Mastermind Reports Third Quarter Fiscal Year 2020 Results

Confident Outlook based on New Business from Both New and Existing Clients and Tight Expense Control

ATLANTA--(BUSINESS WIRE)--Mastermind, Inc. (OTCQB: MMND), a leading vertically-integrated digital marketing company that designs, creates and activates marketing initiatives for global brands, announced financial results for the third quarter of fiscal 2020, ended June 30, 2020.

Dan Dodson, CEO of Mastermind, commented, “Mastermind’s services have been filling the marketing void created since the COVID-19 pandemic began. Mastermind’s deep experience and stellar service reputation has attracted new projects from new and existing clients who are anxious to reach their target audiences through social and digital channels with initiatives such as social e-commerce, content marketing, reputation management and social engagement. This contributed to our strong third fiscal quarter results with revenue reflecting typical business fluctuations and a modest impact from the pandemic earlier in the quarter when clients were still working through how to operate during the health crisis. Gross margin expansion and tight expense control resulted in a 49% year-over-year increase in income from operations. With a robust pipeline of potential new business from our Fortune 500 target market, a tight rein on expenses, and supported by a strong balance sheet, we believe that Mastermind is well positioned for future growth.”

Third Quarter Fiscal 2020 Highlights

• Income from Operations of approximately $143,000, or 49% higher when compared to Income from Operations of approximately $96,000 for the third quarter of fiscal 2019
• Total revenue of $0.86 million compared to $1.3 million for the third quarter of fiscal 2019
• Gross margin of 23.7% compared to 21.4% for the third quarter of fiscal 2019
• General and Administrative expenses were $0.52 million, or 42% lower when compared to $0.89 million for the third quarter of fiscal 2019
• Stockholders' equity was $1.3 million at March 31, 2020 compared to $1.0 million at September 30, 2019

Detailed financial information can be found in Mastermind’s Quarterly Report on Form 10-Q for the period ended June 30, 2020 and filed with the Securities Exchange Commission on August 14, 2020.

About Mastermind, Inc.

Mastermind, Inc. provides thinking that drives results for leading marketers. It has over 30 years of experience in dozens of industries helping involve people with leading brands in ways that inspire them to take action. Mastermind has a total, data-driven approach that drives brand consideration, trial, loyalty, and advocacy. The company has extensive marketing expertise in Content, Digital, Influencer, Social, Promotion, Channel Optimization, and Digital Issues Management. This allows Mastermind to create and execute multi-dimensional campaigns that drive results. For more information about Mastermind, Inc., please visit: www.MastermindMarketing.com.

Forward-Looking Statements

This press release of Mastermind, Inc. (the “Company”) contains, or may contain, among other things, certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve significant risks and uncertainties. Such statements may include, without limitation, statements with respect to the Company’s plans, objectives, projections, expectations and intentions and other statements identified by words such as “projects,” “may,” “will,” “could,” “would,” “should,” “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “potential” or similar expressions. These statements are based upon the current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties, including those detailed in the Company’s filings with the Securities and Exchange Commission. Actual results (including, without limitation, market acceptance of the Company’s services; competition from existing products/services or new products/services that may emerge; the implementation of the Company’s business model and strategic plans for its business and its services; estimates of the Company’s future revenue, expenses, capital requirements and need for financing; and developments relating to the Company’s competitors) may differ significantly from those set forth in the forward-looking statements. These forward-looking statements involve certain risks and uncertainties that are subject to change based on various factors (many of which are beyond the Company’s control). The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.