CEO.CA Chairman's Briefing

Menē Inc. (TSX-V:MENE) (US:MENEF) (“Menē” or the “Company”), an online 24 karat jewelry brand, today announced financial results for the second quarter ended June 30, 2022. All amounts expressed herein reflect Canadian dollars unless otherwise noted.

FINANCIAL HIGHLIGHTS

• IFRS Revenue of $5.9 million, an increase of 2% Year-over-Year (“YoY”).
• Generated Net Income of $0.1 million and Total Comprehensive Income of $37 thousand, an increase of 136% and 105% YoY respectively.
• Generated an Operating Cash Flow of $1.9 million during the quarter.
• IFRS Gross Profit of $1.5 million. Gross Profit Percentage steady at 26%.
• Operating Expenses as a percentage of Revenue of 29%.
• Average Order Value at $1,521. Total Jewelry Weight Sold consistent at 65kg.
• Tangible Common Equity of $16.4 million, including $8.8 million in cash and cash equivalents, $12.3 million in inventory and $6.2 million in short-term investments.
• Outstanding Customer Order Wait List of $4.2 million as of June 30, 2022.

OPERATIONAL HIGHLIGHTS

• Presented a curated collection of jewelry to tastemakers and journalists during the Paris Couture Week, hosted by co-founder Diana Widmaier Picasso.
• Was featured in Forbes, Elle France, Women’s Wear Daily, Le Point, Le Figaro, and Fashion Network.
• Sales to Returning Customers attributed to 66% of total sales during the quarter, due to great customer satisfaction.
• Registered nearly 31,000 independent customer reviews on mene.com/reviews.

STATEMENT FROM FOUNDER & CEO ROY SEBAG:

In light of the general slowdown in the e-commerce sector, we are pleased with our operating results this quarter. Menē was able to produce a small IFRS profit, grow its tangible capital and sell down a significant amount of inventory at higher precious metal prices. We have since quarter end redeployed our operating cash flows into new inventory build for the holiday season. This quarter, we acquired a key strategic manufacturing facility in the US. Several of our senior executives are now relocating to this facility. Owning our own manufacturing capacity will allow Menē to scale up our operations and provide capacity for circa $50-60 million in annual sales. We have also initiated the process of establishing a distribution facility in Europe at Charles de Gaulle airport in Paris. We hope to have this facility operational by the first quarter of 2023. In general, I feel quite strongly that Menē is ready for whatever the impending global recession has in store. We have sufficient capital to withstand several years of economic slowdown. It has also become apparent that when precious metal prices decline, investment buyers tend to increase their purchases somewhat offsetting the activity of discretionary buyers. In any event, we remain optimistic about our medium to long-term growth prospects as we prepare for our fifth year in business.

RSU GRANT

The Company also announces that it has granted 100,000 restricted share units under the Company's restricted share unit plan to its Chief Financial Officer, vesting in one year.

Non-IFRS Measures

This news release contains non-IFRS financial measures; the Company believes that these measures provide investors with useful supplemental information about the financial performance of its business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating its business. Although management believes these financial measures are important in evaluating the Company's performance, they are not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with IFRS. These non-IFRS financial measures do not have any standardized meaning and may not be comparable with similar measures used by other companies. For certain non-IFRS financial measures, there are no directly comparable amounts under IFRS. These non-IFRS financial measures should not be viewed as alternatives to measures of financial performance determined in accordance with IFRS. Moreover, presentation of certain of these measures is provided for year-over-year comparison purposes, and investors should be cautioned that the effect of the adjustments thereto provided herein have an actual effect on the Company's operating results.

Non-IFRS Adjusted Revenue is a non-IFRS measure. The Company adjusts its revenue by adding back the value of jewelry that was returned by customers, revenue from orders not yet delivered, and discounts given to customers. These adjustments are made to assess the gross revenue before deducting these items per IFRS revenue. The closest comparable IFRS measure is revenue.

Non-IFRS Adjusted Income (loss) is a non-IFRS measure. Non-IFRS Adjusted Income (Loss) is a non-IFRS measure, calculated as total comprehensive income (loss), excluding depreciation and amortization, stock-based compensation, accretion, revaluation of metal loan, loss on debt retirement and translation gain or loss. The closest comparable IFRS measure is total comprehensive income (loss).

For a full definition of non-IFRS financial measures used herein to their nearest IFRS equivalents, please see the section entitled "Non-IFRS Financial Measures" in the Company's MD&A for the quarter ended June 30, 2022.

About Menē Inc.

Menē crafts pure 24 karat gold and platinum jewelry that is transparently sold by gram weight. Through mene.com, customers may buy jewelry, monitor the value of their collection over time, and sell or exchange their pieces by gram weight at prevailing market prices. Menē was founded by Roy Sebag and Diana Widmaier-Picasso with a mission to restore the relationship between jewelry and savings. Menē empowers consumers by marrying innovative technology, timeless design, and pure precious metals to create pieces which endure as a store of value.

For more information about Menē, visit mene.com.

Forward-Looking Statements

This news release contains certain “forward-looking information” within the meaning of applicable Canadian securities laws that are based on expectations, estimates and projections as at the date of this news release. Any statements that involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information and are intended to identify forward-looking information. In particular, without limiting the foregoing, this news release includes forward looking information pertaining to: (i) manufacturing capacity and scaling of the Company’s jewelry operations; (ii) timing and establishment of distribution facilities; (iii) the economy and market conditions; and (iv) the sufficiency of the Company’s working capital and growth prospects.

This forward-looking information is based on reasonable assumptions and estimates of management of the Company at the time it was made, and involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others: the inability to successfully acquire and/or develop jewelry manufacturing and distribution facilities; an inability to predict and counteract the effects of COVID-19 on the business of the Company, including but not limited to the effects of COVID-19 and other infectious diseases presenting as major health issues on the price of precious metals, capital market conditions, restriction on labour and international travel and supply chains; failure to comply with environmental and health and safety laws and regulations; operating or technical difficulties in connection with the manufacture, sale and distribution of jewelry; actual audited results differing from reported unaudited results; global economic climate; dilution of the Company’s shares; the Company’s limited operating history; future capital needs and uncertainty of raising capital; the competitive nature of the jewelry industry; currency exchange risks; the need for the Company to manage its planned growth and expansion; the effects of product development and need for continued technology and manufacturing change; protection of proprietary rights; the effect of government regulation and compliance on the Company and the industry; network security risks; the ability of the Company to maintain properly working systems; theft and risk of physical harm to personnel; reliance on key personnel; global economic and financial market deterioration impeding access to capital or increasing the cost of capital; and volatile securities markets impacting security pricing unrelated to operating performance. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company undertakes no obligation to revise or update any forward-looking information other than as required by law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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