SHAREHOLDER UPDATE – APRIL 14, 2026

SHAREHOLDER UPDATE – APRIL 14, 2026

SHAREHOLDER UPDATE – APRIL 14, 2026

Digital Brand Media & Marketing Group, Inc. (“DBMM” and “The Company”), together with its flagship brand and 100% operating subsidiary, Digital Clarity (DC), is following its established practice of providing a Shareholder Update, issued concurrently with the filing of its 10-Q 2Q26 for the fiscal year second quarter ending February 28, 2026. The SEC Report is filed with the Securities & Exchange Commission via EDGAR and available to the public.

Following our last update issued on January 14, 2026, alongside the filing of our 1Q26 10-Q, Management is again providing perspective and clarification alongside our required quarterly disclosure. We do so because we believe our shareholders and investors require more than numbers, they deserve context and clarification. Particularly when DBMM has met all mitigating circumstances from the Final Dismissal of the delayed filings OIP to a lock-down environment with COVID to a complete business pivot from a highly commoditized business to a 21st century AI-focused management consultancy, individualized client by client. DBMM has met every challenge successfully. A formidable future, with benefit for all stakeholders. 

DBMM Management stands by its revenue forecast of $1.2million for 2026, which shifted from 2025 as stated in the earlier 10-K. This context is important and is a headline. OTC public companies often have a Wild West feeling. DBMM is no exception. It has non-shareholder bad actors touting naysaying opinions which benefit themselves, benefit other bad actors or are just chaos creating. It is a few of the same people 24/7/365. Management has repeated that information from the Company is the only source which is supported by the SEC. Opinions with fictional narratives should be ignored. 

The fact is revenue flow is very different in a management consultancy. As  an example revenues for the second quarter of fiscal 2026 remain on virtual parity with the prior period. 

The second quarter of the fiscal year reflects a period of deliberate, structured investment in the Company’s future. Management has been successfully executing its pivoted offering across multiple channels. The pipeline is converting to additional clients, and those engagements will roll out over the coming weeks and quarters and therefore reporting a transition in motion. The model, however, is very positive with much longer client relationships and contracts which expand resulting in much higher revenues. 

An example of this is one of our client relationships, Xamun, is taking a strategic pause to further expand its reach to a wider geographic audience with Digital Clarity totally integrated in those expansion plans. We expect that relationship to return in the third quarter under a broader, more substantive agreement, one that reflects the full scope of what Digital Clarity will be delivering for a company at Xamun’s stage of growth. Phase One was delivered from the initial partnership contract which is now being expanded dramatically. The collaboration is substantial and indicative of the expected increase in revenues and the value proposition. 

As background, Digital Clarity as the brand has delivered a strong foundation to DBMM as the public, holding Company for its new offering in 2025. That year was one of operating structure building: hiring, platform development, strategic repositioning, and client engagement at a high level of complexity. The level of professional sophistication required to provide each individualized client offering is formidable. 

Management repeated throughout 2025 that a bigger and better business model was being built that would be more remunerative than anything in the Company’s prior history. We continue to stand by those statements. The second half of fiscal 2026 is where that conviction will become visible in the numbers. The opportunity set has never been larger.

Reggie James, COO & Director, DBMM Group, Founder, Digital Clarity said, “We knew that building something genuinely differentiated would take time. I have said it before and I will say it again: we are not building a product looking for a problem. We are solving real problems for real clients and the market is telling us we have that right. The second half of this fiscal year is where that story starts to be told in revenue.”

DBMM, through its flagship brand Digital Clarity, is positioning itself at the intersection of two of the most consequential shifts in modern business – the accelerating demand for AI-enabled go-to-market capability, and the growing recognition that human judgment, relationships, and accountability cannot be automated away. Far from competing with each other, those two forces are reinforcing each other and they make the advisory seat at the table of decision makers more essential.

Business leaders across every sector are overwhelmed by AI-generated content, strategy, and noise. Everyone claims to provide AI products. Many drop to the curb when the market demands substance. The appetite for human intelligence, accountability, and genuine strategic expertise has never been greater and Digital Clarity is leaning into that reality.

The result is a positioning that is deliberate, differentiated and resonating. Digital Clarity as a management consultancy delivering strategic, ROI-enhancing direction, augmented by proprietary AI capability. This is a competitive advantage. Management believes this framing will prove to be a significant differentiator as the market matures and the limitations of fully automated approaches become more widely understood.

The Company’s proprietary AI platform, developed under the Digital Clarity Intelligence Engine (DCIE) framework, continues active real-world testing. Performance data and user feedback are being systematically fed back to the development team, marking each significant milestone in the platform’s progression. It has been built specifically for B2B go-to-market strategy, incorporating Digital Clarity’s own consulting methodology and frameworks, refined over more than two decades of client work. 

The two senior hires from the prior period, our Chief Revenue Officer and our Head of Customer and Revenue Operations, a former Gartner executive recognized for outstanding performance , are now fully integrated into the business. Both are already contributing to new business development and client delivery. Their additions cannot be understated. Talent of this caliber joins a company when the offering is credible and the opportunity is real.

Additional expertise will be sourced and integrated over the next two quarters. The Company is deliberate about when and how it adds to the team. Every hire must accelerate delivery, not simply add headcount. 

James commented, “The people we have brought in are builders. Both come with the networks, the execution discipline, and the market credibility that this business needs at this stage of its growth. Watching them engage with clients and prospective clients is  the blueprint in the macro-sense, DCIE is the micro-execution . Baby steps have served us well and it is coming together. AI is a continuous evolution as the environment becomes more and more demanding. 

Conditions in the business environment are more complex and more competitive than at any point in the recent past. But the opportunity is as large as it has ever been. DBMM Group is well-placed to capture it and that positioning is a genuine competitive advantage when recognized in the marketplace.

We are showing progress, reporting honestly, and executing with discipline. The second half of fiscal 2026 will reflect the success of the total execution in facts and metrics. 

For shareholders, the confidence in your own due diligence and decisions will pay off in 2026. For those evaluating DBMM for the first time we invite you to read the MD&A in the 2Q 10-Q filing in Edgar today, in conjunction with this update and to consider not just where the Company is today, but where it is undeniably headed.

In summary, all stakeholders stand to benefit. The trajectory is up. The metrics will be delivered in 2026 as well as new initiatives to increase investor awareness globally.

As always, DBMM Management thanks all stakeholders, investors, and supporters for their continued support in building long-term shareholder value.

Linda Perry and Reggie James

DBMM Management

SAFE HARBOR PROVISIONS

The foregoing contains certain predictive statements that relate to future events or future business and financial performance. Such statements can only be predictions, and the actual events or results may differ from those discussed due to, among other things, those risks described in DBMM’s reports filed with the SEC. Opinions expressed herein are subject to change without notice. This document is published solely for information purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy any securities in any state. Past performance does not guarantee future performance. Additional information is available upon request.