Inspira Technologies Reports Second Quarter 2022 Financial Results As of

Inspira Technologies Reports Second

Quarter 2022 Financial Results

As of June 30, 2022, the Company had $19.2

Ra'anana, Israel- Inspira Technologies

OXY B.H.N. Ltd. (Nasdaq: IINN, IINNW) (the "Company" or "Inspira Technologies"), a groundbreaking respiratory

support technology company, announced today its financial results for the second quarter ended June 30, 2022.

Dagi Ben-Noon, Chief

Executive Officer of Inspira Technologies, stated: The Company continues to meet its scheduled major objectives and improve its position

within the target market of direct blood oxygenation. Our focus on contributing to medical advancement within this space is exemplified

by the introduction of our new HYLATM, a non-invasive blood sensor being designed to perform real-time and continuous blood

measurements. The HYLATM is being designed to assist physicians in the monitoring of a patient's clinical condition,

alerting of a sudden change in the patient's vital signs, which may require immediate medical attention and potentially save lives.

Planned as a technically advanced component

for the InspiraTM ART system, the HYLATM will also have its own distinct target market and business model.

Recently, Inspira also revealed the first

public pictures of the ALICE Device, designed as a cardiopulmonary bypass (CPB) or heart-lung bypass device. We continue to

strategically enhance our presence within the market as we prepare to enter the verification and validation (V&V) process with the

U.S. Food and Drug Administration (FDA) approval of our technologies."

Financial Results for the Six Months Ended June

Research and development expenses for the

six months ended June 30, 2022, were $4.3 million, compared to $1.1 million for the corresponding period in 2021. The increase

is a result of the Company's recruitment of specialized manpower and the expanded development of its new technologies and operations.

Marketing expenses for the six months ended

June 30, 2022, were $777,000, compared to $244,000 for the corresponding period in 2021. The increase is attributed to rises in marketing,

payroll, and share-based compensation expenses. Marketing activities commenced in the first quarter of 2021 and became more intensive

with the Company's need to create brand awareness and explore go-to-market capabilities.

General and administrative (G&A) expenses

for the six months ended June 30, 2022, were $2.9 million, compared to $1.2 million for the corresponding period in 2021.

The increase stemmed primarily from an uptick in payroll and related expenses, as well as costs associated with the Company's status

as a publicly traded company following its initial public offering (IPO) on Nasdaq in July 2021, the increase in existing and new expenses

included professional fees, director fees, and directors' and officers' insurance costs.

Finance income for the six months ended June

million, compared to expenses in the amount

of $5.7 million for the corresponding period in 2021. The increase in finance income derived from the calculation of the fair value

of the Company's financial equity liabilities to pre-IPO and IPO investors in addition to the fluctuation in the USD exchange rate

during the first half of 2022.

Net loss for the six months ended June

30, 2022, was $3.5 million, compared to a net loss of $8.2 million for the six months ended June 30, 2021.

Financial highlights for the quarter ended June

Research and development expenses for the

three months ended June 30, 2022, were $2.7 million, an increase of $1.2 million compared to the first quarter of 2022. The

increase was attributed to share-based compensation expenses in addition to expected R&D expenditures on new technologies and new

General and administrative expenses for the

three months ended June 30, 2022, were $1.4 million, a non-material decrease of $0.2 million compared to the first quarter of

Sales and Marketing expenses for the three

months ended June 30, 2022, were $0.3 million, a decrease of approximately $0.17 million compared to the first quarter of 2022.

Balance Sheet highlights

Cash, cash equivalents, and short-term bank

deposits were $19.2 million as of June 30, 2022, compared to $23.7 million as of December 31, 2022.

Financial liabilities at fair value totaled

$0.4 million as of June 30, 2022, compared to $3.2 million on December 31, 2021. The financial liabilities represent the fair value of

the Company's equity liabilities to pre-IPO and IPO investors.

As of June 30, 2022, shareholders' equity

totaled $17.8 million, compared to shareholders' equity totaling $20.3 million as of December 31, 2021.

Inspira Technologies OXY B.H.N. Ltd.

Inspira Technologies is an innovative medical

technology company in the respiratory treatment arena. The Company has developed a breakthrough Augmented Respiration Technology (Inspira ART),

designed to rebalance patient oxygen saturation levels. The Company's technology potentially allows patients to remain awake during

treatment while minimizing the need for highly invasive, risky, and costly mechanical ventilation systems that require intubation and

medically induced coma. The Company's product has not yet been tested or used in humans and has not been approved by any regulatory

For more information, please visit our corporate

Forward-Looking Statement Disclaimer

Investor Relations, MS-IR LLC

+917-607-8654 msegal@ms-ir.com

RedChip Companies Inc.

1-800-RED-CHIP (733-2447)

MRK-ARS-033 Copyright 2018-2022 Inspira

UNAUDITED CONDENSED INTERIM STATEMENTS OF

(US dollars in thousands)

UNAUDITED CONDENSED INTERIM STATEMENTS OF

COMPREHENSIVE INCOME

(US dollars in thousands)

CONDENSED INTERIM STATEMENTS OF CHANGES IN

SHAREHOLDERS' EQUITY

(US dollars in thousands)

For the Three-Month Period Ended June 30,

For the Six-Month Period Ended June 30, 2022