Connect with us
Our website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.


Mene Inc. Reports First Operating Income and Record Revenue for Third Quarter 2020


Menē Inc. (TSX-V:MENE) (US:MENEF) (Menē or the Company), an online 24 karat jewelry brand, today announced financial results for the third quarter ended September 30, 2020 (Q3 2020). All amounts are expressed in Canadian dollars unless otherwise noted.


  • Record Revenue of $5.4 million, an increase of $2.2 million, or 69% year-over-year (YoY). Non-IFRS Revenue2 of $6.1 million, an increase of $2.7 million, or 78% YoY.
  • Record Gross Profit of $1.6 million, a 58% increase YoY. Non-IFRS Gross Profit3 increased by 67% to $1.8 million.
  • Reported first Quarterly Operating Income of $0.2 million since the Company began selling its products to customers in January 2018.
  • Record Low Operating Expenses as a percentage of revenue of 25%, compared to 37% in the previous quarter and 55% in the same quarter last year.
  • Sold 5,958 units of jewelry through 3,464 Customer Orders during the quarter, an increase of 15% and 16% respectively YoY.
  • Jewelry Weight Sold of 56 total kg, an increase of 12 kg, or 26% YoY.
  • Average Order Value of $1,757, an increase of 47% YoY.
  • Inventory level of 177 Gold Equivalent Kilograms, an increase of 35% quarter-over-quarter (QoQ) as the Company stocks up for anticipated growth in sales during the holidays.
  • At September 30, 2020, the Company had Tangible Common Equity6 of $12.1 million, including $5.1 million in cash and cash equivalents, $12.8 million in short-term investments, with a net working capital of $11.4 million.


  • Introduced 20 new product designs during the quarter, including two heavy chain designs: Oval Link Chain and Flat Curb Chain.
  • Introduced four new designs for the Saints collection and four new designs for the Woven collection in October, 2020.
  • Introduced a new Zodiac collection with 12 new designs of pendants in November 2020.
  • Returning Customers attributed to 65% of total sales due to great customer satisfaction.
  • Outstanding Customer Order Waitlist of approximately $5.4 million as of November 2020.
  • Cumulative units of jewelry sold reached 64,488 as of quarter end and nearly half a tonne of precious metal weight.
  • Registered more than 18,400 independent customer reviews on
  • MenÄ“s 24 karat gold Linear Link Chain was featured in Vogue Arabias October 2020 issue
IFRS Consolidated Income Statement Data & Key Performance Indicators (KPIs)1 FY 2020 FY 2019 FY 2018
Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4
Revenue (CAD)









Gross profit (CAD)









Gross profit (%)









Net loss









Total comprehensive loss









Non-IFRS Adjusted Revenue (CAD)2









Non-IFRS Adjusted Gross Profit (CAD)3









Non-IFRS Adjusted Loss4









Total Shareholders’ Equity (CAD)









Inventory balance (kg of gold)5









Customer orders









Units of jewelry sold









Jewelry weight sold (total kg)









  1. The Companys financial statements for fiscal year-ending 2019 and 2018 are audited by an external assurance firm.
  2. The Company adjusts its revenue by adding back the value of jewelry that was returned by customers, and discounts given to customers. These adjustments are made to assess the gross revenue before deducting these items from revenue per IFRS. See Non-IFRS Measures for a full reconciliation.
  3. The Company adjusts its gross profit by adjusting for revenue and cost of sales to be added back for the value of jewelry that was returned by customers, and discounts given to customers. See Non-IFRS Measures for a full reconciliation.
  4. The Company adjusts its total comprehensive loss by adjusting for Non-IFRS Adjusted Gross Profit, and removing the impact of non-cash expenses, consisting of depreciation and amortization, stock-based compensation, accretion, revaluation of metal loan and translation gain or loss. See Non-IFRS Measures for a full reconciliation.
  5. Inventory balances in kilograms of gold are calculated by taking the total Canadian Dollar (CAD) inventory value at each quarter-end date, and dividing the value by the CAD gold spot price per gram.


Menē continues to perform exceptionally well in fiscal 2020. In Q3 2020 we set a new revenue and gross profit record and achieved our first IFRS operating income. Stripping out the interest and metal loan revaluations, the business was profitable in Q3 2020. Even more so when excluding non-cash and extraordinary items which are accounted under IFRS. I am very pleased with these results and the sustainable business that we have built. We have sold nearly 65,000 units of jewelry to almost 30,000 customers in less than three years. We expect a strong finish to the year and are already setting new records for Black Friday and Cyber Monday, which included a new one-day sales record of $587,000 on Friday November 27th, 2020. This new record eclipsed our prior daily record of $283,000, which was set on March 9, 2020. The holiday season and our historically strongest month of December are around the corner, and we have sufficient inventory levels to end the year on a strong note.

As regards to 2021, we are nearing the launch of our revised business model which will include pre-orders. This enhancement to the customer experience will, in my view, transform our ability to generate revenue and scale the business. We have also made improvements to our manufacturing process which will allow us to produce circa 7 kg of non-chain SKUs per week. The Chain category, which now accounts for nearly 40% of our sales mix, is easily scalable to 20 kg a week at current run rates. Consequently, we feel that between the revised business model launch and the manufacturing enhancements, we are in a position to continue growing at these rates into 2021 and even 2022. With that said, we prefer not to provide any concrete guidance on projected revenues and growth as such guidance introduces unnecessary pressure to our business and operating culture.

