Revenues Increase 28% to Second Quarter Record of $10.4 Million; Net Income Grew 107% to
 $0.7 Million

Fortified Balance Sheet, Growing Cash Position by $1.3 Million and Eliminating $1.4 Million in Debt Year-to-Date

EAST RUTHERFORD, NJ, Sept. 14, 2020 (GLOBE NEWSWIRE) -- MamaMancini's Holdings, Inc. (OTCQB: MMMB), a marketer of specialty pre-prepared, frozen and refrigerated food products, has reported its financial results for the second quarter ended July 31, 2020.

Financial Summary:

		Three Months Ended July 31,								Year-over-Year
		2020				2019				% Change
Revenues		$	10.4 million			$	8.1 million				28	%
Gross Profit		$	3.2 million			$	2.7 million				19	%
Operating Expenses		$	2.4 million			$	2.2 million				7	%
Net Income		$	0.740 million			$	0.358 million				107	%
Earnings per Share		$	0.02			$	0.01				100	%
		As of				As of
		July 31, 2020				January 31, 2020
Cash & Equivalents		$	1.7 million			$	0.4 million				331	%
Working Capital		$	3.4 million			$	1.4 million				142	%
Debt		$	2.7 million			$	4.1 million				(35	)%
Stockholder’s Equity		$	3.6 million			$	0.4 million				791	%

Recent Highlights:

• Announced new customer authorizations, both in terms of new locations and expansion of existing placements, at several major nationwide retailers in September 2020 including an expansion of locations at 1,250 Publix Super Markets in the Southeast and select Sam’s Club locations nationwide. New product placements included 167 Tops Friendly Markets in the Northeast, 175 Gordon Food Service Marketplace locations across the Midwest and to Lipari Foods, a major distributor in Michigan servicing over 5,000 accounts.
• Launched an 11 week national marketing campaign on Sirius XM Radio to promote MamaMancini’s new Plant-Based Meatballs and Sauce, made with Beyond Beef^®, a plant-based ground meat made by Beyond Meat^®.
• Attended multiple virtual investor conferences including the LD 500 Virtual Investor Conference on September 2^nd, Proactive's One2One Virtual Investor Forum on July 28^th, the Virtual Investor Summit on June 10^th, and Little Grapevine’s G1 Microcap Virtual Conference May 27^th . The company has also committed to present at the MicroCap Club Leadership Summit on September 25^th.

Management Commentary

“We continued our pace of operational execution in the second quarter of 2021, further expanding our footprint both in terms of breadth and depth of product distribution at retail storefronts nationwide,” said Carl Wolf, Chairman and Chief Executive Officer of MamaMancini’s. “This success was reflected in our robust revenue and net income growth in what has been a record breaking year. During this time, we have worked to improve firm-wide operational and manufacturing plant efficiencies through a comprehensive effort which is nearing completion. These improvements are increasing throughput while driving gross margin expansion as we scale, particularly as beef prices begin to return to normal.

“Increase in demand in 2020 is being driven by a host of changes in the consumer market, which we are leveraging through marketing and advertising programs designed to engage purchasers adjusting to more meals at home. Many consumers have continued to obtain the majority of their food purchases from grocery stores, even as stay-at-home orders have lifted. We believe this trend will continue in the near term, and our goal is to continue to convert these enthusiastic first-time customers into repeat purchasers, creating a recurring revenue stream. Looking ahead, we plan to transition our momentum into the food service segment as that market slowly returns to normal as COVID subsides over time.

“Despite a challenging year of uncertainty for our country, I am incredibly proud of the dedication and hard work of our team. Despite stay-at-home orders and a pandemic, we were able to continue operations uninterrupted, improve plant efficiency, conduct marketing campaigns, connect with our shareholders through virtual events and improve our growth. We look forward to continued growth in the second half of the year, creating sustainable value for our shareholders over the long-term,” concluded Wolf.

Second Quarter 2021 Financial Results 

Revenue in the second quarter of 2021 increased 28% to a second quarter record of $10.4 million, compared to $8.1 million in the same year-ago quarter. Revenue for the first half FY2021 increased 39% to $21.5 million, compared to $15.5 million in the same year-ago period. Revenue growth was primarily a result of increased sales through placements with both new and existing customers.

Gross profit increased to $3.2 million in the second quarter of 2021, or 31% of total revenues, compared to $2.7 million, or 33% of total revenues, in the same year-ago quarter. Gross profit increased to $6.9 million in the first half FY2021, or 32% of total revenues, compared to $5.1 million, or 33% of total revenues, in the same year-ago period. Gross margin decreased due to temporarily higher beef prices, partially offset by improved plant operating efficiencies.

