclosed		Held-for-sale adjustment		Adjusted balance
Operating expenses	$	27,597	$	(36)	$	27,561	$	60,126	$	(76)	$	60,050
Other income (loss)	634,920		—		634,920		1,161,677		(13)		1,161,664
Net income (loss) from continuing operations	604,128		36		604,164		1,104,004		63		1,104,067

The following table summarizes the financial information for discontinued operations:


	Three months ended September 30,			Nine months ended September 30,
		2020			2019		2020		2019
Consolidated statements of net income (loss) and comprehensive income (loss)
OGBC income from discontinued operations, net of income taxes		$	(473)		$	(36)	$	(519)	$	(63)

As of

September 30, 2020

December 31, 2019

Consolidated balance sheets

Long-term assets classified as discontinued operations

2,066

3,248

- Definition

+ References

+ Details

Background (Details)	Sep. 30, 2020 continent brand venture
Schedule of Equity Method Investments [Line Items]
Number of continents with international production and distribution \| continent	5
Number of adult-use brands	2
Number of hemp-derived cannabidiol personal care brands	3
Number of strategic joint ventures \| venture	4
Cronos Australia
Schedule of Equity Method Investments [Line Items]
Ownership percentage	31.00%

Summary of Significant Accounting Policies and Changes in Accounting Policy - Schedule of Consolidated Entities (Details)	9 Months Ended
	Sep. 30, 2020
Cronos Israel G.S. Cultivations Ltd.
Subsidiary or Equity Method Investee [Line Items]
Ownership interest	70.00%
Cronos Israel G.S. Manufacturing Ltd.
Subsidiary or Equity Method Investee [Line Items]
Ownership interest	90.00%
Cronos Israel G.S. Store Ltd.
Subsidiary or Equity Method Investee [Line Items]
Ownership interest	90.00%
Cronos Israel G.S. Pharmacies Ltd.
Subsidiary or Equity Method Investee [Line Items]
Ownership interest	90.00%

Summary of Significant Accounting Policies and Changes in Accounting Policy - Additional Information (Details) $ in Thousands	3 Months Ended				9 Months Ended
	Sep. 30, 2020 USD ($)	Jun. 30, 2020 USD ($)	Mar. 31, 2020 USD ($)	Sep. 30, 2019 USD ($) warrant	Sep. 30, 2020 USD ($) reportingUnit	Sep. 30, 2019 USD ($)
Accounting Policies [Abstract]
Number of reporting units for impairment testing \| reportingUnit					2
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income (loss)	$ 68,464			$ 604,128	$ 36,442	$ 1,104,004
Cronos Group, Inc. \| Altria Warrant
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Number of warrants issued \| warrant				1
Operating Segments \| Rest of World
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income (loss)	93,447				132,704
Corporate expenses
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income (loss)	(10,979)				$ (24,691)
Restatement Adjustment \| Operating Segments \| Rest of World
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income (loss)	4,626	$ 1,727	$ 2,899
Restatement Adjustment \| Corporate expenses
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income (loss)	$ (4,626)	$ (1,727)	$ (2,899)

Summary of Significant Accounting Policies and Changes in Accounting Policy - Finite-lived Intangibles (Details)	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019	Jun. 30, 2020
Software
Finite-Lived Intangible Assets [Line Items]
Amortization rate			0.50
Weighted average amortization period (in years)	5 years	5 years
ERP system
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (in years)	5 years

Summary of Significant Accounting Policies and Changes in Accounting Policy - Summary of Financial Information for Discontinued Operations (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Property, plant and equipment	$ 171,404		$ 171,404		$ 159,948
Intangible assets	68,604		68,604		71,235
Goodwill	179,459		179,459		214,492
Operating expenses	39,632	$ 27,561	110,002	$ 60,050
Other income (loss)	111,094	634,920	158,886	1,161,664
Net income (loss) from continuing operations	$ 68,937	604,164	$ 36,961	1,104,067
As previously disclosed
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Property, plant and equipment					161,809
Intangible assets					72,320
Goodwill					214,794
Operating expenses		27,597		60,126
Other income (loss)		634,920		1,161,677
Net income (loss) from continuing operations		604,128		1,104,004
Held-for-sale adjustment
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Property, plant and equipment					(1,861)
Intangible assets					(1,085)
Goodwill					$ (302)
Operating expenses		(36)		(76)
Other income (loss)		0		(13)
Net income (loss) from continuing operations		$ 36		$ 63

Summary of Significant Accounting Policies and Changes in Accounting Policy - Schedule of Prior Period Adjustments (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Diluted earnings (loss) per share (in dollars per share)	$ 0.19	$ 1.62	$ 0.10	$ 0.92
Adjustment for gain (loss) on revaluation of derivative liabilities	$ (680)	$ (6,952)	$ (1,407)	$ (798,799)
As previously disclosed
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Diluted earnings (loss) per share (in dollars per share)		$ 0.42
Adjustment for gain (loss) on revaluation of derivative liabilities		$ (488,041)

- Definition

The amount of net income (loss) for the period available to each share of common stock or common unit outstanding during the reporting period and to each share or unit that would have been outstanding assuming the issuance of common shares or units for all dilutive potential common shares or units outstanding during the reporting period.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 55
-Paragraph 52
-URI http://asc.fasb.org/extlink&oid=117327953&loc=d3e4984-109258

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=117326831&loc=d3e1252-109256

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-04(23))
-URI http://asc.fasb.org/extlink&oid=116637391&loc=SL114874048-224260

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=109234566&loc=d3e22694-107794

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 45
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=117326831&loc=d3e1337-109256

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(21))
-URI http://asc.fasb.org/extlink&oid=116634182&loc=SL114868664-224227

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 45
-Paragraph 60B
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=117326831&loc=SL5780133-109256

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04(19))
-URI http://asc.fasb.org/extlink&oid=116637232&loc=SL114874131-224263

+ Details

Revenues from Contracts with Customers (Details) - USD ($)
$ in Thousands

Sep. 30, 2020

Dec. 31, 2019

Revenue from Contract with Customer [Abstract]

Accounts receivable

^[1]

$ 6,086

$ 4,638

Current expected credit loss

$ 64

$ 136

[1]	Net of current expected credit loss allowance of $64 as of September 30, 2020 (December 31, 2019 – $136)

Inventory, net (Details) - USD ($)	3 Months Ended		9 Months Ended
Inventory, net (Details) - USD ($)	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Inventory [Line Items]
Raw materials	$ 10,214,000		$ 10,214,000		$ 2,469,000
Supplies and consumables	329,000		329,000		1,639,000
Inventory, net	56,359,000		56,359,000		38,043,000
Inventory write-down	0	$ 5,424,000	11,024,000	$ 5,424,000
Inventory reserve for obsolescence	1,403,000		1,403,000
Dry Cannabis
Inventory [Line Items]
Work-in-progress	25,799,000		25,799,000		11,538,000
Finished goods	4,514,000		4,514,000		1,798,000
Cannabis Extracts
Inventory [Line Items]
Work-in-progress	13,436,000		13,436,000		17,975,000
Finished goods	$ 2,067,000		$ 2,067,000		$ 2,624,000

