Update on Mamamancini's $MMMB: Q2 financial results

Good:

· Big increase in operating margins, up to 17% compared to 5 to 8% previously. Highest ever.

· Was able to control operating expenses… efficiency and scalability are well under way.

· Rev growing at 28% yoy even if business in the fresh deli and hot bars still very much affected by Covid

· Gross margin only slightly down (30% vs 33%) because of higher beef price but was able to increase price

· Balance sheet continues to get stronger

Bad:

· No update about the up listing to Nasdaq. It does not seem to be imminent.

· No more sequential revenue growth QvQ. 10.4M rev this Q vs 11.1M rev last Q.

· Beyond Meat launching their own raw meatballs

· No update on Canada business

Conclusion:

· Still a good franchise growing defensive consumer business managed conservatively

· Lack of short-term catalysts

· Fair valuation at 18x EV/EBIT

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