Lendified Holdings Inc.

Condensed Interim Consolidated Financial Statements

For the three and six months ended June 30, 2021 and 2020

(Unaudited)

Notice of No Auditors' Review of Condensed Interim Consolidated Financial Statements

The accompanying unaudited condensed interim consolidated financial statements of Lendified Holdings Inc. (the "Company") have been prepared by and are the responsibility of the Company's management. The Company's independent auditor has not performed a review of these condensed interim consolidated financial statements in accordance with standards established by Chartered Professional Accountants of Canada for a review of interim financial statements by an entity's auditor.

Lendified Holdings Inc. (formerly, Hampton Bay Capital Inc.)

Condensed Interim Consolidated Statements of Financial Position (Unaudited) (All amounts stated in Canadian dollars)

As at

June 30,

December 31,

Note

2021

2020

(audited)

Assets

Current

Cash

$610,611

$547,555

Cash in-trust

1,447,572

656,700

Current portion of restricted cash

6(iii)(iv)

494,285

1,035,858

Current portion of loans receivable

4

2,277,497

4,489,760

Accounts receivable

26,105

263,454

Prepaid expenses and deposits

120,916

123,774

Total current assets

4,976,986

7,117,101

Loans receivable

4

525,921

271,556

Restricted cash

6(iii)(iv)

-

26,898

Property and equipment

719

4,462

Intangible assets

-

4,545

Long term investment

200,839

200,837

Total assets

$5,704,465

$7,625,399

Liabilities

Current

Accounts payable and accrued liabilities

12

$5,385,187

$5,144,325

Current portion of loans payable

6, 16

11,782,159

15,612,971

Lease liabilities

5

129,696

129,696

Other payable

8(x)

1,317,500

-

Convertible shareholder debt

7

3,612,910

3,394,634

Deferred revenue

3,783

3,783

Total current liabilities

22,231,235

24,285,409

Loans payable

6, 16

405,290

365,142

Derivative liability

6, 14

217,389

169,673

Total liabilities

22,853,914

24,820,224

Shareholders' deficiency

Share capital

8, 16

29,048,634

29,048,634

Contributed surplus

6,778,182

6,603,032

Deficit

(52,976,265)

(52,846,491)

Total shareholders' deficiency

(17,149,449)

(17,194,825)

Total liabilities and shareholders' deficiency

$5,704,465

$7,625,399

Going concern (Note 1)

Subsequent events (Note 16)

On behalf of the Board:

"Peter Ostapchuk" (signed)

"John Gillberry" (signed)

Director, Chair of Audit Committee

Director

2

Lendified Holdings Inc. (formerly, Hampton Bay Capital Inc.)

Condensed Interim Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) (Unaudited) (All amounts stated in Canadian dollars)

Three Months

Three Months

Six Months

Six Months

Ended

Ended

Ended

Ended

June 30,

June 30,

June 30,

June 30,

Note

2021

2020

2021

2020

Finance income

Interest income

$

Financing related expenses

Interest and financing costs

10

Provision for credit losses

4

Total financing related expenses

Financing margin

Other income

Operating expenses

Advertising and promotion

Office and general

Professional fees

12

Interest and financing costs for corporate operations

10

Salaries and benefits

9,12

Technology and development

Fair value adjustment on financial instruments

14

Listing expenses

Non-cash loss on completion of reverse takeover

Loss on extinguishment of bridge loan warrants

Amortization and depreciation

Total operating expenses

Income/(Loss) from continued operations

Net loss from discontinued operations

Net income/(loss) and comprehensive income/(loss)

$

for the period

Weighted average number of

shares outstanding

Basic

Diluted

Basic and diluted income/(loss) per share

Continuing operations

$

Discontinued operations

480,284

$

1,595,488

$

189,946

467,094

(473,314)

1,957,620

(283,368)

2,424,714

763,652

(829,226)

-

20,187

7,269

47,814

14,721

121,503

65,680

761,295

371,037

812,775

82,227

433,652

28,901

104,571

(218,988)

(1,354,213)

-

565,131

-

964,255

-

677,213

3,733

10,429

354,580

3,144,426

409,072

(3,953,464)

-

-

(108,236)

409,072

$

(4,061,700)

$

190,292,639

87,669,300

190,292,639

87,669,300

0.00

$

(0.05)

$

n/a

$

(0.00)

1,073,330

$

3,254,071

398,470

1,237,316

(810,883)

3,076,611

(412,413)

4,313,927

1,485,743

(1,059,856)

-

20,222

61,204

110,476

29,514

183,815

126,142

791,971

821,122

1,962,063

434,302

1,023,711

87,231

241,117

47,716

(1,279,361)

  • 565,131
  • 964,255
  • 677,213
    8,28756,538

1,615,518

5,296,929

(129,775)

(6,336,563)

-

-

(900,713)

(129,775)

$

(7,237,276)

190,292,639

60,133,421

190,292,639

60,133,421

(0.00)

$

(0.11)

n/a

$

(0.01)

3

Lendified Holdings Inc. (formerly, Hampton Bay Capital Inc.)

