Firma : Quarterly Report

FIRMA HOLDINGS CORP. AND SUBSIDIARIES

UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

AS OF AND FOR

JUNE 30, 2022

AND THE

SIX MONTHS ENDED JUNE 30, 2022, AND 2021

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TABLE OF CONTENTS
	Page
FINANCIAL STATEMENTS:
Consolidated Balance Sheets.......................................................................................................................................	3
Consolidated Statements of Operations.......................................................................................................................	4
Consolidated Statements of Stockholders' Equity.......................................................................................................	5
Consolidated Statements of Cash Flows .....................................................................................................................	6
Notes to the Consolidated Financial Statements..........................................................................................................	7-19

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FIRMA HOLDINGS CORP. AND SUBSIDIARIES

(Formerly known as Tara Minerals Corp.) (An Exploration Stage Company)

UNAUDITED CONSOLIDATED BALANCE SHEETS

Assets		June 30, 2022	December 31, 2021
Current assets:
Cash and cash equivalents	$	101,298			$	97,864
Trade receivables			58,506				58,000
Prepaid assets		14,719				252,750
Inventory		9,620				10,000
Deposit		1,404,000				-
Notes receivable, current		50,642				49,464
Notes receivable, related parties		137,907				123,939
Total current assets		1,776,692				592,017
Goodwill		-				195,627
Other		73				73
Total assets		$	1,776,765			$	787,717
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable and accrued expenses	$	1,070,080			$	1,908,499
Notes payables, current portion			5,769,934				5,739,434
Convertible notes payable, net		267,000				265,163
Total current liabilities			7,107,014				7,913,096
Convertible notes payable, non-curent portion, net			311,451				317,165
Total liabilities		7,418,465				8,230,261
Stockholders' equity:
Preferred stock undesignated: $0.01 par value, authorized 25,000,000
shares; -0- issued and outstanding			-				-
Preferred stock Class A: $0.01 par value, authorized 75,000,000 shares;
75,000,000 issued and outstanding		750,000				750,000
Common stock: $0.001 par value; authorized 500,000,000 shares; issued
and outstanding 322,422,822 and 288,727,952 shares			322,423				288,728
Additional paid-in capital		50,662,725				49,885,459
Common stock payable		2,617,248				1,052,949
Accumulated deficit		(59,994,096)			(59,419,681)
Total Firma Holdings stockholders' equity
		(5,641,700)			(7,442,544)
Total liabilities and stockholders' equity	$	1,776,765			$	787,717

See accompanying notes to these consolidated financial statements.

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FIRMA HOLDINGS CORP. AND SUBSIDIARIES

(formerly known as Tara Minerals Corp.) (An Exploration Stage Company)

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

	For the Three Months Ended			For the Six Months Ended
			June 30,				June 30,
			2022				2021			2022				2021
Mining revenues	$	-			$	-	$	-	$	-
Other revenues			506				-			506				-
Cost of revenue			380				-			380				-
Gross margin			126				-			126				-
Operating, general and administrative expenses			188,210				72,148			387,616				188,149
Net operating loss (income)			188,210				72,148			387,616				188,149
Non-operating (loss) income:
Interest income			1,698				1,214			3,396				2,429
Interest expense			(36,490)			(1,019,426)			(197,273)				(1,246,623)
Gain on debt extinguishment			-				-			202,457				994,193
Unrealized gain on cash equivalents			8,693				(30,909)			121				(24,096)
Impairment of Goodwill			(195,627)				-			(195,627)				-
Change in derivative liability			-				4,920			-				(2,929)
Total non-operating loss income			(221,726)			(1,044,201)			(186,926)				(277,027)
Loss before income taxes			(409,810)			(1,116,349)			(574,416)				(465,175)
Income tax provision			-				-			-				-
Loss before discontinued operations			(409,810)			(1,116,349)			(574,416)				(465,175)
Loss from discontinued operations, including
loss on disposal			-				28,807			-				(9,558)
Net loss		$	(409,810)		$	(1,087,542)		$	(574,416)		$		(474,733)
Net loss per share before discontinued operations,				$						$
basic and dilutive	$	(0.00)	$	(0.00)	$	(0.00)		(0.00)
Discontinued operations, basic and dilutive		$	(0.00)		$	$	(0.00)		$	(0.00)		$		(0.00)
Net loss per share, basic and dilutive		$	(0.00)		$	$	(0.00)		$	(0.00)		$		(0.00)
Weighted average number of shares, basic and
dilutive		310,285,838			244,932,477			306,990,008				214,018,178

See accompanying notes to these consolidated financial statements.

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FIRMA HOLDINGS CORP. AND SUBSIDIARIES (Formerly known as Tara Minerals Corp.)

(An Exploration Stage Company)

UNAUDITED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

				Preferred Stock	Common Stock	Additional	Common Stock	Accumulated
																						Paid-In				Payable
				Shares	Amount	Shares	Amount				Capital		(Receivable)		Deficit		Total
	Balance at December 31, 2020	-	$	-			162,145,696	$ 162,146	$	44,582,392				$	828,750	$(58,053,243)	$	(12,479,957)
	Cash for stock	-				-		40,723,714	40,724					835,168				(281,570)	-		594,322
	Stock for services			-				-			5,500,000			5,500					519,500					510,961		-			1,035,961
	Renegotiated stock subscription to convertible
	debt			-				-			-			-							-				(515,000)		-			(515,000)
	Beneficial conversion feature on convertible
	notes payable/debt discount on notes payable			-				-			-			-					1,553,243					-		-			1,553,243
	Conversion of convertible debt	-				-		87,858,542	87,859					3,184,907				509,808	-		3,782,574
	Stock in purchase of Monochrome forfeited	-				-		(7,500,000)	(7,500)					(39,750)				-	-		(47,250)
	Issuance of preferred stock at par value			75,000,000				750,000			-			-					(750,000)					-		-			-
	Net loss			-				-			-			-							-				-		(1,366,437)			(1,366,437)
	Balance at December 31, 2021			75,000,000			$	750,000			288,727,952			$ 288,728		$	49,885,460		$	1,052,949	$(59,419,681)	$	(7,442,544)
	Cash for stock		-					-				6,346,154			6,346						93,654						-		-			100,000
	Stock for services	-				-			18,237,514	18,238					492,723					160,299	-		671,260
	Conversion of convertible debt	-				-			9,111,202	9,111					190,889					-	-		200,000
	Stock encumbered for business purchase	-				-			-	-					-					1,404,000	-		1,404,000
	Net loss		-				-			-	-					-					-	(574,416)		(574,416)
	Balance at June 30, 2022	75,000,000	$	750,000			322,422,822	$ 322,423	$	50,662,725		$		2,617,248	$(59,994,096)	$	(5,641,700)

See accompanying notes to these consolidated financial statements.

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