Investments and Advances to Joint Ventures - Narrative (Details) ₪ in Thousands, $ in Thousands			9 Months Ended
	Jun. 14, 2018	Mar. 13, 2018	Sep. 30, 2020 USD ($)	Sep. 30, 2020 ILS (₪)
Cronos GrowCo \| Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Ownership percentage	50.00%
Natuera \| Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Ownership percentage			50.00%
MedMen Canada \| Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Ownership percentage		50.00%
Cannasoul \| Establishment of a Commercial Cannabis Analytical Testing Laboratory \| Variable Interest Entity, Primary Beneficiary
Variable Interest Entity [Line Items]
Collaboration agreement, amount of advances			$ 2,446	₪ 8,297
Collaboration agreement, term of agreement			2 years
Interest rate			3.50%	3.50%
Collaboration agreement, percentage of profits to be received			70.00%	70.00%
Collaboration agreement, profits to be received, maximum percentage of amounts advanced			150.00%	150.00%
Collaboration agreement, percentage of profits to be received, triggering event, subsequent to maximum percentage of amounts advanced being met			50.00%	50.00%
Maximum loss exposure				₪ 8,297
Minimum \| MedMen Canada \| Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
License term		20 years

Investments and Advances to Joint Ventures - Schedule of Equity Method Investments (Details) $ in Thousands								3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 25, 2020 USD ($)	Sep. 25, 2020 CAD ($)	Nov. 07, 2019	Nov. 06, 2019	Oct. 25, 2019 $ / shares shares	Jun. 14, 2018	Mar. 13, 2018	Sep. 30, 2020 USD ($)	Sep. 30, 2019 USD ($)	Sep. 30, 2020 USD ($)	Sep. 30, 2019 USD ($)	Dec. 31, 2019 USD ($)
Schedule of Equity Method Investments [Line Items]
Carrying Amount								$ 19,059,000		$ 19,059,000		$ 557,000
Advances to affiliates												15,135,000
Transfer to investments in equity accounted investees										18,505,000
Share of earnings (loss) from investments in equity accounted investees								(1,327,000)	$ (565,000)	(3,293,000)	$ (1,504,000)
IPO \| Cronos Australia
Schedule of Equity Method Investments [Line Items]
Sale of stock, number of shares issued in transaction (in shares) \| shares					40,000,000
Sale of stock, price per share (in aud per share) \| $ / shares					$ 0.50
Whistler
Schedule of Equity Method Investments [Line Items]
Share of earnings (loss) from investments in equity accounted investees								$ 0	0	$ 0	29,000
Cronos Australia
Schedule of Equity Method Investments [Line Items]
Ownership percentage								31.00%		31.00%
Carrying Amount								$ 0		$ 0		(346,000)
Advances to affiliates												274,000
Transfer to investments in equity accounted investees										0
Share of earnings (loss) from investments in equity accounted investees								(57,000)	(251,000)	(292,000)	(892,000)
Share of accumulated net losses in excess of its equity investment and advances								$ 512,000	0	$ 512,000	0
Cronos Australia \| Variable Interest Entity, Not Primary Beneficiary
Schedule of Equity Method Investments [Line Items]
Ownership percentage			31.00%	50.00%
Cronos GrowCo
Schedule of Equity Method Investments [Line Items]
Ownership percentage								50.00%		50.00%
Carrying Amount								$ 19,059,000		$ 19,059,000		1,501,000
Advances to affiliates	$ 37,932,000	$ 49,300										15,494,000
Transfer to investments in equity accounted investees	18,505,000	24,650								18,505,000
Share of earnings (loss) from investments in equity accounted investees								$ (401,000)	(60,000)	$ (902,000)	(87,000)
Cronos GrowCo \| Variable Interest Entity, Not Primary Beneficiary
Schedule of Equity Method Investments [Line Items]
Ownership percentage						50.00%
Cronos GrowCo \| Cronos Group Inc.
Schedule of Equity Method Investments [Line Items]
Advances to affiliates	$ 18,505,000	$ 24,650
Funding commitment percentage	0.50	0.50
Cronos GrowCo \| Mucci
Schedule of Equity Method Investments [Line Items]
Advances to affiliates	$ 18,505,000	$ 24,650
Funding commitment percentage	0.50	0.50
MedMen Canada
Schedule of Equity Method Investments [Line Items]
Ownership percentage								50.00%		50.00%
Carrying Amount								$ 0		$ 0		0
Advances to affiliates												(852,000)
Transfer to investments in equity accounted investees										0
Share of earnings (loss) from investments in equity accounted investees								$ 0	32,000	$ 0	36,000
MedMen Canada \| Variable Interest Entity, Not Primary Beneficiary
Schedule of Equity Method Investments [Line Items]
Ownership percentage							50.00%
Natuera
Schedule of Equity Method Investments [Line Items]
Ownership percentage								50.00%		50.00%
Carrying Amount								$ 0		$ 0		(598,000)
Advances to affiliates												$ 219,000
Transfer to investments in equity accounted investees										0
Share of earnings (loss) from investments in equity accounted investees								$ (869,000)	$ (286,000)	$ (2,099,000)	$ (590,000)
Natuera \| Variable Interest Entity, Not Primary Beneficiary
Schedule of Equity Method Investments [Line Items]
Ownership percentage										50.00%

Investments and Advances to Joint Ventures - Schedule of Advances to Joint Ventures (Details) $ in Thousands, $ in Thousands			9 Months Ended	12 Months Ended
	Sep. 25, 2020 USD ($)	Sep. 25, 2020 CAD ($)	Sep. 30, 2020 USD ($)	Dec. 31, 2019 USD ($)	Sep. 30, 2020 AUD ($)
Investments in and Advances to Affiliates, at Fair Value [Roll Forward]
Balance at beginning of period			$ 19,437	$ 4,689
Transfer to investments in equity accounted investees			(18,505)
Interest on advances			35
Advances (repayments)				15,135
Advances to joint ventures recovered from (applied to) carrying amount of investments			(36)	(946)
Effect from foreign exchange			(470)	559
Balance at end of period			461	19,437
MedMen Canada
Investments in and Advances to Affiliates, at Fair Value [Roll Forward]
Balance at beginning of period			471	1,244
Transfer to investments in equity accounted investees			0
Interest on advances			0
Advances (repayments)				(852)
Advances to joint ventures recovered from (applied to) carrying amount of investments			0	35
Effect from foreign exchange			(10)	44
Balance at end of period			461	471
Cronos GrowCo
Investments in and Advances to Affiliates, at Fair Value [Roll Forward]
Balance at beginning of period			18,966	2,970
Transfer to investments in equity accounted investees	$ (18,505)	$ (24,650)	(18,505)
Interest on advances			0
Advances (repayments)	$ 37,932	$ 49,300		15,494
Advances to joint ventures recovered from (applied to) carrying amount of investments			0	22
Effect from foreign exchange			(461)	480
Balance at end of period			0	18,966
Cronos Australia
Investments in and Advances to Affiliates, at Fair Value [Roll Forward]
Balance at beginning of period			0	475
Transfer to investments in equity accounted investees			0
Interest on advances			35
Advances (repayments)				274
Advances to joint ventures recovered from (applied to) carrying amount of investments			(36)	(779)
Effect from foreign exchange			1	30
Balance at end of period			0	0
Face amount					$ 1,500,000
Interest rate					12.00%
Additional interest rate if past due					2.00%
Natuera
Investments in and Advances to Affiliates, at Fair Value [Roll Forward]
Balance at beginning of period			0	0
Transfer to investments in equity accounted investees			0
Interest on advances			0
Advances (repayments)				219
Advances to joint ventures recovered from (applied to) carrying amount of investments			0	(224)
Effect from foreign exchange			0	5
Balance at end of period			$ 0	$ 0

