 Company Announces Record Quarterly Revenue Bethlehem, P.A., Aug. 18, 2020 GLOBE NEWSWIRE -- Edison Nation, Inc. NASDAQ:EDNT, a multifaceted ecosystem that fosters innovation and drives IP, media and consumer products, today announced results for the second quarter ended June 30, 2020.Company Highlights Company announces record quarterly revenue of 6.8 million. Relaunch of Edison Nation Medial division EN Medical, distributing personal protective equipment PPE and ancillary medical supplies to hospitals, government agencies, educational facilities and distributors. Formation of Global Clean Solutions Global, producing proprietary sanitizer stands with subscription-based refills of our in-house sanitizer, Purple Mountain Clean. Global secured a three-year contract with an additional two-year option to supply a large municipality with its Purple Mountain Clean hand sanitizer. EN MedicalGlobal revenue for the second quarter was 3.0M. Additionally, EN Medical has deferred revenue of 0.9M, which is net revenue based on fees for facilitating the shipment of goods and not the actual dollar value of the goods that were shipped to customers. EN Medical purchase orders received in the second quarter that are pending shipment total 9.9M and the total open purchase orders for EN Medical as of todays date are 44.4M. Edison Nation product sales for its core operations were 3.8M for the second quarter including increased sales on marketplaces such as Amazon. Beta version of ENovation ENgine, a SaaS platform to engage early stage businesses and entrepreneurs. Expansion of Pressix licensing agreement, and licensing of Table-to-Go from Edison Nation community. Return of Emmy-Award winning television show, Everyday Edisons, streaming on Crackle.First Quarter 2020 Financial SummaryRevenue Second quarter 2020 revenue increased to 6.8 million as compared to 5.9 million revenue in the second quarter of 2019, an increase of 15.28. The increase in revenue was primarily the result of an increase in business and new customers under the Companys Edison Nation Medical operations. First six months revenue of 10.5 million was a decrease of 1.16 million as compared to revenue of 11.7 million for the first six months of 2019.Net Loss Net loss in the second quarter of 2020 was 1.6 million, or 0.18 per basic and diluted share, compared to a net loss of 1.7 million, or 0.30 per basic and diluted share in the second quarter of 2019. Net loss for the first six months of 2020 was .33 million, or 0.04 per basic and diluted share, compared to a net loss of 3.1 million, or 0.55 per basic and diluted share in the second quarter of 2019.Adjusted EBITDA Adjusted EBITDA, a non-GAAP measure, totaled a negative 0.006 million in the second quarter of 2020, compared to a positive 0.009 million in the second quarter of 2019. Adjusted EBITDA, a non-GAAP measure, totaled negative 0.917 million in the first six months of 2020, compared to negative 0.193 million in the first six months of 2019. See below, under the heading Use of Non-GAAP Financial Information, for a discussion of Adjusted EBITDA and a reconciliation of such measure to the most comparable measure calculated under U.S. generally accepted accounting principles GAAP. Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net loss 1,602,139 1,775,065 332,647 3,153,462 Interest expense, net 841,529 401,170 1,571,111 525,864 Income tax expense - 51,005 - 74,200 Depreciation and amortization 296,108 332,187 612,406 633,570 EBITDA 458,877 990,703 1,850,870 1,919,828 Stock-based compensation 268,916 346,071 1,588,427 708,490 Restructuring and severance costs 189,009 134,597 431,145 170,982 Transaction and acquisition costs - - 82,736 223,538 Other non-recurring costs - 519,191 40,860 623,365 Gain on divestiture - - 4,911,760 - Adjusted EBITDA 1 952 9,156 917,722 193,453 1 On June 8, 2020 the Company entered into a binding memorandum of understating the Agreement with Office Mart, Inc. the Customer and Zaaz Medical, Inc. the Sourcing Partner collectively the Parties to deliver certain goods to a third party the Transaction. The Company was responsible for bringing the parties together and satisfied its performance obligation under the agreement. On August 10, 2020, the Company entered into an amendment to the Agreement the Amendment related to the Transaction whereas the Company and the Customer agreed to the settlement of the fees earned related to the Transaction of 907,500 as of June 30, 2020. The Transaction was recorded in accounts receivable and deferred revenues as of June 30, 2020 on the balance sheet with no impact to the condensed consolidated statement of operations. The Company has elected to defer the revenues until cash collection, but had the Company recognized the revenues adjusted EBITDA would have been 906,548 and 10,222 for the three and six months ended June 30, 2020, respectively. Management CommentaryChris Ferguson, Chief Executive, commented, During a challenging time in the world, our team has performed above and beyond expectations in both the core product business and the relaunch of Edison Nation Medical. The third quarter of 2020 will be the first full fiscal quarter for the new EN Medical, and we are excited for the continued validation and expansion of the Edison Nation business model. About Edison Nation, Inc.Edison Nation, Inc. is a multifaceted ecosystem which fosters innovation, driving IP, media and innovative consumer products. Edison Nation offers innovation sourcing, design, sales, fulfillment and shipping services. The Edison Nation Innovation Platform sources innovative ideas for internal launch or license to brand partners. Edison Nation hopes to leverage its television property Everyday Edisons to become the recognized leader in the innovator community. For more information, please visit of Non-GAAP Financial InformationEBITDA and Adjusted EBITDA is a financial measure that is not calculated in accordance with accounting principles generally accepted in the United States of America U.S. GAAP. Management believes that because Adjusted EBITDA excludes i certain non-cash expenses such as depreciation, amortization and stock-based compensation and ii expenses that are not reflective of the Companys core operating results over time such as restructuring costs, litigation or dispute settlement charges or gains, and transaction-related costs, this measure provides investors with additional useful information to measure the Companys financial performance, particularly with respect to changes in performance from period to period. Edison Nation management uses EBITDA and Adjusted EBITDA a as a measure of operating performance; b for planning and forecasting in future periods; and c in communications with the Companys Board of Directors concerning Edison Nations financial performance. The Companys presentation of EBITDA and Adjusted EBITDA are not necessarily comparable to other similarly titled captions of other companies due to different methods of calculation and should not be used by investors as a substitute or alternative to net income or any measure of financial performance calculated and presented in accordance with U.S. GAAP. Instead, management believes EBITDA and Adjusted EBITDA should be used to supplement the Companys financial measures derived in accordance with U.S. GAAP to provide a more complete understanding of the trends affecting the business.Forward-Looking StatementsThis press release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, included in this press release regarding strategy, future operations and plans, including assumptions underlying such statements, are forward-looking statements, and should not be relied upon as representing the Companys views as of any subsequent date. Such forward-looking statements are based on information available to the Company as of the date of this release and involve a number of risks and uncertainties, some beyond the Companys control, that could cause actual results to differ materially from those anticipated by these forward-looking statements, including consumer, regulatory and other factors affecting demand for the Companys products, any difficulty in marketing the Companys products in global markets, competition in the market for consumer products and inability to raise capital to fund operations and service the Companys debt. Additional information that could lead to material changes in the Companys performance is contained in its filings with the SEC. The Company is under no obligation to, and expressly disclaims any responsibility to, update or alter forward-looking statements contained in this release, whether as a result of new information, future events or otherwise. Edison Nation, Inc. 