Tinybeans : March-2022 Quarter Results

where parents go

Approved by the Board of Tinybeans Group LtdApril 29th (28th in the US), 2022

Q3-FY22 Quarterly Activity Report Third Quarter Fiscal 2022

(ASX: TNY; OTCQB: TNYYF)

Unless otherwise noted, amounts are in USD and are unaudited

FROM THE CEO

Q3-FY22: Growth Continues

"We are pleased to report that Tinybeans delivered another strong performance in Q3, generating overall revenue of US$1.85M, up 40% on the same period 12 months prior (pcp). While this quarter tends to be slower due to seasonality as advertising budgets reset in the U.S., the significant growth across both advertising and consumer segments is very positive and encouraging.

Advertising: We will continue to deliver double digit revenue growth in advertising however we expect a slower rate of growth. We will also continue to make strategic decisions to pull back on programmatic ad revenue to support growth in our subscription product.

The result includes US$1.31M in advertising revenues up 37% on pcp, and growth in Beanstalk, our paid subscription product, to US$160k in Monthly Recurring Revenues (MRR). The quarter finished with over 48k paying subscribers, which is slower growth relative to Q2, but not unexpected given the need to prepare the product for paid channel investment.

Subscriptions: We will employ a new customer centric product strategy aimed at restoring 5 star app ratings and rebuilding organic growth for the audience on the web, amongst other key growth drivers.

Tinybeans has been on a tear over the last two years--investing aggressively and growing revenues rapidly. As the U.S economy shows signs of stress, we will take a more cautious approach to our financial strategies as we move toward the new fiscal year ahead.

While consumer trust continues to erode across many sources of information, inspiration and connection, Tinybeans has never been more relevant than today as we continue to place our stake in the ground as a trusted member of the family, which parents can count on for relevant content, safe connections and private photo sharing to help parents raise amazing kids."

We will delay our uplist to the Nasdaq, and shiſt our priorities to strengthening our foundations, slowing our investments and aiming for cash flow positive. Based on this adjusted strategy, we have pushed out our goal of getting to a 50/50 revenue split between Advertising and Consumer by 2026.

Eddie Geller Co-Founder and Chief Executive Officer

LARGE ADDRESSABLE MARKET

Massive Opportunity

$934B

Annually

3https://www.usda.gov/media/blog/2017/01/13/cost-raising-child

4M Births per year

X

$233,610 Cost of raising a child to 17*

= $15.8T

= Cumulative TAM for parenting till 17

Itʼs wonderful seeing our grandkids growing up. I feel so connected! I love giving photo books & personalized giſts theyʼll cherish for a lifetime.

Expecting Mother

Iʼm Pregnant!

Iʼm a first time mother. "I have no idea where to start to find the best resources for parents?" My doctor recommends Tinybeans.

I visit Tinybeans and see "must have" resources, ideas & products for new parents. "Wow! Iʼm relieved & feel confident weʼll be ready when baby arrives!

Baby Arrives

Weʼre home from the hospital. "Iʼm overwhelmed!" I open the Tinybeans app to privately share photos with family & get recommendations for babyʼs first day home. "Whew!"

First Year

"Tinybeans is a game changer!" I share photos/ videos, track milestones, get parenting ideas, learn about the latest products, & get advice from parents in my community!

Weʼre Grandparents!

Growing Up (2-17)

I love the age-appropriate recommendations, things to buy, book, ideas, & getting/ giving advice…and the "flashbacks" and photo books bring back wonderful memories!

THIRD QUARTER FISCAL 2022 SUMMARY

Strong growth continued, with revenue up 40% to US$1.85M

• ● Revenues of US$1.85M, up 40% YoY, largely driven by advertising revenues of US$1.31M, up 37% YoY and Paid subscriptions to US$460K, up 110% YoY. Other revenue includes Printing and E-commerce revenues

• ● Tinybeans delivered growth in a seasonally weak quarter. Q3 is the first quarter of the calendar year where advertising budgets are yet to be determined, let alone contracted

• ● Subscription revenues continued to grow into the quarter, 110% up on 12 months prior and also 27% up on Q2

• ● Tinybeans intends on becoming cash flow positive. The Company expects to maintain a positive cash balance without raising further capital

15

YTD Contracts > $100k

(13 entire FY21)

48K

Major Growth Drivers

#1

Paying Subscribers

Apple Guides Partner

• ● Powerful value proposition for advertisers of high trust + first party data

• ● Existing and repeat brands (70% repeat, 30% new)

• ● Doubling Recurring Revenues with paid subscriptions