EX-99.1 2 e7135_ex99-1.htm EXHIBIT 99.1

 

 

EXHIBIT 99.1

 

INNOVATION BEVERAGE GROUP LIMITED
CONSOLIDATED BALANCE SHEETS

    6/30/2025   12/31/2025
ASSETS                
Current assets                
Cash and cash equivalents     188,393     $ 619,944  
Accounts receivable, net     10,615       14,676  
Capitalized IPO cost     —       0  
Inventory, at cost     1,118,166       1,116,500  
Prepaid expenses     189,119       431,495  
Current portion of loan to shareholders     241,947       405,687  
Total current assets     1,748,240       2,588,302  
Deposits     34,307       32,373  
Finance right of use asset, net     1,308       3,352  
Operating right of use asset, net     142,348       213,688  
Non-current portion of loan to shareholders     595,696       328,642  
Equipment, net     95,388       105,399  
Intangible assets, net     621,755       339,032  
Prepaid distribution cost     358,538       453,728  
Deferred tax asset     938,574       890,857  
Total assetsz   $ 4,536,154     $ 4,955,373  
LIABILITIES AND STOCKHOLDERS' EQUITY                
Current liabilities                
Accounts payable and accrued expenses     1,127,012     $ 1,479,983  
Deferred revenue     —       0  
Related party notes payable     —       0  
Notes payable     595,902       421,596  
Current portion of operating lease liability     123,156       144,245  
Other liabilities     457       232,642  
Total current liabilities     1,846,527       2,278,466  
Accrued employee benefits, non-current     13,756       17,689  
Operating lease liability, less current portion     0       40109  
Total liabilities     1,860,283       2,336,264  
                 
Commitments and contingencies (note 9)                
  STOCKHOLDERS’ EQUITY                
Ordinary shares, no par value; no authorization limit; 10,997,246 and 8,673,857 shares issued and outstanding at 30 June 2025 and  December 31, 2024, respectively     12,830,333       11,619,117  
Accumulated other comprehensive loss     (112,448 )     (219,042 )
Accumulated deficit     (10,042,014 )     (8,780,966 )
Total stockholders' equity     2,675,871       2,619,109  
Total liabilities and stockholders' equity   $ 4,536,154     $ 4,955,373  

 

 

 

    Consolidated   Consolidated
    6/30/2025   12/31/2024
         
Sales revenue     1,216,903       2,931,243  
Cost of goods sold     (319,091 )     (699,329 )
Gross margin     897,812       2,231,914  
                 
Operating expenses:                
Other general and administrative     880,686       1,555,190  
Salary and wages     621,502       1,633,599  
Sales and marketing     204,274       155,371  
Contracted services     675,618       1,472,722  
Loss on asset write-off     5       612,072  
Total operating expenses     2,382,085       5,428,954  
                 
Profit from continusing operations     (1,484,273 )     (3,197,040 )
                 
Other income/(expense):                
Other income/(expense)     222,706       319,906  
Interest income     62,317       63,689  
Interest expense     (61,798 )     (244,166 )
Total other income/(expense)     223,225       139,429  
      (1,261,048 )     (3,057,611 )
Provision for income taxes     —       486,278  
                 
Net income     (1,261,048 )     (2,571,333 )
                 
OCI     106,594       (60,392 )
                 
Comprehensive Income     (1,154,454 )     (2,631,725 )
                 
Income(loss) per share                
Basic     -0.14       -0.31  
Dilutive     -0.14       -0.31  

 

 

STATEMENT OF CASH FLOWS   6/30/2025    
         
CY   06/30/25   12/31/24
PY (31 Dec 2024)        
         
OPERATING                
Net income     (1,261,048 )     (2,571,333 )
Depreciation and amortization     251,394       449,910  
Stock Compensation     50,567       148,788  
Share insurance for services     161,000       972,925  
Loss on write-off of assets     —       605,805  
Shares issued to settle the loan     —       —  
Accrued Interest Expense     (69,410 )        
Non-Cash Adjustment – ATO Interest     (183,141 )        
Changes in operating accounts:                
Accounts receivable, net     4,061       720,032  
Inventory, at cost     (1,666 )     (126,908 )
Prepaid expenses     242,376       (369,846 )
Right-of-use liabilities     (61,198 )     (120,932 )
Deposits     (1,934 )     2,735  
Deferred tax assets     (47,717 )     (419,837 )
Accounts payable and accrued expenses     (183,654 )     (677,438 )
Deferred Revenue     —       (161,038 )
Accrued employee benefits, non-current     (3,933 )     (28,161 )
    CASH PROVIDED BY OPERATING ACTIVITIES     (1,104,303 )     (1,575,298 )
                 
INVESTING                
Purchase of equipment     (1,574 )     (6,385 )
Purchase of intangibles     —       —  
Net activity on due from related parties     —       (54,638 )
CASH PROVIDED BY INVESTING ACTIVITIES     (1,574 )     (61,023 )
                 
FINANCING                
Issuance of ordinary share, net of issuance costs     —       3,319,221  
Receipts / (payments) on notes payable     623,341       (1,178,132 )
CASH PROVIDED BY FINANCING ACTIVITIES     623,341       2,141,089  
                 
Fx     50,985       101,035  
                 
TOTALS     (431,551 )     605,804