Lendified : Interim financial statements/report - English May 2022

Lendified Holdings Inc.

Condensed Interim Consolidated Financial Statements

For the three months ended March 31, 2022 and 2021

(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.

Condensed Interim Consolidated Statements of Financial Position

(Unaudited) (All amounts stated in Canadian dollars)

As at		March 31,	December 31,
	Note	2022	2021
			(audited)
Assets
Current
Cash		$901,855	$1,168,233
Cash in-trust		338,555	702,986
Current portion of loans receivable	4	1,210,356	1,778,147
Accounts receivable		14,087	33,941
Prepaid expenses and deposits		13,184	29,971
Total current assets		2,478,037	3,713,278
Loans receivable	4	273,687	282,313
Long term investment		46,373	46,373
Total assets		$2,798,097	$4,041,964
Liabilities
Current
Accounts payable and accrued liabilities	12	$3,581,146	$3,419,290
Current portion of loans payable	6, 15(ii)	5,440,593	6,217,090
Lease liabilities	5	129,696	129,696
Total current liabilities		9,151,435	9,766,076
Loans payable	6, 15(ii)	866,729	1,118,860
Total liabilities		10,018,164	10,884,936
Shareholders' deficiency
Share capital	8	37,678,318	37,678,318
Contributed surplus		7,728,822	7,713,476
Deficit		(52,627,207)	(52,234,766)
Total shareholders' deficiency		(7,220,067)	(6,842,972)
Total liabilities and shareholders' deficiency		$2,798,097	$4,041,964
Going concern (Note 1)
Subsequent events (Note 16)

On behalf of the Board:
"Peter Ostapchuk" signed	"Chris Tambakis" signed
Director, Chair of Audit Committee	Director

2

Lendified Holdings Inc.

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

Three months ended			March 31,		March 31,
	Note		2022		2021
Finance income
Interest income		$	264,554	$	593,046
Financing related expenses
Interest and financing costs	10		105,402		208,524
Provision for credit losses (recovery)	4		(97,424)		(337,569)
Total financing related expenses (recoveries)			7,978		(129,045)
Financing margin			256,576		722,091
Operating expenses
Advertising and promotion			15,004		53,935
Office and general			21,906		14,793
Professional fees	12		242,494		60,462
Interest and financing costs for corporate operations	10		94,640		450,085
Salaries and benefits	9, 12		225,328		352,075
Technology and development			43,292		58,330
Fair value adjustment on financial instruments	13		-		266,704
Listing expenses			6,354		-
Amortization and depreciation			-		4,554
Total operating expenses			649,018		1,260,938
Net loss and comprehensive loss for the period		$	(392,442)	$	(538,847)
Weighted average number of
shares outstanding
Basic			446,199,349		190,292,639
Diluted			446,199,349		190,292,639
Basic and diluted income/(loss) per share
Continuing operations		$	(0.00)	$	(0.00)

3

Lendified Holdings Inc.

Condensed Interim Consolidated Statements of Changes in Shareholders' Deficiency

(Unaudited) (All amounts stated in Canadian dollars)

	Common Shares		Contributed		Deficit		Total
		Surplus
December 31, 2020	$	29,048,634	$	6,603,032	$	(52,846,491)	$	(17,194,825)
Share-basedpayments-options (Note 9)		-		175,150		-		175,150
Net income and comprehensive loss for the period		-		-		(538,847)		(538,847)
March 31, 2021	$	29,048,635	$	6,778,182	$	(53,385,338)	$	(17,558,522)

December 31, 2021	$	37,678,318	$	7,713,476	$	(52,234,766)	$	(6,842,972)
Share-based payments (Note 9)		-		15,346		-		15,346
Net loss and comprehensive loss for the period		-		-		(392,442)		(392,442)
March 31, 2022	$	37,678,318	$	7,728,822	$	(52,627,207)	$	(7,220,067)

4

Lendified Holdings Inc.

Condensed Interim Consolidated Statements of Cash Flows (Unaudited) (All amounts stated in Canadian dollars)

		March 31,		March 31,
Note		2022		2021
Cash flows from operating activities
Net loss and comprehensive loss for the period	$	(392,442)	$	(538,847)
Adjustments to reconcile net income to net cash provided by
operating activities:
Amortization and depreciation		-		4,554
Share-based payments		15,346		175,150
Change in provision for credit losses		(97,424)		(337,569)
Fair value adjustment on financial instruments		-		266,704
Amortization of financing fees		14,500		13,034
Accretion on convertible shareholder debt		-		129,100
Changes in non-cash working capital balances:
Restricted cash		-		134,010
Cash held in trust		364,431		388,687
Loans receivable		673,841		1,289,480
Accounts receivable		19,854		237,348
Prepaid expenses and deposits		16,787		35,104
Accounts payables and accrued liabilities		161,856		78,080
Loans payable		(1,043,128)		(2,038,306)
Cashflows from (used in) operating activities		(266,378)		(163,471)
Cash flows from financing activities
Repayment of debt		-		(343,780)
Cashflows from financing activities		-		(234,642)
Increase (decrease) in cash during the period		(266,378)		(398,113)
Cash, beginning of the period		1,168,233		547,555
Cash, end of the period	$	901,855	$	149,443
Supplementary cash flow information (Note 14)

5