Other Investments (Details) - Equity Securities $ in Thousands, $ in Thousands		3 Months Ended		9 Months Ended
	Mar. 04, 2019 shares	Sep. 30, 2020 USD ($) shares	Sep. 30, 2020 CAD ($) shares	Sep. 30, 2020 USD ($) shares	Sep. 30, 2020 CAD ($) shares	Sep. 30, 2019 USD ($) shares
Whistler
Debt and Equity Securities, FV-NI [Line Items]
Shares received (in shares)		402,561	402,561	980,662	980,662
Number of shares sold (in shares)	2,563	402,561	402,561	980,662	980,662
Proceeds from sale of equity securities, FV-NI		$ 3,974	$ 5,354	$ 4,743	$ 6,404
Shares sold, percentage of shares issued and outstanding	19.00%
Aurora
Debt and Equity Securities, FV-NI [Line Items]
Shares received (in shares)	2,524,341
Number of shares sold (in shares)						2,524,341
Proceeds from sale of equity securities, FV-NI \| $						$ 19,259
Canopy
Debt and Equity Securities, FV-NI [Line Items]
Number of shares sold (in shares)						11,062
Proceeds from sale of equity securities, FV-NI \| $						$ 355

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	$ 1,663,055	$ 921,058	$ 1,749,030	$ 148,549
Ending balance	1,764,487	1,617,264	1,764,487	1,617,264
Accumulated other comprehensive income (loss)
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(33,970)	11,973	27,838	(9,870)
Ending balance	(7,820)	(441)	(7,820)	(441)
Net unrealized gain (loss) on revaluation and disposal of other investments
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	5	5	5	5
Ending balance	5	5	5	5
Net foreign exchange gain (loss) on translation
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(33,975)	11,968	27,833	(9,875)
Net unrealized (loss) gain	26,150	(12,414)	(35,658)	9,429
Ending balance	$ (7,825)	$ (446)	$ (7,825)	$ (446)

Leases (Details)	9 Months Ended
Leases (Details)	Sep. 30, 2020 lease
Land, Buildings and Equipment
Lessee, Lease, Description [Line Items]
Operating lease, term	15 years
Operating lease, extension term (up to)	10 years
Building
Lessee, Lease, Description [Line Items]
Operating lease, number of contracts	2
Minimum \| Land, Buildings and Equipment
Lessee, Lease, Description [Line Items]
Operating lease, term	3 years
Maximum \| Land, Buildings and Equipment
Lessee, Lease, Description [Line Items]
Operating lease, term	6 years

Loans Receivable, net (Details) ₪ in Thousands			7 Months Ended		9 Months Ended
Loans Receivable, net (Details) ₪ in Thousands	Apr. 01, 2020 USD ($)	Jun. 28, 2019 USD ($)	Mar. 31, 2020 USD ($)	Mar. 31, 2020 CAD ($)	Sep. 30, 2020 USD ($)	Sep. 30, 2019 USD ($)	Sep. 30, 2020 ILS (₪)	Jul. 24, 2020 USD ($)	Apr. 01, 2020 ILS (₪)	Dec. 31, 2019 USD ($)	Sep. 27, 2019	Aug. 23, 2019 USD ($)	Aug. 23, 2019 CAD ($)	Jun. 28, 2019 CAD ($)
Current portion
Total current portion of loans receivable					$ 7,781,000					$ 4,664,000
Long term portion
Total long-term portion of loans receivable					76,148,000					44,967,000
Draw downs					37,000,000	$ 33,012,000
Establishment of a Commercial Cannabis Analytical Testing Laboratory \| Cannasoul \| Variable Interest Entity, Primary Beneficiary
Long term portion
Collaboration agreement, amount of advances					$ 2,446,000		₪ 8,297
Collaboration agreement, term of agreement					2 years
Interest rate					3.50%		3.50%
Mucci \| Cronos GrowCo
Long term portion
Ownership interest					50.00%		50.00%
Loans Receivable
Current portion
Add: Accrued interest					$ 317,000					89,000
Total current portion of loans receivable					7,781,000					4,664,000
Long term portion
Add: Accrued interest					1,905,000					702,000
Total long-term portion of loans receivable					76,148,000					44,967,000
Total loans receivable					83,929,000					49,631,000
NatuEra Series A Loan \| Loans Receivable
Current portion
Current portion of loans receivable, before accrued interest					5,210,000					4,575,000
Long term portion
Additional principal amount								$ 6,350,000
Total aggregate principal amount								$ 15,500,000
Funding commitment percentage								50.00%
Stated interest rate								5.67%
Allowance for credit loss					2,552,000
NatuEra Series A Loan \| Loans Receivable \| Natuera
Long term portion
Funding commitment percentage											50.00%
Cronos GrowCo Credit Facility \| Loans Receivable
Current portion
Current portion of loans receivable, before accrued interest					2,254,000					0
Long term portion
Long term portion of loans receivable, before accrued interest					60,408,000					31,678,000
Allowance for credit loss					1,317,000
Face amount												$ 75,140,000	$ 100,000,000
Draw downs			$ 63,981,000	$ 85,150,000
2645485 Ontario Inc. Mucci Promissory Note \| Loans Receivable
Long term portion
Long term portion of loans receivable, before accrued interest					12,648,000					12,587,000
Stated interest rate		3.95%												3.95%
Allowance for credit loss					258,000
Face amount		$ 12,285,000												$ 16,350,000
Due on demand, term		90 days
Due on demand, intended demand term, minimum		12 months
Cannasoul Collaboration Loan \| Loans Receivable
Long term portion
Long term portion of loans receivable, before accrued interest					1,187,000					$ 0
Cannasoul Collaboration Loan \| Loans Receivable \| Establishment of a Commercial Cannabis Analytical Testing Laboratory \| Cannasoul \| Variable Interest Entity, Primary Beneficiary
Long term portion
Allowance for credit loss					25,000
Collaboration agreement, amount of advances	$ 2,495,000								₪ 8,297
Collaboration agreement, term of agreement	2 years
Interest rate	3.50%								3.50%
Collaborative arrangement, installment received					$ 1,198,000		₪ 4,149

