CROWDGATHER, INC.

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEARS ENDED APRIL 30, 2022 AND 2021

1

CROWDGATHER, INC.

UNAUDITED BALANCE SHEETS

(Rounded to the nearest $1,000)

April 30, 2022

April 30, 2021

ASSETS

Current assets

Cash

$

-

$

-

Prepaid expenses

2,000

-

Total Current Assets

2,000

-

Property and equipment

-

-

Intangible and other assets

-

35,000

Total Assets

$

2,000

$

35,000

LIABILITIES AND STOCKHOLDERS' DEFICIT

Current liabilities

Accounts payable

$

-

$

51,000

Other accrued liabilities

-

345,000

Convertible note payable - net of discount

-

75,000

Notes payable to related parties

39,000

1,750,000

Total Current Liabilities

39,000

2,221,000

Commitments and contingencies (See note 10)

Stockholders' Deficit

Preferred stock, $0.001 par, 8,500,000 and 10,0000,000 shares,

respectively, authorized, 0 shares issued

-

-

Series A Convertible Preferred Stock, $0.001, 500,000 and 0 shares,

respectively, authorized, 500,000 and 0 shares, respectively, issued

25,000

-

Series B Convertible Preferred Stock, $0.001, 1,000,000 and 0 shares,

respectively, authorized, 500,000 and 0 shares, respectively, issued

689,000

-

Common stock, $0.001 par, 975,000,000 shares authorized, 160.090,484

shares issued and outstanding

160,000

160,000

Additional paid-in capital

38,059,000

38,059,000

Accumulated deficit

(38,970,000)

(40,405,000)

Total Stockholders' Deficit

(37,000)

(2,186,000)

Total Liabilities and Stockholders' Deficit

$

2,000

$

35,000

See accompanying notes to these unaudited financial statements.

2

CROWDGATHER, INC.

UNAUDITED STATEMENTS OF OPERATIONS

(Rounded to the nearest $1,000, except shares outstanding and loss per share)

Year Ended

April 30, 2022

April 30, 2021

REVENUE

$

-

$

-

OPERATING EXPENSES

General and administrative

47,000

14,000

Impairment of intangible assets

35,000

924,000

TOTAL OPERATING EXPENSES

82,000

938,000

LOSS FROM OPERATIONS

(82,000)

(938,000)

OTHER INCOME (EXPENSE), NET

Gain on settlement of liabilities with Series B Convertible Preferred Stock

1,550,000

-

Interest and issuance expense

(33,000)

(88,000)

Loss on restructuring of debt

-

(477,000)

Gain on write back of accrued liabilities

-

253,000

TOTAL OTHER INCOME (EXPENSE), NET

1,517,000

(312,000)

NET INCOME (LOSS) BEFORE PROVISION FOR INCOME TAXES

1,435,000

(1,250,000)

PROVISION FOR INCOME TAXES

-

-

NET INCOME (LOSS)

$

1,435,000

$

(1,250,000

)

Weighted average shares outstanding- basic and diluted

160,090,484

160,090,484

Net income (loss) per share - basic and diluted

$

0.01

$

(0.01)

See accompanying notes to these unaudited financial statements.

3

CROWDGATHER, INC.

UNAUDITED STATEMENTS OF CHANGES IN STOCKHOLDERS' DEFICIT

YEARS ENDED APRIL 30, 2022 AND 2021

Preferred Convertible Shares

Series A

Series B

Common Shares

Subscription

Paid in

Accumulated

Shares

Amount

Shares

Amount

Shares

Amount

Receivable

Capital

Deficit

Total

Balance at April 30,

2020

-

$

-

-

$

-

160,090,484

$

160,000

$

-

$

38,059,000

$

(39,155,000)

$

(936,000)

Net loss for the period

-

-

-

-

-

-

-

-

(1,250,000)

(1,250,000)

Balance at April 30,

2021

-

$

-

-

$

-

160,090,484

$160,000

$

-

$38,059,000

$(40,405,000)

$(2,186,000)

Issuance of Series A

Preferred Convertible

Stock

500,000

25,000

-

-

-

-

(5,000)

-

-

20,000

Issuance of Series B

Preferred Convertible

Stock

-

-

500,000

689,000

-

-

-

-

-

689,000

Subscription receivable

settled by payment of

accounts payable

-

-

-

-

-

-

5,000

-

-

5,000

Net income for the

period

-

-

-

-

-

-

-

-

1,435,000

1,435,000

Balance at April 30,

2022

500,000

$25,000

500,000

$689,000

160,090,484

$160,000

$

-

$38,059,000

$(38,970,000) $

(37,000)

See accompanying notes to these unaudited financial statements.

4

CROWDGATHER, INC.

CONDENSED UNAUDITED STATEMENTS OF CASH FLOWS

(Rounded to the nearest $1,000)

FOR THE YEAR ENDED

APRIL 30, 2022

APRIL 30, 2021

Cash flows from operating activities:

Net Income (loss)

$

1,435,000

$

(1,250,000)

Adjustments to reconcile net loss to net cash used in operating activities:

Gain on settlement of liabilities with Series B Convertible Preferred Stock

(1,550,000)

-

Impairment of intangible assets

35,000

924,000

Gain on assets exchanged for debt settlement

-

477,000

Gain on accounts payable write off

(253,000)

Non-cash interest

33,000

88,000

Changes in operating assets and liabilities:

Increase in prepaid expenses

(2,000)

-

Decrease in other assets and deposits

-

14,000

Net cash provided by (used) in operating activities

(49,000)

-

Cash flows from investing activities:

-

-

Net cash provided by investing activities

-

-

Cash flows from financing activities:

Proceeds from issuance of Series A Convertible Preferred Stock

10,000

-

Proceeds from related party loan

39,000

-

Net cash provided by financing activities

49,000

-

Net increase (decrease) in cash

$

-

$

-

Cash, beginning of period

$

-

Cash, end of period

$

-

$

-

Supplemental disclosure of cash flow information:

Cash paid for income taxes

$

-

$

-

Cash paid for interest

$

-

$

-

Supplemental Disclosure of Non-Cash Financing Activities

Settlement of expenses through the issuance of Series A Convertible Preferred

Stock

$

15,000

$

-

Settlement of liabilities through the issuance of Series B Convertible Preferred

Stock

$

2,239,000

$

-

Subscription receivable settled through payment of accounts payable

$

5,000

$

-

5

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Crowdgather Inc. published this content on 25 August 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 August 2022 11:50:03 UTC.