Operating expenses totaled $2.4 million in the second quarter of 2021, compared to $2.2 million in the same year-ago quarter. Operating expenses in the first half of FY2021 increased by 25% to $5.2 million as compared to the same year-ago period. As a percentage of sales, operating expenses in the second quarter of 2021 decreased from 27% to 24%. Operating expenses increased primarily due to increases in freight and commissions directly related to higher sales.

Net income for the second quarter of 2021 grew significantly to $0.740 million, or $0.02 per share, as compared to a net income of $0.358 million, or $0.01 per share, in the same year-ago quarter. Net income in the first half FY2021 totaled $1.6 million, as compared to $0.7 million in the same year-ago period. The increase in net income was primarily attributable to an increase in sales, reduction of operating expenses as a percentage of sales and a decrease in interest expense.

Cash and cash equivalents as of July 31, 2020 was $1.7 million, as compared to $0.4 million at January 31, 2020. The increased cash balance as of July 31, 2020 benefitted from $1.5 million of proceeds from the exercise of warrants and $1.5 million in cash flow from operations, partially offset by a paydown of debt, as the Company reduced its debt by $1.4 million fiscal year-to-date.

Conference Call

Management will host an investor conference call at 8:30 a.m. Eastern time on Tuesday, September 15, 2020 to discuss the Company’s second quarter 2021 financial results, provide a corporate update, and conclude with a Q&A from participants. To participate, please use the following information:

Q2 2021 Earnings Conference Call
Date: Tuesday, September 15, 2020
Time: 8:30 a.m. Eastern time
U.S. Dial-in: 1-844-889-4326
International Dial-in: 1-412-317-9264
Conference ID: 10147782

Please dial in at least five minutes before the start of the call to ensure timely participation.

A playback of the call will be available through September 22, 2020. To listen, call 1-877-344-7529 within the United States or 1-412-317-0088 when calling internationally. Please use the replay pin number 10147782.

About MamaMancini’s Holdings, Inc.

MamaMancini's Holdings, Inc. (OTCQB: MMMB) is a marketer and distributor of specialty prepared, refrigerated and frozen all-natural Italian foods. MamaMancini’s product portfolio consists of over 20 products including meatballs, meat loaf, chicken parmesan, sausages and pasta bowl kits, with beef, turkey, chicken and pork varieties. The Company’s products are sold in over 45,000 locations nationwide, including at well-known retailers such as Sams Club, Whole Foods, Publix, Costco and Albertsons, as well as through national distributors such as Sysco and United Natural Foods. The Company also regularly maintains a direct-to-consumer presence through presentations on QVC. For more information, please visit www.mamamancinis.com.

Forward-Looking Statements

This press release may contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may," "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in the Company's 10-K for the fiscal year ended January 31, 2019 and other filings made by the Company with the Securities and Exchange Commission.

Investor Relations Contact:
Lucas A. Zimmerman
Senior Vice President
MZ Group - MZ North America
(949) 259-4987
MMMB@mzgroup.us
www.mzgroup.us

MamaMancini’s Holdings, Inc.
Condensed Consolidated Balance Sheets

		July 31, 2020				January 31, 2020
		(unaudited)
Assets
Current Assets:
Cash		$	1,698,586			$	393,683
Accounts receivable, net			2,793,527				3,727,887
Inventories			1,758,761				1,246,417
Prepaid expenses			256,634				252,268
Total current assets			6,507,508				5,620,255
Property and equipment, net			3,077,439				2,805,843
Operating lease right of use assets, net			1,422,687				1,490,794
Deposits			20,177				20,177
Total Assets		$	11,027,811			$	9,937,069
Liabilities and Stockholders’ Equity
Liabilities:
Current Liabilities:
Accounts payable and accrued expenses		$	2,570,473			$	3,552,790
Term loan			184,497				423,799
Operating lease liability			136,976				126,516
Finance leases payable			184,570				105,126
Total current liabilities			3,076,516				4,208,231
Line of credit – net			2,497,348				2,997,348
Operating lease liability – net			1,298,625				1,372,349
Finance leases payable – net			573,012				315,234
Notes payable - related party			-				641,844
Total long-term liabilities			4,368,985				5,326,775
Total Liabilities			7,445,501				9,535,006
Commitments and contingencies
Stockholders’ Equity:
Series A Preferred stock, $0.00001 par value; 120,000 shares authorized; 23,400 issued as of July 31, 2020 and January 31, 2020, 0 and 0 shares outstanding as of July 31, 2020 and January 31, 2020			-				-
Preferred stock, $0.00001 par value; 19,880,000 shares authorized; no shares issued and outstanding			-				-
Common stock, $0.00001 par value; 250,000,000 shares authorized; 33,517,101 and 31,991,241 shares issued and outstanding as of July 31, 2020 and January 31, 2020			336				321
Additional paid in capital			18,229,615				16,695,352
Accumulated deficit			(14,498,141	)			(16,144,110	)
Less: Treasury stock, 230,000 shares at cost, respectively			(149,500	)			(149,500	)
Total Stockholders’ Equity			3,582,310				402,063
Total Liabilities and Stockholders’ Equity		$	11,027,811			$	9,937,069