Derivative Liabilities - Narrative (Details) $ in Thousands		3 Months Ended		9 Months Ended	12 Months Ended
Derivative Liabilities - Narrative (Details) $ in Thousands	Mar. 08, 2019 day $ / shares shares	Sep. 30, 2020 USD ($) shares	Sep. 30, 2019 warrant	Sep. 30, 2020 USD ($) shares	Dec. 31, 2019 USD ($)
Derivative [Line Items]
Gain on revaluation		$ 105,307		$ 182,795
Altria Group, Inc. \| Cronos Group, Inc.
Derivative [Line Items]
Ownership percentage	45.00%
Altria Investment
Derivative [Line Items]
Shares issued (in shares) \| shares	149,831,154
Cronos Group, Inc. \| Altria Group, Inc.
Derivative [Line Items]
Ownership percentage, if warrant exercised	55.00%
Altria Investment
Derivative [Line Items]
Maximum additional subscription percentage	10.00%
Derivative liability, additional subscription (in shares) \| shares		79,100,000		79,100,000
Altria Warrant
Derivative [Line Items]
Exercise price (in dollars per share) \| $ / shares	$ 19.00
Gain on revaluation		$ 82,495		$ 140,547
Pre-emptive Rights
Derivative [Line Items]
Exercise price (in dollars per share) \| $ / shares	$ 16.25
Exercise rights, minimum ownership percentage	20.00%
Gain on revaluation		8,702		4,777
Top-up Rights
Derivative [Line Items]
Exercise price (in dollars per share) \| $ / shares	$ 16.25
Exercise rights, minimum ownership percentage	20.00%
Exercise price, volume-weighted average price, measurement period	10 days
Exercise price, volume-weighted average price, measurement period, days preceding exercise \| day	10
Derivative transaction costs					$ 22,355
Gain on revaluation		$ 14,110		$ 37,471
Altria Warrant \| Cronos Group, Inc.
Derivative [Line Items]
Number of warrants issued \| warrant			1

Derivative Liabilities - Schedule of Reconciliation of Carrying Amounts (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2020
Derivative Instruments [Roll Forward]
Beginning balance	$ 205,714	$ 297,160
(Gain) / loss on revaluation	(105,307)	(182,795)
Exercise of rights	(680)	(1,407)
Effect from foreign exchange	2,928	(10,303)
Ending balance	102,655	102,655
Altria Warrant
Derivative Instruments [Roll Forward]
Beginning balance	165,958	234,428
(Gain) / loss on revaluation	(82,495)	(140,547)
Exercise of rights	0	0
Effect from foreign exchange	2,374	(8,044)
Ending balance	85,837	85,837
Pre-emptive Rights
Derivative Instruments [Roll Forward]
Beginning balance	16,180	12,787
(Gain) / loss on revaluation	(8,702)	(4,777)
Exercise of rights	0	0
Effect from foreign exchange	143	(389)
Ending balance	7,621	7,621
Top-up Rights
Derivative Instruments [Roll Forward]
Beginning balance	23,576	49,945
(Gain) / loss on revaluation	(14,110)	(37,471)
Exercise of rights	(680)	(1,407)
Effect from foreign exchange	411	(1,870)
Ending balance	$ 9,197	$ 9,197

Derivative Liabilities - Schedule of Sensitivity Analysis (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Altria Warrant
Sensitivity Analysis, Impact of 10 Percent Decrease (Increase) on Net Income (Loss) [Abstract]
Share price	$ 16,133	$ 36,436
Weighted average expected life	9,996	17,471
Expected annualized volatility	19,188	33,343
Pre-emptive Rights
Sensitivity Analysis, Impact of 10 Percent Decrease (Increase) on Net Income (Loss) [Abstract]
Share price	1,598	2,743
Weighted average expected life	1,304	2,366
Expected annualized volatility	1,737	2,180
Top-up Rights
Sensitivity Analysis, Impact of 10 Percent Decrease (Increase) on Net Income (Loss) [Abstract]
Share price	2,196	9,577
Weighted average expected life	1,999	2,178
Expected annualized volatility	$ 2,347	$ 7,714

Property, Plant and Equipment (Details) - USD ($)	9 Months Ended
Property, Plant and Equipment (Details) - USD ($)	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Property, Plant and Equipment [Line Items]
Less: accumulated depreciation	$ (15,242,000)		$ (8,745,000)
Total	171,404,000		159,948,000
Depreciation expense included in costs of sales	1,935,000	$ 1,628,000
Depreciation expense included in operating expenses	1,682,000	577,000
Interest costs capitalized	0	$ 367,000
Land
Property, Plant and Equipment [Line Items]
Cost	3,037,000		3,071,000
Building
Property, Plant and Equipment [Line Items]
Cost	148,112,000		149,690,000
Furniture and equipment
Property, Plant and Equipment [Line Items]
Cost	17,161,000		10,079,000
Computer equipment
Property, Plant and Equipment [Line Items]
Cost	669,000		526,000
Leasehold improvements
Property, Plant and Equipment [Line Items]
Cost	3,400,000		1,758,000
Construction in progress
Property, Plant and Equipment [Line Items]
Cost	$ 14,267,000		$ 3,569,000

Intangible Assets and Goodwill - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Finite-Lived Intangible Assets [Line Items]
Goodwill, impairment loss			$ 35,000,000
Impairment loss on goodwill and intangible assets	$ 0	$ 0	40,000,000	$ 0
Amortization of intangible assets			570,000	$ 480,000
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2021	573,000		573,000
2022	562,000		562,000
2023	529,000		529,000
2024	524,000		524,000
2025	509,000		509,000
Lord Jones brand
Finite-Lived Intangible Assets [Line Items]
Impairment of intangible assets, indefinite-lived (excluding goodwill)			5,000,000
United States
Finite-Lived Intangible Assets [Line Items]
Goodwill, impairment loss			$ 35,000,000
Software
Finite-Lived Intangible Assets [Line Items]
Disposal of intangible assets	$ 0	$ 0

Intangible Assets and Goodwill - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]
Accumulated amortization	$ (1,479)	$ (1,027)
Indefinite-lived Intangible Assets [Line Items]
Cost	75,083	72,262
Impairment charges	(5,000)
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Cost	75,083	72,262
Accumulated amortization	(1,479)	(1,027)
Impairment charges	(5,000)
Net	68,604	71,235
Lord Jones brand
Indefinite-lived Intangible Assets [Line Items]
Cost	64,000	64,000
Impairment charges	(5,000)
Net	59,000	64,000
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Cost	64,000	64,000
Impairment charges	(5,000)
Trademarks
Indefinite-lived Intangible Assets [Line Items]
Cost	146	36
Net	146	36
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Cost	$ 146	$ 36
Software
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (in years)	5 years	5 years
Cost	$ 575	$ 541
Accumulated amortization	(234)	(202)
Net	341	339
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated amortization	$ (234)	$ (202)
ERP system
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (in years)	5 years
Cost	$ 2,851
Accumulated amortization	(130)
Net	2,721
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated amortization	$ (130)
Health Canada licenses
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (in years)	17 years	17 years
Cost	$ 7,211	$ 7,387
Accumulated amortization	(1,102)	(821)
Net	6,109	6,566
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated amortization	$ (1,102)	$ (821)
Israeli codes
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (in years)	25 years	25 years
Cost	$ 300	$ 298
Accumulated amortization	(13)	(4)
Net	287	294
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated amortization	$ (13)	$ (4)

