Arch Biopartners : 2023 Q3 Interim Financial Statements

ARCH BIOPARTNERS INC.

Condensed Interim Consolidated

Financial Statements

Nine Months Ended June 30, 2023 and 2022

(Unaudited - See Notice Of No Auditor Review)

ARCH BIOPARTNERS INC.

Index to Condensed Interim Consolidated Financial Statements

Nine Months Ended June 30, 2023 and 2022

(Unaudited - See Notice of No Auditor Review)

	Page
NOTICE OF NO AUDITOR REVIEW	1
INTERIM FINANCIAL STATEMENTS
Condensed Interim Consolidated Statement of Financial Position	2
Condensed Interim Consolidated Statement of Comprehensive Income (Loss)	3
Condensed Interim Consolidated Statement of Changes in Equity	4
Condensed Interim Consolidated Statement of Cash Flow	5
Notes to Condensed Interim Consolidated Financial Statements	6 - 27

NOTICE OF NO AUDITOR REVIEW

To the shareholders of Arch Biopartners Inc.

The accompanying unaudited condensed interim consolidated financial statements have been prepared by and are the responsibility of the management of the Company.

In accordance with National Instrument 51-102 released by the Canadian Securities Administrators, the Company discloses that its auditors have not reviewed the unaudited condensed interim consolidated financial statements for the period ended June 30, 2023.

"Richard Muruve" CEO and Director

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ARCH BIOPARTNERS INC.

Condensed Interim Consolidated Statement of Financial Position

June 30, 2023 and September 30, 2022

(Unaudited - See Notice of No Auditor Review)

		June 30,		September 30,
		2023		2022
ASSETS
CURRENT	$	47,140
Cash	$	506,348
GIC		1,350,000		-
Prepaid expenses		7,463		28,061
Harmonized sales tax receivable		11,826		87,232
	$	1,416,429	$	621,641
LIABILITIES
CURRENT	$	2,087,929
Accounts payable and accrued liabilities	$	489,434
Deferred Convertible Debt (Note 7)		2,100,000		2,100,000
Promissory note		541,096		-
Interest payable on deferred convertible debt (Note 7)		104,473		190,000
		4,833,498		2,779,434
DEFERRED CONVERTIBLE DEBT (Note 7)		1,000,000		1,000,000
DUE TO SHAREHOLDER (Note 8)		209,970		260,532
PROMISSORY NOTE (Note 15)		1,127,062		1,052,267
		7,170,530		5,092,233
SHAREHOLDERS' EQUITY		15,882,508
Share capital (Note 9)			15,553,049
Contributed surplus (Note 9)		6,658,620		4,700,578
Deficit		(28,295,229)		(24,724,219)
		(5,754,101)		(4,470,592)
	$	1,416,429	$	621,641

ON BEHALF OF THE BOARD
	"Richard Muruve"	Director
	"Andrew Bishop"	Director

See notes to financial statements

2

ARCH BIOPARTNERS INC.

Condensed Interim Consolidated Statement of Comprehensive Income (Loss)

Nine Months Ended June 30, 2023 and 2022

(Unaudited - See Notice of No Auditor Review)

		3 months ended	3 months ended	9 months ended	9 months ended
			June 30,		June 30,		June 30,		June 30,
			2023		2022			2023		2022
REVENUE	$	116,371	$	-		$	3,082,512
Industry grants		$	1,558,381
EXPENSES			1,177					8,936
Communication				3,082			13,486
Insurance			4,843		-			30,385		833
Interest and bank charges			940		319		2,044		1,296,769
Interest on long-term debt (Note 8)			41,699		42,428		125,369		127,395
Interest on promissory note			60,479		24,932		115,890		76,493
Marketing			2,475		1,331		5,811		18,522
Office			6,312		6,064		17,880		17,828
Patent			23,561		33,349		74,244		52,295
Professional fees			105,845		43,589		248,870		154,022
Regulatory and exchange fees			3,346		14,148		73,921		46,636
Research (Note 4)			289,326		28,404		3,869,853		1,785,900
Share based compensation (Note 9)			-		-			1,958,042		24,976
Transfer agent fee			14,926		14,508		20,409		21,180
Travel			2,893		1,471		6,119		4,697
Wages and employee benefits			135,974		50,996		281,150		146,297
			693,796		264,621		6,838,923		3,787,329
LOSS FROM OPERATIONS			(577,425)		(264,621)		(3,756,411)		(2,228,948)
FOREIGN EXCHANGE GAIN
(LOSS)			126,643		17,227		185,401		23,623
NET COMPREHENSIVE INCOME
(LOSS)	$	(450,782)	$	(247,394)	$	(3,571,010)	$	(2,205,325)
BASIC EARNINGS (LOSS) PER
SHARE	$	(0.007)	$	0.004	$	(0.058)	$	0.015
WEIGHTED AVERAGE NUMBER
OF SHARES OUTSTANDING			62,243,437		61,462,302		62,072,417		61,202,118

See notes to financial statements

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