File: '\\swfile\EmailIn\20240228 160659 Attachment INEO Press Release_Q2-2024 Financials FINAL.docx'

INEO Announces Fiscal Second Quarter 2024 Financial Results

INEO is hosting an investor webinar to discuss its quarterly results and give a corporate update on March 7, 2024 at 10:00 am PT (1:00 pm ET)

Surrey, BC - February 28, 2024 - INEO Tech Corp. (TSX-V: INEO; OTCQB: INEOF) (the "Company" or "INEO"), the innovative developer and operator of the INEO Media Network, a digital advertising and analytics solution for retailers, today announced it has filed its Interim Consolidated Quarterly Financial Statements and Management's Discussion and Analysis on SEDAR.com for the Company's fiscal second quarter ended December 31, 2023.

Greg Watkin, Chairman and Founder of INEO, commented, "We had the highest quarterly revenue in the Company's history and are looking forward to a great year in 2024. We are continuing to deploy Welcoming Systems with our large retail partners and our direct sales pipeline is growing with several promising new opportunities where we have already installed pilot locations. Furthermore, our recently launched INEO Retail Media division is making waves in the media industry and has laid the groundwork for increased revenue generation opportunities in the coming months. We expect INEO Retail Media to capitalize on the Company's updated retailer agreements whereby we have exclusive media rights on digital screens within these retail stores."

Fiscal Second Quarter 2024 Financial Highlights:

INEO generated $519,619 of revenue for the three months ended December 31, 2023, as compared to revenue of $386,425 for the three months ended December 31, 2022. The increase in revenue was mainly due to the sale of Welcoming Systems to partner Prosegur for installation at a retailer in Colombia.

INEO generated gross profit for the three months ended December 31, 2023, of $188,523, as compared to gross profit of $181,210 for the quarter ended December 31, 2022.

INEO achieved gross margin percentage of 36.3% for the three months ended December 31, 2023, compared to gross margin percentage of 46.9% for the quarter ended December 31, 2022.

Net loss for the three months ended December 31, 2023 improved to $643,335 or $0.01 per share compared to net loss of $981,707 or $0.01 per share for the three months ended December 31, 2022.

Adjusted EBITDA loss for the three months ended December 31, 2023 was $411,058, compared to Adjusted EBITDA loss of $856,281 for the three months ended December 31, 2022.

As at December 31, 2023, the Company had 76,143,709 shares issued and outstanding.

Fiscal Second Quarter 2024 Business Highlights:

On December 13th, 2023, the Company introduced INEO Retail Media. INEO Retail Media is the exclusive provider of in-store media systems for INEO's customers. This new operating division will provide INEO with the vehicle and focus to drive revenues from advertising and analytics through its growing media network.

Events Subsequent to December 31, 2023:

On January 11, 2024 INEO announced it would be proceeding with a non-brokered private placement of unsecured convertible debentures of the Company (the "Debentures") in the aggregate principal amount of up to $700,000 (the "Offering"). Each Debenture would be convertible into common shares in the capital of the Company (each, a "Share") at a conversion price of $0.085 per Share for the first year from the date of issuance and thereafter at an adjusted conversion price of $0.10 per Share until the date which is three (3) years from the date of issuance (the "Maturity Date") and bear interest at the rate of 12.0% per annum for a period expiring on the Maturity Date.

On January 31, 2024, the Company announced that further to its news release dated January 11, 2024, it had closed the first tranche of its non-brokered private placement (the "Offering") of convertible debentures (each, a "Debenture") for gross proceeds of $510,000.

On February 16, 2024, the Company announced that further to its news releases dated January 11, 2024 and January 31, 2024 it had closed a second tranche of its non-brokered private placement (the "Offering") of convertible debentures (each, a "Debenture") for gross proceeds of $60,000. INEO also announced it is no longer accepting investment in this Offering.