Intangible Assets and Goodwill - Schedule of Goodwill (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2020 USD ($)
Goodwill [Roll Forward]
Balance at beginning of period	$ 214,492
Additions	0
Impairment charges	(35,000)
Effect of foreign exchange	(33)
Balance at end of period	179,459
Peace Naturals
Goodwill [Roll Forward]
Balance at beginning of period	1,078
Additions	0
Impairment charges	0
Effect of foreign exchange	(33)
Balance at end of period	1,045
Redwood
Goodwill [Roll Forward]
Balance at beginning of period	213,414
Additions	0
Impairment charges	(35,000)
Effect of foreign exchange	0
Balance at end of period	$ 178,414

General and Administrative Expenses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Salaries and wages	$ 4,611	$ 7,789	$ 18,412	$ 13,137
Professional and consulting	4,295	4,694	13,144	11,948
Office and general	4,449	1,643	11,064	7,166
Review costs related to restatement of 2019 interim financial statements	958	0	8,824	0
Other	4,547	2,076	9,604	2,736
Total	$ 18,860	$ 16,202	$ 61,048	$ 34,987

Share-based Payments - Summary of Changes in Warrants (Details) - Warrants - $ / shares	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Weighted average exercise price (C$)
Balance at beginning of period (in dollars per share)	$ 0.26	$ 0.26
Exercise of warrants (in dollars per share)	0.27	0.26
Balance at end of period (in dollars per share)	$ 0.25	$ 0.26
Number of awards
Balance at beginning of period (in shares)	18,066,662	25,457,623
Exercise of warrants (in shares)	(5,626,410)	(7,390,961)
Balance at end of period (in shares)	12,440,252	18,066,662

Share-based Payments - Summary of Outstanding Warrants (Details) - Warrants - $ / shares	Sep. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average exercise price (in dollars per share)	$ 0.25	$ 0.26	$ 0.26	$ 0.26
Number of warrants (in shares)	12,440,252	18,066,662	18,066,662	25,457,623
October 8 – 28, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average exercise price (in dollars per share)	$ 0.31
Number of warrants (in shares)	452,903
May 13 – 27, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average exercise price (in dollars per share)	$ 0.25
Number of warrants (in shares)	11,987,349

Share-based Payments - Stock Options Narrative (Details) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020 USD ($) $ / shares shares	Sep. 30, 2019 USD ($)	Sep. 30, 2020 USD ($) $ / shares shares	Sep. 30, 2019 USD ($)	Sep. 30, 2020 $ / shares shares	Jun. 25, 2020 shares	Dec. 31, 2019 shares	Sep. 30, 2019 $ / shares shares	Dec. 31, 2018 shares	Jun. 28, 2018 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options outstanding (in shares)	14,085,206		14,085,206		14,085,206		14,149,502	14,177,875	12,902,995
Share-based payments \| $	$ 7,916	$ 3,531	$ 12,898	$ 7,949
2015 Stock Option Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options outstanding (in shares)	10,443,447		10,443,447		10,443,447
2018 Stock Option Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options outstanding (in shares)	1,641,759		1,641,759		1,641,759
2020 Omnibus Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options outstanding (in shares)	2,000,000		2,000,000		2,000,000
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based payments \| $	$ 1,551	$ 3,531	$ 5,051	$ 7,949
Share price at grant date (in dollars per share) \| $ / shares	$ 6.96		$ 6.96
Stock options \| 2015 Stock Option Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Future awards to be granted (in shares)										0
Stock options \| 2018 Stock Option Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Future awards to be granted (in shares)						0
Weighted Average \| Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share price at grant date (in dollars per share) \| $ / shares					$ 4.84			$ 13.32

Share-based Payments - Summary of the Changes in Options (Details)		9 Months Ended		12 Months Ended
	Sep. 09, 2020 shares	Sep. 30, 2020 $ / shares $ / shares shares	Sep. 30, 2019 $ / shares $ / shares shares	Dec. 31, 2019 $ / shares shares	Dec. 31, 2018 $ / shares shares
Weighted average exercise price (C$)
Balance at beginning of period (in dollars per share) \| $ / shares		$ 4.84	$ 2.99	$ 2.99
Issuance of options (in dollars per share) \| $ / shares		6.96	20.08
Exercise of options (in dollars per share) \| $ / shares		2.04	3.72
Cancellation, forfeiture and expiry of options (in dollars per share) \| $ / shares		15.06	0
Balance at end of period (in dollars per share) \| $ / shares		$ 5.34	$ 4.83	$ 4.84	$ 2.99
Weighted average exercise price of options exercisable (in dollars per share) \| $ / shares		$ 3.56	$ 2.66
Number of options
Balance at beginning of period (in shares)		14,149,502	12,902,995	12,902,995
Issuance of options (in shares)		2,000,000	1,534,162
Exercise of options (in shares)		(1,841,863)	(254,199)
Cancellation, forfeiture and expiry of options (in shares)		(222,433)	(5,083)
Balance at end of period (in shares)		14,085,206	14,177,875	14,149,502	12,902,995
Exercisable (in shares)		9,381,601	7,442,390
Weighted average remaining contractual term (years)
Outstanding		2 years 6 months 14 days	2 years 9 months 21 days	2 years 6 months 21 days	3 years 4 months 6 days
Exercisable		1 year 6 months 25 days	2 years 5 months 19 days
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Issuance of options (in shares)		2,000,000	1,534,162
2020 Omnibus Plan
Number of options
Issuance of options (in shares)	2,000,000
Balance at end of period (in shares)		2,000,000
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Issuance of options (in shares)	2,000,000

Share-based Payments - Summary of Fair Value of Options Issued (Details) - Stock options - $ / shares	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share price at grant date (in dollars per share)	$ 6.96
Exercise price (per option) (in dollars per share)	$ 6.96
Risk-free interest rate	43.00%
Expected life of options (in years)	5 years	5 years
Expected annualized volatility	91.00%	89.00%
Expected dividend yield	0.00%	0.00%
Weighted average Black-Scholes value at grant date (per option) (in dollars per share)	$ 4.84
Forfeiture rate	0.00%	0.00%
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share price at grant date (in dollars per share)		$ 15.34
Exercise price (per option) (in dollars per share)		$ 15.34
Risk-free interest rate		1.39%
Weighted average Black-Scholes value at grant date (per option) (in dollars per share)		$ 10.6
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share price at grant date (in dollars per share)		24.75
Exercise price (per option) (in dollars per share)		$ 24.75
Risk-free interest rate		1.62%
Weighted average Black-Scholes value at grant date (per option) (in dollars per share)		$ 15.91

Share-based Payments - Restricted Share Units Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based payments	$ 7,916	$ 3,531	$ 12,898	$ 7,949
Restricted share units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based payments	$ 6,365	$ 186	$ 7,847	$ 186

