Idle Lifestyle : Interim Financial Report

IDLE LIFESTYLE, INC.

(FORMERLY PODA HOLDINGS, INC.)

INTERIM CONSOLIDATED FINANCIAL STATEMENTS

FOR THE THREE MONTHS ENDED MAY 31, 2022 AND 2021

(Expressed in Canadian Dollars)

(Unaudited)

IDLE LIFESTYLE, INC.

(FORMERLY PODA HOLDINGS, INC.)

CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION (Expressed in Canadian Dollars)

	May 31,	February 28,
	2022	2022
ASSETS	$	$
Current
Cash	10,445,696	13,235,203
GST and taxes recoverable	205,070	377,586
Prepaid expenses and deposits	29,296	73,861
Advances receivable (Note 7)	-	225,000
	10,680,062	13,911,650
Intangible assets (Note 5)	1	1
Intellectual Property (Note 14)	3,466,317	-
	14,146,380	13,911,651
LIABILITIES
Current
Accounts payable	765,612	625,184
RSU liability (Note 9)	289,800	289,800
Non-current	1,055,412	914,984
Convertible Notes (Note 11)	-	604,507
	1,055,412	1,519,491
EQUITY (DEFICIENCY)
Share capital (Note 9)	27,592,655	24,564,398
Contributed surplus	4,211,685	4,167,053
Deficit	(18,713,372)	(16,339,291)
	13,090,968	12,392,160
	14,146,380	13,911,651

NATURE OF OPERATIONS (Note 1)

SUBSEQUENT EVENTS (Note 15)

Approved and authorized for issuance on behalf of the Board on August 1, 2022:

/s/ Ryan Selby,Director

/s/ Aaron Bowden,Director

The accompanying notes are an integral part of these consolidated interim financial statements.

IDLE LIFESTYLE, INC

(FORMERLY PODA HOLDINGS, INC.)

CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE LOSS (Expressed in Canadian Dollars)

	Three months ended Three months ended
	May 31,	May 31,
	2022	2021
	$	$
EXPENSES	12,991
Accretion and interest expense	26,262
Advertising and promotion	74,935	384,234
Bank services charges	1,730	-
Legal fees	570,283	-
Management fees (Note 7)	-	236,345
Office and miscellaneous	16,772	26,326
Professional fees	570,269	118,117
Research and development	90,657	211,166
Rent	12,800	-
Share-based compensation (Note 9)	44,632	18,573
Transfer agent	1,560	-
Wages	751,810	-
	(2,148,439)	(1,021,023)
Other expenses	(30,254)	-
Foreign exchange loss	(215,388)	-
Forgiveness of government loan (Note 12)	20,000	-
Net and comprehensive loss for the period	(2,374,081)	(1,021,023)
Loss per share (basic and diluted)	(0.04)	(0.07)
Weighted average number of common shares outstanding	55,583,184	13,757,419

The accompanying notes are an integral part of these consolidated interim financial statements.

IDLE LIFESTYLE, INC

(FORMERLY PODA HOLDINGS, INC.)

CONSOLIDATED INTERIM STATEMENTS OF CHANGES IN EQUITY (DEFICIENCY) (Expressed in Canadian Dollars)

	Number of shares			Equity
				Contributed	Portion of
				Convertible
	Common	Preferred	Amount	Surplus	Notes	Deficit	Total
			$	$	$	$	$
Balance as at January 31, 2021	42,783,920	-	630,160	1,207,010	48,049	(5,292,081)	(3,406,862)
Private placements	2,500,000	-	1,000,000	-	-	-	1,000,000
Preferred shares issued in exchange for common shares of
Poda Technologies Ltd.	(42,783,920)	42,784	-	-	-	-	-
Deemed fair value of common shares and warrants held by
existing shareholders upon completion of RTO	30,025,001		3,002,500	1,611,228	-	-	4,613,728
Common shares issued for debt settlement	3,595,285	-	359,528	-	-	-	359,528
Share-based compensation	-	-	-	18,573	-	-	18,573
Convertible note	-	-	-	-	(48,049)	-	(48,049)
Comprehensive loss	-	-	-	-	-	(1,021,023)	(1,021,023)
Balance as at May 31, 2021	36,120,286	-	4,992,188	2,836,811	-	(6,313,104)	(1,515,895)
Balance as at February 28, 2022	56,007,229	63,646	24,564,398	4,167,053	-	(16,339,291)	12,392,160
Conversion of preferred shares to common	10,974,885	(10,975)	-	-	-	-	-
Shares issued upon conversion of debentures	15,590,140	-	604,507	-	-	-	604,507
Exercise of warrants	18,050,000	-	1,801,243	-	-	-	1,801,243
Exercise of stock options	4,050,044		622,507	-	-	-	622,507
Share-based compensation	-	-	-	44,632	-	-	44,632
Comprehensive loss	-	-	-	-	-	(2,374,081)	(2,374,081)
Balance as at May 31, 2022	104,672,298	52,671	27,592,655	4,211,685	-	(18,713,372)	13,090,968

The accompanying notes are an integral part of these consolidated interim financial statements.

IDLE LIFESTYLE, INC

(FORMERLY PODA HOLDINGS, INC.)

CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS FOR THE MONTHS ENDED MAY 31, 2022 AND 2021 (Expressed in Canadian Dollars)

		2022	2021
CASH PROVIDED BY (USED IN):		$	$
OPERATING ACTIVITIES		(2,374,081)
Net loss for the period		(1,021,023)
Items not affecting cash		-
Interest and accretion		(49,010)
Share-based compensation		44,632	18,573
Changes in non-cash working capital balances:		172,516
GST and taxes recoverable		73,737
Prepaid expenses and deposits		44,565	(340,064)
Accounts receivable		225,000	-
Accounts payable		140,428	(337,416)
Cash used by operating activities		(1,746,940)	(1,655,203)
INVESTING ACTIVITIES
Cash used in investing activities (Note 14)		(3,466,317)	-
FINANCING ACTIVITIES		(604,507)
Convertible note converted to common stock		187,500
Proceeds from exercise of warrants		1,801,243	-
Proceeds from exercise of options		622,507	-
Proceeds from issuance of common stock	-	604,507	2,492,752
Cash provided (used) by financing activities		2,423,750	2,680,253
CHANGE IN CASH DURING THE PERIOD		(2,789,507)	1,025,049
CASH, BEGINNING OF PERIOD		13,235,203	7,769
CASH, END OF PERIOD		10,445,696	1,032,818

Supplementary Cash Flow Information (Notes 8 and 9)

The accompanying notes are an integral part of these consolidated interim financial statements.