Kyle Hall, CEO of INEO commented on the Company's progress, "2024 has started off well for the Company with the close of a successful financing to enable the continued expansion of the INEO Media Network. Additionally, the launch of our INEO Retail Media division is going well. INEO Retail Media's mission is to focus on the selling of advertising on the systems and screens deployed in the stores of our retail partners. This is a vital strategic initiative to allow INEO to increase the Company's revenue from the sale of advertising. We expect advertising revenue to grow substantially this year."

Webinar Details:

The Company will hold a webinar to discuss its results and provide an outlook on the business, on Thursday, March 7, 2024 at 10:00 am PT (1:00 pm ET).

Webinar Registration: https://bit.ly/49wdACU

Date: March 7, 2024

Time: 10:00 am PT (1:00 pm ET)

Select Financial Highlights:

For the three months ended December 31

For the six months ended December 31

2023

2022

2023

2022

Sales

$ 519,619

$ 386,425

$ 885,550

$ 802,511

Cost of Sales

(331,096)

(205,215)

(553,292)

(413,655)

Gross Profit

188,523

181,210

332,258

388,856

Profit Margin

36.3%

46.9%

37.5%

48.5%

Total Expenses

(761,753)

(1,129,765)

(1,601,111)

(1,934,589)

Other Income (Expenses)

(70,105)

(33,152)

(125,022)

(26,588)

Net loss and comprehensive loss

(643,335)

(981,707)

(1,393,875)

(1,572,321)

Basic and diluted loss per share

(0.01)

(0.01)

(0.02)

(0.02)

Weighted average number of common shares outstanding (basic and diluted)

76,143,709

67,820,107

76,143,709

64,005,122

EBITDA (1)

(411,058)

(856,281)

(963,236)

(1,368,567)

The following table highlights operational information for the three months ended December 31, 2023, and 2022. It has been derived from the unaudited interim condensed consolidated financial statements and should be read in conjunction with these statements and related notes.

See the section Reconciliation of Net Loss to Adjusted EBITDA

Footnotes:

Readers are cautioned that Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization and Stock Compensation), does not have standardized meanings prescribed by IFRS and is considered a non-IFRS measure. Adjusted EBITDA is a useful supplemental measure of the Company's performance prior to consideration of how operations are financed or how results are taxed or how depreciation and amortization affects results. Adjusted EBITDA is not intended to represent net earnings calculated in accordance with IFRS.

On behalf of the Board of Directors

Kyle Hall, CEO,

INEO Tech Corp.

About INEO Tech Corp. (TSXV: INEO; OTCQB: INEOF)

INEO Tech Corp., through its wholly owned subsidiary, INEO Solutions Inc., operates the INEO Media Network, a digital advertising and analytics solution for retailers. INEO's patented technology integrates and monetizes digital screens with theft detection sensor gates at the entrance of retail stores. The Company's cloud-based platform uses IoT (Internet of Things) and AI (Artificial Intelligence) technology to deliver customized digital advertising to each retail location based on the demographic mix, such as age and gender, of customer traffic at each location. The Company also deploys the INEO Welcoming Network technology through a SaaS-based solution to larger retail chains. INEO is headquartered in Surrey, Canada and publicly traded on the TSX-Venture Exchange under the symbol "INEO" and on the OTCQB-Venture Market under the symbol "INEOF".

For more information please visit:

Website: www.ineosolutionsinc.com

LinkedIn: www.linkedin.com/company/ineosolutions

Facebook: www.facebook.com/ineosolutionsinc

Instagram: www.instagram.com/ineosolutionsinc

Twitter: www.twitter.com/INEOsolutions

Forward-Looking Statements

Investors are cautioned that, except as disclosed in the disclosure document, any information released or received with respect to the Company may not be accurate or complete and should not be relied upon. Trading in securities of the Company should be considered highly speculative.

This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. Important factors - including the availability of funds, acceptance of the Company's products, competition, and general market conditions - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed on SEDAR, including the Annual Information Form for the year ended June 30, 2022 filed on SEDAR on November 4, 2022. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Neither the 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.

For further information:

Kyle Hall

CEO, INEO Tech Corp.

investor@ineosolutionsinc.com

(604) 244-1895