Share-based Payments - Summary of Restricted Share Units Activity (Details)		1 Months Ended		3 Months Ended	9 Months Ended
	Sep. 09, 2020 shares	Aug. 31, 2020 shares	May 31, 2020 shares	Sep. 30, 2020 subsidiary $ / shares shares	Sep. 30, 2020 $ / shares shares	Sep. 30, 2019 $ / shares shares
Redwood
Weighted average grant date fair value (C$)
Number of subsidiaries acquired \| subsidiary				4
Restricted share units
Number of awards
Balance at beginning of period (in shares)					732,972	0
Granted (in shares)					814,874	732,972
Vested and issued/liabilities settled (in shares)				(732,972)	(732,972)
Cancellation and forfeitures (in shares)					(9,497)
Balance at end of period (in shares)				805,377	805,377	732,972
Weighted average grant date fair value (C$)
Balance at beginning of period (in dollars per share) \| $ / shares					$ 15.34	$ 0
Granted (in dollars per share) \| $ / shares					7.32	15.34
Vested and issued (in dollars per share) \| $ / shares					15.34
Cancellation and forfeitures (in dollars per share) \| $ / shares					7.52
Balance at end of period (in dollars per share) \| $ / shares				$ 7.32	$ 7.32	$ 15.34
Restricted share units \| Redwood
Number of awards
Granted (in shares)				732,972
Restricted share units \| 2020 Omnibus Plan
Number of awards
Granted (in shares)	450,000	85,597	279,277
Weighted average grant date fair value (C$)
Vesting period					3 years

Share-based Payments - Summary of Deferred Share Units Activity (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Financial liability
Granting and vesting of DSUs	$ 7,916	$ 3,531	$ 12,898	$ 7,949
Deferred Share Units (DSUs)
Number of awards
Balance at beginning of period (in shares)			33,397	0
Granting and vesting of DSUs (in shares)			58,380	33,937
Vested and issued/liabilities settled (in shares)			(8,484)
Balance at end of period (in shares)	83,293	33,937	83,293	33,937
Financial liability
Balance at beginning of period			$ 255	$ 0
Granting and vesting of DSUs			338	454
Liabilities settled			(46)
Loss (gain) on revaluation			(128)	(147)
Balance at end of period	$ 419	$ 307	$ 419	$ 307

Earnings (Loss) Per Share - Schedule of Earnings (Loss) Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands

3 Months Ended

9 Months Ended

Sep. 30, 2020

Sep. 30, 2019

Sep. 30, 2020

Sep. 30, 2019

Basic earnings per share computation

Net income (loss) attributable to common shareholders of Cronos Group

$ 69,506

$ 604,446

$ 38,615

$ 1,104,564

Weighted average number of common shares outstanding used in the computation of basic earnings per share (in shares)

350,288,783

338,957,949

349,397,156

297,964,058

Basic earnings per share (in dollars per share)

$ 0.20

$ 1.78

$ 0.11

$ 3.71

Diluted earnings per share computation

Net income (loss) used in the computation of basic earnings per share

$ 69,506

$ 604,446

$ 38,615

$ 1,104,564

Adjustment for gain (loss) on revaluation of derivative liabilities

(680)

(6,952)

(1,407)

(798,799)

Net income (loss) used in the computation of diluted income per share

$ 68,826

$ 597,494

$ 37,208

$ 305,765

Weighted average number of common shares outstanding used in the computation of basic earnings per share (in shares)

350,288,783

338,957,949

349,397,156

297,964,058

Weighted average number of common shares for computation of diluted income (loss) per share (in shares)

^[1]

369,619,020

369,268,672

374,731,451

333,618,691

Diluted earnings per share (in dollars per share)

$ 0.19

$ 1.62

$ 0.10

$ 0.92

Basic and dilutive earnings per share from discontinued operations (in dollars per share)

$ 0.00

Altria Warrant

Diluted earnings per share computation

Dilutive effect of derivative liabilities (in shares)

1,833,853

Top-up Rights

Diluted earnings per share computation

Dilutive effect of derivative liabilities (in shares)

1,349,720

1,976,828

Warrants

Diluted earnings per share computation

Dilutive effect of awards (in shares)

12,514,864

17,792,227

17,126,222

20,080,244

Stock options

Diluted earnings per share computation

Dilutive effect of awards (in shares)

6,688,620

10,435,804

7,992,139

11,030,736

Restricted share units

Diluted earnings per share computation

Dilutive effect of awards (in shares)

126,753

732,972

215,934

732,972

[1]	In computing diluted earnings per share, incremental common shares are not considered in periods in which a net loss is reported, as the inclusion of the common share equivalents would be anti-dilutive.

Earnings (Loss) Per Share - Schedule of Antidilutive Securities Excluded from Computation of Diluted Shares Outstanding (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive securities (in shares)	133,367,902	130,802,485	132,921,860	53,115,367
Ginkgo equity milestones
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive securities (in shares)	14,674,904	14,674,904	14,674,904	14,674,904
Pre-emptive Rights
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive securities (in shares)	12,006,740	12,006,740	12,006,740	12,006,740
Top-up Rights – fixed price
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive securities (in shares)	22,551,531	25,126,670	22,551,531	25,126,670
Top-up Rights – market price
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive securities (in shares)	3,065,570	1,255,223	3,065,570	1,255,223
Altria Warrant
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive securities (in shares)	79,051,981	76,392,046	79,051,981	0
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive securities (in shares)	2,017,176	1,346,902	1,571,134	51,830

Related Party Transactions and Balances (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019	Mar. 08, 2019
Cronos Group, Inc. \| Altria Group, Inc.
Related Party Transaction [Line Items]
Ownership percentage							45.00%
Consulting Services
Related Party Transaction [Line Items]
Consulting fees	$ 160		$ 1,772	$ 1,113
Altria Pinnacle LLC. \| Consulting Services \| Affiliated Entity
Related Party Transaction [Line Items]
Consulting fees	160		$ 1,772	1,113	$ 1,772
Accrual for consulting services	$ 5			$ 5		$ 1,152
Altria Pinnacle LLC. \| Purchase of Machinery and Equipment \| Affiliated Entity
Related Party Transaction [Line Items]
Purchases		$ 1,258

Segment Information - Narrative (Details) $ in Thousands	3 Months Ended		9 Months Ended
Segment Information - Narrative (Details) $ in Thousands	Sep. 30, 2020 USD ($)	Sep. 30, 2019 USD ($)	Sep. 30, 2020 USD ($) segment	Sep. 30, 2019 USD ($)	Dec. 31, 2019 USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments \| segment			2
Current expected credit loss	$ 64		$ 64		$ 136
Net revenue, before excise taxes	13,621	$ 6,269	34,397	$ 17,724
Loss from discontinued operations	473	36	519	63
United States
Segment Reporting Information [Line Items]
Current expected credit loss	41		41		12
Rest of World
Segment Reporting Information [Line Items]
Current expected credit loss	23		23		$ 124
Loss from discontinued operations	473	36	519	63
Four Major Customers \| Rest of World
Segment Reporting Information [Line Items]
Net revenue, before excise taxes	$ 9,790		$ 22,142
Customer Concentration Risk \| Revenue Benchmark \| Societe Quebecoise Du Cannabis \| Rest of World
Segment Reporting Information [Line Items]
Concentration risk, percentage	26.00%		18.00%
Customer Concentration Risk \| Revenue Benchmark \| Albert Gaming, Liquor and Cannabis Commission \| Rest of World
Segment Reporting Information [Line Items]
Concentration risk, percentage	22.00%		23.00%
Customer Concentration Risk \| Revenue Benchmark \| Ontario Cannabis Retail Corporation \| Rest of World
Segment Reporting Information [Line Items]
Concentration risk, percentage	20.00%		16.00%
Customer Concentration Risk \| Revenue Benchmark \| BC Liquor Distribution Branch \| Rest of World
Segment Reporting Information [Line Items]
Concentration risk, percentage	14.00%		17.00%
Customer Concentration Risk \| Revenue Benchmark \| Two Major Customers \| Rest of World
Segment Reporting Information [Line Items]
Net revenue, before excise taxes		$ 3,351		$ 7,101
Concentration risk, percentage	58.00%			43.00%