MamaMancini’s Holdings, Inc.
Condensed Consolidated Statements of Operations
(unaudited)

		For the Three Months Ended July 31,								For the Six Months Ended July 31,
		2020				2019				2020				2019
Sales-net of slotting fees and discounts		$	10,384,484			$	8,099,445			$	21,485,403			$	15,464,269
Costs of sales			7,170,403				5,408,049				14,543,722				10,401,819
Gross profit			3,214,081				2,691,396				6,941,681				5,062,450
Operating expenses:
Research and development			25,857				24,509				55,338				49,835
General and administrative			2,381,459				2,215,945				5,103,624				4,082,107
Total operating expenses			2,407,316				2,240,454				5,158,962				4,131,942
Income from operations			806,765				450,942				1,782,719				930,508
Other expenses
Interest			(61,648	)			(87,284	)			(126,050	)			(203,896	)
Amortization of debt discount			(5,350	)			(5,350	)			(10,700	)			(12,638	)
Total other expenses			(66,998	)			(92,634	)			(136,750	)			(216,534	)
Net income before income tax provision			739,767				358,308				1,645,969				713,974
Income tax provision			-				-				-				-
Net income		$	739,767			$	358,308			$	1,645,969			$	713,974
Net income per common share
– basic		$	0.02			$	0.01			$	0.05			$	0.02
– diluted		$	0.02			$	0.01			$	0.05			$	0.02
Weighted average common shares outstanding
– basic			32,262,375				31,947,763				32,128,298				31,907,676
– diluted			33,543,565				31,981,806				33,409,488				34,941,719

MamaMancini’s Holdings, Inc.
Condensed Consolidated Statements of Cash Flows
(unaudited)

		For the Six Months Ended
		July 31, 2020				July 31, 2019
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income		$	1,645,969			$	713,974
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation			319,078				370,052
Amortization of debt discount			10,700				12,638
Share-based compensation			49,975				29,943
Amortization of right of use assets			68,107				42,958
Changes in operating assets and liabilities:
Accounts receivable			934,360				(12,770	)
Inventories			(512,344	)			(68,524	)
Prepaid expenses			(4,366	)			(159,239	)
Accounts payable and accrued expenses			(982,317	)			3,503
Operating lease liability			(63,264	)			(42,958	)
Net Cash Provided by Operating Activities			1,465,898				889,577
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash paid for fixed assets			(189,287	)			(89,525	)
Net Cash Used in Investing Activities			(189,287	)			(89,525	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of term loan			(250,002	)			(808,335	)
Repayments of related party notes payable			(641,844	)			-
Proceeds from promissory note			330,505				-
Repayment of promissory note			(330,505	)			-
Borrowings (repayments) of line of credit, net			(500,000	)			65,314
Repayment of capital lease obligations			(64,165	)			(31,213	)
Proceeds from exercise of options			7,200				-
Proceeds from exercise of warrants			1,477,103				-
Net Cash Provided by (Used in) Financing Activities			28,292				(774,234	)
Net Increase in Cash			1,304,903				25,818
Cash - Beginning of Period			393,683				609,409
Cash - End of Period		$	1,698,586			$	635,227
SUPPLEMENTARY CASH FLOW INFORMATION:
Cash Paid During the Period for:
Income taxes		$	-			$	-
Interest		$	128,913			$	253,763
SUPPLEMENTARY DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Operating lease liability		$	-			$	1,599,830
Finance lease asset additions		$	401,387			$	254,166
Common stock issued for services to be rendered		$	-			$	71,875