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NASDAQ: INM Suite 310-815 W. Hastings St. Vancouver, BC, Canada V6C 1B4 Tel: +1.604.669.7207 Email: info@inmedpharma.com www.inmedpharma.com InMed Provides Update on BayMedica Rare Cannabinoid Business $2.3M revenues (un

Key Takeaway: InMed Pharmaceuticals Inc. provided a commercial update regarding its subsidiary, BayMedica, reporting growth in revenue exceeding $2.3M for the third consecutive quarter. BayMedica focuses on the supply of bioidentical rare cannabinoids to the Health and Wellness market, with efforts made to optimize the supply chain and increase production capacity. While InMed anticipates an overall net loss for the fiscal year, management remains optimistic about BayMedica's potential for profitability as demand for rare cannabinoids continues to rise.

Market Sentiment Analysis

POSITIVE FACTORS

  • InMed reported a revenue of over $2.3M, marking the third consecutive quarter of significant growth.
  • BayMedica is positioned as a leading supplier in the growing rare cannabinoid market.
  • There has been an increase in manufacturing throughput to meet customer demand.
  • The company sees a potential path for BayMedica to become profitable and contribute to overall margins.

CONCERNS & RISKS

  • InMed is expected to report an overall net loss for the year ending June 30, 2023.
  • Actual results may differ from forward-looking statements due to various risks and uncertainties.
  • The company's reliance on improving production processes may not guarantee sustained revenue growth.

Full Press Release Details

InMed Provides Update on BayMedica Rare Cannabinoid
BC - July 20, 2023 - InMed Pharmaceuticals Inc. ("InMed") (Nasdaq: INM), a leader in the pharmaceutical
research, development, manufacturing and commercialization of rare cannabinoids and cannabinoid analogs, today provided a commercial
and manufacturing update on its subsidiary BayMedica LLC ("BayMedica"), a leading supplier of bioidentical rare cannabinoids
to the Health and Wellness ("H&W") market.
are very encouraged to see another strong quarter with (unaudited) revenues in excess of $2.3M, representing our third consecutive quarter
with significant revenue growth." said Eric A. Adams, InMed's President and CEO. He added, "As demand for minor cannabinoids
continues to increase, we see a potential path for BayMedica to become a profitable standalone business subsidiary and contribute margin
to the pharmaceutical R&D parent."
Growing Revenue (Unaudited)
Supply Chain Optimization
As revenues have grown steadily over the past
several months, BayMedica has been diligently working to ensure sufficient inventory to meet the increasing demand of its bioidentical
rare cannabinoids. BayMedica has been focused on creating redundancy at both ends of the supply chain by securing more sources of raw
materials as well as securing additional downstream purification partners. In addition, BayMedica has recently hired a director for manufacturing
and logistics to oversee the supply chain function and manage third party vendors.
Increased Production
BayMedica, through its manufacturing partners,
has steadily increased manufacturing throughput to maintain supply of finished goods to meet customer demand over the last 12 months.
With completed and ongoing process improvements, BayMedica has the capability to potentially scale production to metric tonnes (thousands
of kilograms) should demand continue to rise.
BayMedica is a leading high quality, low cost
supplier of non-intoxicating bioidentical rare cannabinoids for the H&W sector: cannabichromene (CBC), delta-9 tetrahydrocannabivarin
(THCV), cannabidivarin (CBDV) and cannabicitran (CBT). BayMedica continues to optimize its manufacturing processes and supply chain logistics
to reduce the overall cost of goods, while also improving the already high quality and purity levels for all products in its portfolio.
have seen demand for rare cannabinoids surge over the past year, and we are pleased to have been able to increase production to meet the
needs of our customers," commented Shane Johnson, General Manager of BayMedica. "We attribute the increasing demand, in part,
to better research of rare cannabinoids, companies and brands looking for product innovation and effects-based outcomes, and the ability
of companies like ours to be able to reliably supply high quality rare cannabinoids with low batch-to-batch variations. We are pleased
to have established ourselves as a leading supplier of rare cannabinoids in this fast-growing yet still nascent market."
InMed experienced revenue growth for the fourth quarter in the BayMedica segment, management expects to report an overall net loss for
the year ended June 30, 2023. InMed plans to file a 10-K with audited financial statements, including audited revenue figures, in the
second half of September 2023.
InMed Pharmaceuticals is a global leader
in the research, development, manufacturing and commercialization of rare cannabinoids, including clinical and preclinical programs targeting
the treatment of diseases with high unmet medical needs. We also have significant know-how in developing proprietary manufacturing approaches
to produce cannabinoids for various market sectors. For more information, visit www.inmedpharma.com and www.baymedica.com.
Vice President, Investor Relations
and Corporate Communications
Cautionary Note Regarding Forward-Looking Information:
This news release contains "forward-looking
information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning
of applicable securities laws. Forward-looking information is based on management's current expectations and beliefs and is subject to
a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements.
Forward-looking information in this news release includes statements about: Q4 2023 revenue and revenue growth, the effectiveness of ongoing
process improvements, and increasing demand for rare cannabinoids.
Additionally, there are known and unknown risk
factors which could cause InMed's actual results, performance or achievements to be materially different from any future results, performance
or achievements expressed or implied by the forward-looking information contained herein. A complete discussion of the risks and uncertainties
facing InMed's stand-alone business is disclosed in InMed's Annual Report on Form 10-K and other filings with the Securities
and Exchange Commission on www.sec.gov.
All forward-looking information herein is qualified
in its entirety by this cautionary statement, and InMed disclaims any obligation to revise or update any such forward-looking information
or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect future results,
events or developments, except as required by law.

Frequently Asked Questions

What are BayMedica's recent revenue figures?

BayMedica reported unaudited revenues exceeding $2.3 million for the last quarter.

How is BayMedica optimizing its supply chain?

BayMedica is enhancing its supply chain by securing multiple raw material sources and adding purification partners.

What rare cannabinoids does BayMedica supply?

BayMedica supplies bioidentical cannabinoids including CBC, THCV, CBDV, and CBT.

Has BayMedica increased its production capacity?

Yes, BayMedica has improved production capacity to potentially scale to metric tonnes.

When will InMed file its audited financial statements?

InMed plans to file its 10-K with audited financial statements in the second half of September 2023.

Last updated: Jul 20, 2023