Segment Information - Schedule of Segment Data (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	$ 11,358,000	$ 5,785,000	$ 29,673,000	$ 16,442,000
Share of loss from investments in equity accounted investees	1,327,000	565,000	3,293,000	1,504,000
Interest income	3,847,000		15,422,000
Interest expense	(66,000)		(156,000)
Interest income, net	3,781,000	8,939,000	15,266,000	20,455,000
Impairment loss on goodwill and intangible assets	0	0	40,000,000	0
Depreciation and amortization	886,000	632,000	2,252,000	1,315,000
Income tax expense	988,000	58,000	988,000	58,000
Income (loss) from discontinued operations	(473,000)	(36,000)	(519,000)	(63,000)
Net income (loss)	68,464,000	604,128,000	36,442,000	1,104,004,000
Consolidated balance sheets
Total assets	1,918,929,000		1,918,929,000		$ 2,090,442,000
Investments in equity accounted investees	19,059,000		19,059,000		557,000
Goodwill	179,459,000		179,459,000		$ 214,492,000
Purchase of property, plant and equipment, net			21,334,000
Rest of World
Consolidated statements of net income (loss) and comprehensive income (loss)
Income (loss) from discontinued operations	(473,000)	(36,000)	(519,000)	(63,000)
Operating Segments \| United States
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	1,639,000		5,989,000
Share of loss from investments in equity accounted investees	0		0
Interest income	3,000		16,000
Interest expense	0		0
Interest income, net	3,000		16,000
Impairment loss on goodwill and intangible assets	0		40,000,000
Depreciation and amortization	35,000		104,000
Income tax expense	143,000		143,000
Income (loss) from discontinued operations	0		0
Net income (loss)	(14,004,000)		(71,571,000)
Consolidated balance sheets
Total assets	251,835,000		251,835,000
Investments in equity accounted investees	0		0
Goodwill	178,414,000		178,414,000
Purchase of property, plant and equipment, net			294,000
Operating Segments \| Rest of World
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	9,719,000		23,684,000
Share of loss from investments in equity accounted investees	1,327,000		3,293,000
Interest income	3,844,000		15,406,000
Interest expense	(66,000)		(156,000)
Interest income, net	3,778,000		15,250,000
Impairment loss on goodwill and intangible assets	0		0
Depreciation and amortization	851,000		2,148,000
Income tax expense	845,000		845,000
Income (loss) from discontinued operations	(473,000)		(519,000)
Net income (loss)	93,447,000		132,704,000
Consolidated balance sheets
Total assets	369,621,000		369,621,000
Investments in equity accounted investees	19,059,000		19,059,000
Goodwill	1,045,000		1,045,000
Purchase of property, plant and equipment, net			21,040,000
Corporate expenses
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	0		0
Share of loss from investments in equity accounted investees	0		0
Interest income	0		0
Interest expense	0		0
Interest income, net	0		0
Impairment loss on goodwill and intangible assets	0		0
Depreciation and amortization	0		0
Income tax expense	0		0
Income (loss) from discontinued operations	0		0
Net income (loss)	(10,979,000)		(24,691,000)
Consolidated balance sheets
Total assets	1,297,473,000		1,297,473,000
Investments in equity accounted investees	0		0
Goodwill	0		0
Purchase of property, plant and equipment, net			0
Cannabis flower
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	7,958,000	4,266,000	16,373,000	12,187,000
Cannabis flower \| Operating Segments \| United States
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	0		0
Cannabis flower \| Operating Segments \| Rest of World
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	7,958,000		16,373,000
Cannabis flower \| Corporate expenses
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	0		0
Cannabis extracts
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	3,143,000	1,500,000	12,810,000	4,138,000
Cannabis extracts \| Operating Segments \| United States
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	1,639,000		5,989,000
Cannabis extracts \| Operating Segments \| Rest of World
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	1,504,000		6,821,000
Cannabis extracts \| Corporate expenses
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	0		0
Other
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	257,000	$ 19,000	490,000	$ 117,000
Other \| Operating Segments \| United States
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	0		0
Other \| Operating Segments \| Rest of World
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	257,000		490,000
Other \| Corporate expenses
Consolidated statements of net income (loss) and comprehensive income (loss)
Net revenue	$ 0		$ 0

Segment Information - Schedule of Revenue from External Customers by Geographic Areas (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	$ 11,358	$ 5,785	$ 29,673	$ 16,442
Canada
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	9,205	5,093	22,712	15,416
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	1,639	675	5,989	675
Other countries
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	$ 514	$ 17	$ 972	$ 351

Segment Information - Schedule of Long-lived Assets by Geographic Areas (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	$ 171,404	$ 159,948
Canada
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	146,292	139,160
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	2,302	2,103
Other countries
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets	$ 22,810	$ 18,685

Commitments - R&D Commitments and Altria Consulting Services (Details) $ in Thousands	Feb. 18, 2019	Oct. 15, 2018 USD ($)	Sep. 04, 2018 USD ($) cannabinoid shares	Jul. 17, 2018 USD ($)
Ginkgo \| Research and Development Arrangement
Long-term Purchase Commitment [Line Items]
Number of cannabinoids targeted to develop scalable and consistent production \| cannabinoid			8
Common shares issuable (up to) (in shares) \| shares			14,674,903
Common shares issuable, value assigned				$ 100,000
Payments subject to milestones			$ 22,000
Technion \| Research and Development Arrangement
Long-term Purchase Commitment [Line Items]
Payments subject to milestones		$ 4,900
Amount of commitment		$ 1,784
Research funding period		3 years
Altria Ventures \| Consulting Services Arrangement
Long-term Purchase Commitment [Line Items]
Monthly fee, percentage of direct and indirect service costs	105.00%

Commitments - Use of Publicity Rights in Brand Development (Details) - Common Shares					3 Months Ended	9 Months Ended
	Dec. 23, 2022	Jun. 23, 2021	Jan. 31, 2020	Dec. 23, 2019 USD ($) d shares	Sep. 30, 2019 shares	Sep. 30, 2019 shares
Subsidiary, Sale of Stock [Line Items]
Shares issued (in shares) \| shares					5,086,586	154,917,740
Private Placements
Subsidiary, Sale of Stock [Line Items]
Shares issued (in shares) \| shares				856,017
Stock issued during period, new issues, fair value				$ 6,000,000
Stock issued during period, new issues, measurement input \| d				10
Private Placements \| Sale of Stock, Performance Milestone One
Subsidiary, Sale of Stock [Line Items]
Triggering event, minimum revenue				$ 50,000,000
Triggering event, shares issued, value				1,000,000
Private Placements \| Sale of Stock, Performance Milestone Two
Subsidiary, Sale of Stock [Line Items]
Triggering event, minimum revenue				100,000,000
Triggering event, shares issued, value				$ 1,000,000
Vested on January 31, 2020 \| Private Placements
Subsidiary, Sale of Stock [Line Items]
Award vesting rights, percentage			33.33%
Vesting on June 23, 2021 \| Private Placements \| Forecast
Subsidiary, Sale of Stock [Line Items]
Award vesting rights, percentage		33.33%
Vesting on December 23, 2022 \| Private Placements \| Forecast
Subsidiary, Sale of Stock [Line Items]
Award vesting rights, percentage	33.33%