Condensed Interim Consolidated Statements of Changes in Shareholders' Deficiency

(Unaudited) (All amounts stated in Canadian dollars)

Common

Class A Shares Class B Shares Class C Shares

Contributed

Shares to be

Deficit

Total

Shares

Surplus

issued

December 31, 2019

$

-

$

-

$

4,409,875

$

5,040,045

$

4,518,555

-

$

(40,754,607)

$ (26,786,132)

Exchange of shares

-

10,462,520

(4,409,875)

(5,040,045)

-

-

-

1,012,600

Conversion of convertible debenture

-

12,184,997

-

-

(204,674)

-

-

11,980,323

Shares exchanged under Qualifying Transaction

22,597,517

(22,597,517)

-

-

-

-

-

Shares and warrants deemed issued related to

1,767,072

-

-

-

123,598

-

-

1,890,670

reverse takeover transaction

Private placement

2,508,000

-

-

-

492,000

-

-

3,000,000

Broker shares issued

768,413

-

-

-

-

-

768,413

Share issuance cost

(1,841,782)

(50,000)

-

-

89,934

-

-

(1,801,848)

Share-basedpayments-options

-

-

-

-

(746)

-

-

(746)

Equity component of warrants

-

-

-

-

1,218,200

-

-

1,218,200

Shares to be issued

-

-

-

-

-

75,000

75,000

Net loss and comprehensive loss for the period

-

-

-

-

-

-

(7,237,276)

(7,237,276)

June 30, 2020

$25,799,220

$

-

$

-

$

-

$

6,236,867

$

75,000

$

(47,991,883)

$ (15,880,796)

December 31, 2020 (audited)

$29,048,634

$

-

$

-

$

-

$

6,603,032

$

-

$

(52,846,491)

$ (17,194,825)

Share-basedpayments-options (Note 9)

-

-

-

-

175,150

-

-

175,150

Net loss and comprehensive loss for the period

-

-

-

-

-

-

(129,775)

(129,775)

June 30, 2021

$29,048,634

$

-

$

-

$

-

$

6,778,182

$

-

$

(52,976,265)

$ (17,149,449)

Subsequent events (Note 16)

4

4

Lendified Holdings Inc. (formerly, Hampton Bay Capital Inc.)

Condensed Interim Consolidated Statements of Cash Flows

(Unaudited) (All amounts stated in Canadian dollars)

Cash flows from operating activities

Net loss and comprehensive loss for the period from continuing operations

Adjustments to reconcile net loss to net cash provided by operating activities:

Amortization and depreciation Share-based payments Provision for credit losses

Fair value adjustment on derivative liabilities Financing fees paid

Amortization of financing fees

Non-cash loss on completion of reverse takeover Accretion on convertible shareholder debt Changes in non-cash working capital balances:

Restricted cash Cash in-trust Loans receivable Accounts receivable

Prepaid expenses and deposits Accounts payables and accrued liabilities Loans payable

Deferred revenue

Cashflows from operating activities - continuing operations Cashflows from discontinued operations

Net cash (used) in operating activities

Cash flows from investing activities

Additions to intangible assets

Repayment from (advances to) shareholder

Cashflows from investing activities - continuing operations Cashflows from discontinued operations

Net cash (used) in investing activities

Cash flows from financing activities

Total proceeds from issuance of share capital

Proceeds from issuance of convertible shareholder debt

Proceeds from subscription receipts

Cash obtained from reverse takeover transaction

Issuance of debt

Repayment of debt

Principal repaid on lease liabilities

Issuance of derivative liabilities

Cashflows from financing activities - continuing operations Cashflows from discontinued operations

Net cash (used) in financing activities

Increase (decrease) in cash during the period

Cash, beginning of year

Cash, end of the period - assets held for sale

Cash, end of period

Supplementary cash flow information (Note 14)

5

5

June 30,

June 30,

2021

2020

$

(129,775)

$ (6,336,563)

8,287

56,538

175,150

(746)

(810,883)

3,076,611

47,716

(1,279,361)

-

(102,026)

13,034

161,222

  • 964,255
    258,422 544,706

568,471 985,894

(790,872) (93,001)

2,768,781 2,423,966

237,349 (34,257)

2,858 (138,506)

240,861 2,337,978

(3,640,189) (6,892,704)

  • 3,782

(1,050,790) (4,322,212)

  • (1,205,920)

(1,050,790) (5,528,132)

  • (5,520)
  • (1,975)
  • (7,495)
  • (1,480)
  • (8,975)
  • 2,091,565
    218,276-

1,317,500

  • 926,415
    200,000-

(621,932) (80,943)

  • (43,970)
  • 999,638

1,113,844 3,892,705

  • (115,890)
    1,113,844 3,776,815

63,056

(1,760,292)

547,555

2,956,595

-

2,571

$

610,611

$ 1,193,732

5

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Lendified Holdings Inc. published this content on 28 July 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 July 2022 11:25:03 UTC.