Long-term investors in Menē should feel satisfied that we have de-risked the business, established a sustainable operating model, and continued to grow our brand equity. Our business grows organically and through word of mouth which demonstrates the satisfaction and passion of our growing customer base. Scaling from $20 million a year in sales to $50 million, $100 million, or more seems within our reach so long as we maintain our operating discipline. We know that even today, Menē can capture far more in sales as demand continues to exceed supply for most SKUs. This is why we are enthusiastic about the pre-order system that we are preparing to launch as we feel that millions in potential sales will be achieved by more intelligently matching demand with supply. I would like to thank the entire Menē team for their hard work and superb performance in what has been a challenging year. I would also like to thank our customers and shareholders for their continued trust.

Non-IFRS Measures

This news release contains non-IFRS financial measures; the Company believes that these measures provide investors with useful supplemental information about the financial performance of its business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating its business. Although management believes these financial measures are important in evaluating the Company’s performance, they are not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with IFRS. These non-IFRS financial measures do not have any standardized meaning and may not be comparable with similar measures used by other companies. For certain non-IFRS financial measures, there are no directly comparable amounts under IFRS. These non-IFRS financial measures should not be viewed as alternatives to measures of financial performance determined in accordance with IFRS. Moreover, presentation of certain of these measures is provided for year-over-year comparison purposes, and investors should be cautioned that the effect of the adjustments thereto provided herein have an actual effect on the Company’s operating results.

Non-IFRS Adjusted Revenue2 is a non-IFRS measure. The Company adjusts its revenue by adding back the value of jewelry that was returned by customers, and discounts given to customers. These adjustments are made to assess the gross revenue before deducting these items per IFRS revenue. The closest comparable IFRS measure is revenue.

Non-IFRS Adjusted Gross Profit3 is a non-IFRS measure. The Company adjusts its gross profit by adjusting for the additional revenue and associated cost of sales added back for the value of jewelry that was returned by customers, and discounts given to customers. The closest comparable IFRS measure is gross profit.

Non-IFRS Adjusted Loss4 is a non-IFRS measure. Non-IFRS Adjusted Loss is a non-IFRS measure, calculated as total comprehensive loss, plus adjustment for Non-IFRS Adjusted Gross Profit and debt forgiveness, and excluding depreciation and amortization, stock-based compensation, accretion, revaluation of metal loan, and translation gain or loss. The closest comparable IFRS measure is total comprehensive loss.

Tangible Common Equity6 is a non-IFRS measure. It is calculated as total shareholders equity excluding intangible assets.

For a full definition of non-IFRS financial measures used herein to their nearest IFRS equivalents, please see the section entitled “Non-IFRS Financial Measures” in the Company’s MD&A for the quarter ended September 30, 2020.

About Menē Inc.

Menē crafts pure 24 karat gold and platinum jewelry that is transparently sold by gram weight. Through, customers may buy jewelry, monitor the value of their collection over time, and sell or exchange their pieces by gram weight at prevailing market prices. Menē was founded by Roy Sebag and Diana Widmaier-Picasso with a mission to restore the relationship between jewelry and savings. Menē empowers consumers by marrying innovative technology, timeless design, and pure precious metals to create pieces which endure as a store of value.

For more information about Menē, visit

Forward-Looking Statements

This news release contains certain forward-looking information within the meaning of applicable Canadian securities laws that are based on expectations, estimates and projections as at the date of this news release. Any statements that involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as expects, or does not expect, is expected, anticipates or does not anticipate, plans, budget, scheduled, forecasts, estimates, believes or intends or variations of such words and phrases or stating that certain actions, events or results may or could, would, might or will be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information and are intended to identify forward-looking information.

This forward-looking information is based on reasonable assumptions and estimates of management of the Company at the time it was made, and involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others; an inability to predict and counteract the effects of COVID-19 on the business of the Company, including but not limited to the effects of COVID-19 and other infectious diseases presenting as major health issues on the price of precious metals, capital market conditions, restriction on labour and international travel and supply chains; failure to comply with environmental and health and safety laws and regulations; operating or technical difficulties in connection with the manufacture, sale and distribution of jewelry; actual audited results differing from reported unaudited results; global economic climate; dilution of the Companys shares; the Companys limited operating history; future capital needs and uncertainty of raising capital; the competitive nature of the jewelry industry; currency exchange risks; the need for the Company to manage its planned growth and expansion; the effects of product development and need for continued technology and manufacturing change; protection of proprietary rights; the effect of government regulation and compliance on the Company and the industry; network security risks; the ability of the Company to maintain properly working systems; theft and risk of physical harm to personnel; reliance on key personnel; global economic and financial market deterioration impeding access to capital or increasing the cost of capital; and volatile securities markets impacting security pricing unrelated to operating performance. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company undertakes no obligation to revise or update any forward-looking information other than as required by law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Media and Investor Relations Inquiries:

Renee Wei

Head of Investor Relations

Adil Sheikh

Chief Financial Officer

Menē Inc.

+1 647 250 7221

Editorial & Advertiser disclosure

Call for Entries

Global Banking and Finance Review Awards Nominations 2022
2022 Awards now open. Click Here to Nominate

Newsletters with Secrets & Analysis. Subscribe Now


Global Banking & Finance Review® is a leading financial portal and Print Magazine offering News, Analysis, Opinion, Reviews, Interviews & Videos from the world of Banking, Finance, Business, Trading, Technology, Investing, Brokerage, Foreign Exchange, Tax & Legal, Islamic Finance, Asset & Wealth Management. Copyright © 2010-2021 GBAF Publications Ltd - All Rights Reserved.