Contingencies (Details) - Pending Litigation	Jun. 16, 2020 CAD ($)	Mar. 12, 2020 shareholder complaint
Litigation Relating to Marketing, Distribution and Sale of Products
Loss Contingencies [Line Items]
Damages sought	$ 500,000,000
Punitive damages sought	$ 5,000,000
U.S. District Court of Eastern District of New York Vs. Cronos
Loss Contingencies [Line Items]
Number of alleged shareholders \| shareholder		2
Number of putative class action complaints \| complaint		2

Financial Instruments - Credit Risk Narrative (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Concentration Risk [Line Items]
Maximum exposure to credit risk	$ 1,401,606,000	$ 1,586,978,000
Accounts receivable, threshold period past due, writeoff	120 days
Current expected credit loss	$ 64,000	136,000
Cash and cash equivalents	1,097,846,000	1,199,693,000
Short-term investments	202,883,000	306,347,000
Advances to joint ventures, allowance for credit loss	$ 0	$ 0
Four Customers \| Accounts Receivable \| Credit Concentration Risk
Concentration Risk [Line Items]
Concentration risk, percentage	59.00%
Two Customers \| Accounts Receivable \| Credit Concentration Risk
Concentration Risk [Line Items]
Concentration risk, percentage		56.00%

Financial Instruments - Liquidity Risk Narrative (Details)	12 Months Ended
	Dec. 31, 2019
Three Vendors \| Accounts Payable \| Supplier Concentration Risk
Concentration Risk [Line Items]
Concentration risk, percentage	42.00%

Financial Instruments - Interest Rate Risk Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Investments, All Other Investments [Abstract]
Interest income, net	$ 3,781	$ 8,939	$ 15,266	$ 20,455
Impact of change in average variable rate, percent	0.03%			1.44%
Impact of change in average variable rate, amount	$ 303		$ 15,214

Financial Instruments - Currency Rate Risk Narrative (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Sep. 30, 2020	Dec. 31, 2019
Risks and Uncertainties [Abstract]
Foreign exchange gain (loss) on translation	$ 26,167	$ 9,424	$ (12,422)	$ (35,654)
Impact of ten percent change in exchange rate	$ 176,449			$ 176,449	$ 174,902

Fair Value Measurement (Details) - Fair Value, Recurring - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	$ 1,097,846	$ 1,199,693
Short-term investments	202,883	306,347
Derivative liabilities	102,655	297,160
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	1,097,846	1,199,693
Short-term investments	202,883	306,347
Derivative liabilities	0	0
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Short-term investments	0	0
Derivative liabilities	0	0
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Short-term investments	0	0
Derivative liabilities	$ 102,655	$ 297,160

Supplementary Cash Flow Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Increase (Decrease) in Operating Capital [Abstract]
Accounts receivable	$ (1,448)	$ (1,991)
Other receivables	(3,169)	(3,315)
Prepaids and other assets	(1,137)	(5,930)
Current portion of loans receivable	0	(4,607)
Inventory, net	(18,316)	(33,903)
Accounts payable and other liabilities	3,711	23,676
Cumulative effect from foreign exchange	(8,764)	0
Add back: net working capital assumed on acquisition	0	972
Total	$ (29,123)	$ (25,098)

Held-For-Sale Assets and Discontinued Operations (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Valuation allowance recorded upon reclassification of assets as held-for-sale	$ (919)		$ (919)
Discontinued Operations, Held-for-sale \| OGBC
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Valuation allowance recorded upon reclassification of assets as held-for-sale
OGBC income from discontinued operations, net of income taxes	(473)	$ (36)	(519)	$ (63)
Long-term assets classified as discontinued operations	$ 2,066		$ 2,066		$ 3,248

Non-monetary Transactions (Details)		1 Months Ended	9 Months Ended
Non-monetary Transactions (Details)	Mar. 28, 2019 USD ($) transaction	Sep. 30, 2019 USD ($) transaction	Sep. 30, 2020 transaction
Nonmonetary Transaction [Line Items]
Number of transactions \| transaction			0
Purchased Cannabis Resin and Sold Cannabis Dry Flower
Nonmonetary Transaction [Line Items]
Number of transactions \| transaction	2	3
Revenue recognized \| $	$ 0	$ 2,300,000
Gain (loss) recognized on transfer \| $	$ 0	$ 0

Derivative Liabilities - Schedule of Fair Values of Derivative Liabilities (Details)	3 Months Ended	9 Months Ended	12 Months Ended
	Mar. 31, 2020	Sep. 30, 2020 $ / shares	Dec. 31, 2019 $ / shares
Altria Warrant \| Share price at valuation date (per share in C$)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		6.69	9.97
Altria Warrant \| Subscription price (per share in C$)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		19.00	19.00
Altria Warrant \| Expected annualized volatility
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.81	0.82
Altria Warrant \| Expected dividend yield
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0	0
Altria Warrant \| Weighted Average \| Weighted average risk-free interest rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.0025	0.0169
Altria Warrant \| Weighted Average \| Weight average expected life (in years)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected life		2 years 5 months 4 days	3 years 2 months 4 days
Pre-emptive Rights \| Share price at valuation date (per share in C$)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		6.69	9.97
Pre-emptive Rights \| Subscription price (per share in C$)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		16.25	16.25
Pre-emptive Rights \| Expected annualized volatility
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.81	0.82
Pre-emptive Rights \| Expected dividend yield
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0	0
Pre-emptive Rights \| Weighted Average \| Weighted average risk-free interest rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.0024	0.0173
Pre-emptive Rights \| Weighted Average \| Weight average expected life (in years)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected life		1 year 9 months	1 year 3 months
Top-up Rights \| Share price at valuation date (per share in C$)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		6.69	9.97
Top-up Rights \| Subscription price (per share in C$)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		16.25	16.25
Top-up Rights \| Expected annualized volatility
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.81	0.82
Top-up Rights \| Expected dividend yield
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0	0
Top-up Rights \| Weighted Average \| Weighted average risk-free interest rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.0020	0.0171
Top-up Rights \| Weighted Average \| Weight average expected life (in years)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected life		1 year 1 month 17 days	1 year 7 months 28 days
Pre-emptive Rights and Top-up Rights \| Minimum \| Weighted average risk-free interest rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.0012	0.0166
Pre-emptive Rights and Top-up Rights \| Minimum \| Weight average expected life (in years)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected life	3 months	3 months
Pre-emptive Rights and Top-up Rights \| Maximum \| Weighted average risk-free interest rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liability, measurement input		0.0036	0.0173
Pre-emptive Rights and Top-up Rights \| Maximum \| Weight average expected life (in years)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected life	6 years	5 years 3 months