Portofino Resources : 2022 Second Quarter Report

PORTOFINO RESOURCES INC.

FINANCIAL STATEMENTS

FOR THE SIX-MONTH PERIOD ENDED

NOVEMBER 30, 2021 AND 2020 (Expressed in Canadian dollars)

NOTICE OF NO AUDITOR REVIEW OF CONDENSED INTERIM FINANCIAL STATEMENTS

In accordance with National Instrument 51-102, Part 4, subsection 4.3 (3) (a), if an auditor has not performed a review of the interim financial statements, they must be accompanied by a notice indicating that an auditor has not reviewed the financial statements.

The accompanying unaudited condensed interim financial statements of the Company have been prepared by and are the responsibility of the Company's management and have been approved by the Board of Directors of the Company.

These condensed interim consolidated financial statements have not been reviewed by the Company's auditors.

PORTOFINO RESOURCES INC. STATEMENTS OF FINANCIAL POSITION

AS AT NOVEMBER 30, 2021, AND MAY 31, 2021 (Expressed in Canadian dollars)

(Unaudited)

	Note	November 30,	May 31,
		2021.	2021
		$	$
ASSETS
CURRENT
Cash		796,279	274,111
Amounts receivable	8,10	193,515	142,224
Taxes receivable		26,410	56,294
Prepaid expenses		53,066	67,805
		1,069,270	540,434

LIABILITIES
CURRENT
Accounts payable and accrued liabilities	8,10	47,228	60,044
EQUITY
SHARE CAPITAL	6	8,416,143	7,156,779
CONTRIBUTED SURPLUS	6	1,052,894	966,952
DEFICIT		(8,446,995)	(7,643,341)
		1,022,042	480,390
		1,069,270	540,434

NATURE OF BUSINESS AND CONTINUING OPERATIONS (Note 1)

Approved and authorized for issue on behalf of the Board on January 27, 2022

/s/ "David Tafel"

CEO

/s/ "Jeremy Wright"

CFO

The accompanying notes are an integral part of these financial statements

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PORTOFINO RESOURCES INC. STATEMENTS OF COMPREHENSIVE LOSS

FOR THE SIX-MONTH ENDED NOVEMBER 30, 2021, AND 2020 (Expressed in Canadian dollars)

(Unaudited)

			Three-month ended	Six-month ended
			November 30,	November 30,	November 30,	November 30,
		Note	..2021	2020	2021	2020
			$..	$..
EXPENSES
Amortization		-	-	-	-
Consulting fees		234,385	341,167	277,485	432,667
Due diligence costs
General exploration	59,308	185,134	162,744	374,873
expenditures
Investor communications	69,788	77,000	141,530	298,200
Management fees	8	37,500	43,900	76,200	67,300
Office			35,133	21,188	60,228	36,968
Professional fees	8	28,169	23,500	49,669	45,646
Rent			3,380	9,943	11,388	27,129
Share-based compensation	-	-	-	160,000
Transfer agent and filing fees	11,468	5,781	17,745	42,403
Travel and promotion	5,657	1,730	6,665	3,035
-
LOSS BEFORE OTHER ITEM	(484,788)	(709,343)	(803,654)	(1,488,221)
NET LOSS AND
COMPREHENSIVE LOSS	(484,788)	(709,343)	(803,654)	(1,488,221)
LOSS PER SHARE -
Basic and diluted		(0.01)	(0.01)	(0.01)	(0.03)
WEIGHTED AVERAGE
NUMBER	OF	COMMON
SHARES OUTSTANDING	88,722,890	61,628,729	85,330,587	56,591,187

The accompanying notes are an integral part of these financial statements

PORTOFINO RESOURCES INC. STATEMENTS OF CHANGES IN EQUITY

FOR THE SIX-MONTH PERIOD ENDED NOVEMBER 30, 2021, AND 2020 (Expressed in Canadian dollars)

(Unaudited)

	Common Shares
	Number of		Contributed
	Shares	Amount	Surplus	Deficit	Total
		$	$	$	$
Balance, May 31, 2020	47,765,969	4,615,312	794,378	(5,155,977)	253,713
Shares issued for cash	18,916,676	1,478,434	181,929	-	1,660,363
Shares issued for mineral property	1,275,000	107,750	-	-	107,750
Share issuance costs	-	(60,060)	-	-	(60,060)
Net loss and comprehensive loss	-	-	-	(1,488,221)	(1,488,221)
Balance, November 30, 2020	67,957,645	6,141,436	976,307	(6,644,198)	473,545
Balance, May 31, 2021	81,796,243	7,156,780	966,951	(7,643,341)	480,390
Shares issued for cash	15,902,781	1,350,000	-	-	1,350,000
Shares issued for mineral property	200,000	20,000	-	-	20,000
Shares issued for exercise of warrants	1,258,000	82,118	(19,218)	-	62,900
Share issuance costs	-	(192,755)	105,161		(87,594)
Net loss and comprehensive loss	-	-	-	(803,654)	(803,654)
Balance, November 30, 2021	99,157,024	8,416,143	1,052,894	(8,446,995)	1,022,042

The accompanying notes are an integral part of these financial statements

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PORTOFINO RESOURCES INC.

STATEMENTS OF CASH FLOWS

FOR THE SIX-MONTH PERIOD ENDED NOVEMBER 30, 2021, AND 2020 (Expressed in Canadian dollars)

(Unaudited)

	November 30,	November 30,
	2021	2020
	$..	$
CASH PROVIDED BY (USED IN):
OPERATING ACTIVITIES
Net loss for the period	(803,654)..	(1,488,221)
Adjusted for items not affecting cash:
Gain on sale of marketable securities	-	(100,750)
Shares issued for general exploration expenditures	20,000	107,750
Share-based payments	-	160,000
	(783,654)	(1,321,221)
Changes in non-cash working capital balances:
Amounts receivable	(51,291)	(30,529)
Taxes receivable	29,884	(54,450)
Prepaid expenses	14,739	21,276
Accounts payable and accrued liabilities	(12,816)	(50,191)
Cash used in operating activities	(803,138)	(1,435,115)
FINANCING ACTIVITIES
Shares issued for cash	1,350,000	1,478,434
Shares issued from exercise of warrants	62,900	-
Share issuance costs	(87,594)	(38,132)
Cash provided by financing activities	1,325,306	1,440,302
CHANGE IN CASH	522,168	5,187
CASH, BEGINNING OF YEAR	274,111	301,749
CASH, END OF PERIOD	796,279	306,936
SUPPLEMENTAL CASH DISCLOSURES:
Interest paid	-	-
Income taxes paid	-	-
NON-CASH INVESTING AND FINANCING TRANSACTIONS:
Fair value of shares issued for general exploration	20,000	107,750
Fair value of finder warrants issued	105,161	25,831

The accompanying notes are an integral part of these financial statements

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