Namaste Technologies Reports 1st Quarter 2020 Financial Results.

TORONTO: Namaste Technologies Inc. ("Namaste" or the "Company") (TSXV: N) (FRANKFURT: M5BQ) (OTCMKTS: NXTTF), an online platform for cannabis products, accessories, and responsible education, today reported its financial results for the first quarter ended February 29, 2020. All financial figures are in Canadian dollars unless otherwise indicated.

Namaste's first quarter results reflect the work begun in 2019 and the Company's transition to a more strategic position within the value chain. On a year over year basis for the quarter ended February 29, 2020, revenue increased and net loss decreased significantly. On a sequential basis, revenue, gross margin and the bottom line significantly improved. Equally as important to note on the revenue growth is the fact that it was accomplished while revenue-generating, but non-core, business assets were exited during 2019.

CannMart Inc., a wholly owned subsidiary of Namaste Technologies, ("CannMart") continues to attract premium brands, value added suppliers, and provincial agencies thanks to its expertise in e-commerce, production, packaging, and distribution in this highly competitive and regulated industry. As reflected in the Q1 2020 results, CannMart's expanded product catalogue grew in both its business to business ("B2B") and business to consumer ("B2C") channels. CannMart continues to strengthen its competitive position in the Cannabis 2.0 marketplace as the industry shifts into consumer packaged goods.

First quarter highlights:

Recorded Net Revenues of $5.3 million, a 16% increase over the same period ended February 28, 2019, and the highest quarterly revenue in two years.

CannMart, Namaste's core growth engine, net segment revenue increased by approximately 798% to $1.3 million, excluding excise tax, over the comparable period in 2019.

On a sequential basis, CannMart's revenue increased 258% from Q4 2019 to Q1 2020

Reported Net loss of $7.4 million compared to $10.3 million in the same quarter last year. The improvement reflects the restructuring efforts in 2019 and resulting business improvements in 2020.

CannMart continues to increase the number and variety of products carried on the CannMart website and available through its B2B channels such as:

Premium craft cannabis brand Kief, a pure craft cannabis company in which Namaste holds a minority position and certain product purchasing rights, and

Award winning Phyto Extractions, an established legacy brand in the Canadian marketplace...