EX-99.1 2 ea164519ex99-1_digihost.htm CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2022

Exhibit 99.1

 

 

 

DIGIHOST TECHNOLOGY INC.

 

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

 

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2022 AND 2021

 

(EXPRESSED IN UNITED STATES DOLLARS) (UNAUDITED)

 

 

 

Notice to Reader

 

The unaudited condensed interim consolidated financial statements for the comparative period ended June 30, 2021 have not been reviewed by the Company's auditors.

 

 

 

 

 

Digihost Technology Inc.

Condensed Interim Consolidated Statements of Financial Position
(Expressed in United States Dollars) (Unaudited)

 

 

   As at
June 30,
2022		   As at
December 31,
2021
(restated)
(unaudited)		 
ASSETS        
         
Current assets        
Cash  $4,864,441   $915,715 
Digital currencies (note 3)   6,871,038    33,491,986 
Digital currencies call options   1,950,000    - 
Amounts receivable and prepaid expenses (note 4)   4,946,824    1,808,304 
Income tax receivable   244,399    - 
           
Total current assets   18,876,702    36,216,005 
           
Property, plant and equipment (note 5)   42,908,750    38,142,107 
Right of use assets (note 6)   2,624,669    2,078,599 
Promissory note receivable   812,000    800,000 
Intangible asset (note 7)   1,378,644    1,443,260 
Goodwill (note 8)   1,325,163    1,346,904 
Deferred tax asset   1,409,375    - 
Total assets  $69,335,303   $80,026,875 
           
LIABILITIES AND SHAREHOLDERS' EQUITY          
           
Current liabilities          
Accounts payable and accrued liabilities  $474,815   $2,272,850 
Amount owing to Northern Data, NY LLC (note 3 and 5)   3,363,775    2,940,412 
Lease liabilities (note 9)   84,686    - 
Income tax payable   -    305,601 
Pre-funded warrants liability (note 13)   1,024,344    - 
           
Total current liabilities   4,947,620    5,518,863 
           
Deposits payable   138,541    1,788,500 
Lease liabilities (note 9)   507,679    - 
Mortgage payable (note 11)   1,250,000    - 
Deferred tax liability   -    2,514,743 
Warrant liabilities (note 12)   3,885,757    30,955,232 
Total liabilities   10,729,597    40,777,338 
           
Shareholders' equity Share capital (note 13)   27,213,930    26,478,123 
Contributed surplus   14,017,173    11,844,581 
Cumulative translation adjustment   (1,138,481)   (266,730)
Digital currency revaluation reserve   -    3,706,624 
Deficit   18,513,084    (2,513,061)
Total shareholders' equity   58,605,706    39,249,537 
Total liabilities and shareholders' equity  $69,335,303   $80,026,875 

 

Nature of operations (note 1)

 

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

 

- 1 -

 

 

 

Digihost Technology Inc.

Condensed Interim Consolidated Statements of Comprehensive Income
(Expressed in United States Dollars) (Unaudited)

 

 

   Three Months Ended
June 30,		   Six Months Ended
June 30,		 
   2022   2021
restated		   2022   2021
restated		 
Revenue from digital currency mining (note 3)  $7,460,595   $5,112,553   $14,772,937   $9,879,628 
Cost of digital currency mining                    
Cost of power   (1,185,376)   (1,412,898)  $(2,811,692)   (2,832,773)
Other production costs   (594,014)   (390,325)   (1,111,025)   (519,594)
Depreciation and amortization   (2,672,621)   (361,628)   (4,204,219)   (1,471,424)
Miner lease agreement (note 3)   (2,148,291)   -    (5,204,416)   - 
Gross profit   860,293    2,947,702    1,441,585    5,055,837 
                     
Expenses                    
Office and administrative expenses   (994,536)   (919,716)   (1,599,598)   (997,560)
Professional fees   (448,538)   (539,899)   (1,037,087)   (821,493)
Regulatory fees   (65,605)   (37,326)   (209,986)   (117,330)
Gain on sale of property, plant and equipment   -    939,516    2,340,658    939,516 
Loss on settlement of debt   -    (4,188)   -    (279,070)
Foreign exchange gain   1,813,076    -    1,042,880    - 
Loss on sale of digital currencies (note 3)   (12,174,435)   -    (12,174,435)   - 
Other income   72,472   -    156,679    - 
Change in fair value of amount owing for Miner Lease Agreement   (1,274,038)   -    (894,973)   - 
Share based compensation (note 15)   (873,193)   (2,605,764)   (1,637,583)   (3,771,306)
Revaluation of warrant liabilities (note 12)   16,448,338    10,047,859    33,734,693    10,288,574 
Loss on revaluation of digital currencies   (2,948,364)   -    (2,948,364)   - 
Operating income   415,470    9,828,184    18,214,469    10,297,168 
Net financial expenses (note 18)   (153,829)   (59,174)   (238,204)   (214,486)
Net income before income taxes   261,641    9,769,010    17,976,265    10,082,682 
Deferred tax recovery   3,315,613    -    2,946,842    - 
Net income for the period   3,577,254    9,769,010    20,923,107    10,082,682 
                     
Other comprehensive income                    
Items that will be reclassified to net income Foreign currency translation adjustment   (1,818,950)   806,492    (871,751)   807,948 
Items that will not be reclassified to net income Revaluation of digital currencies, net of tax   (3,085,863)   (7,476,828)   (3,706,624)   (1,640,267)
Total comprehensive income (loss) for the period  $(1,327,559)  $3,098,674   $16,344,732   $9,250,363 
                     
Basic income per share (note 16)  $0.13   $0.44   $0.79   $0.55 
Diluted income per share (note 16)  $0.13   $0.44   $0.79   $0.55 

 

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

 

- 2 -

 

 

 

Digihost Technology Inc.

Condensed Interim Consolidated Statements of Cash Flows

(Expressed in United States Dollars) (Unaudited)

 

 

   Six Months Ended
June 30,		 
   2022   2021 
Operating activities        
Net income for the period  $20,923,107   $10,082,682 
Adjustments for:          
Digital currencies mined   (14,772,937)   (9,879,628)
Acquisition of digital currencies   (3,932,000)   - 
Rent charge back for Miner Lease Agreement   5,204,416    - 
Digital currencies received   (345,658)   (47,670)
Digital currencies paid for services   407,567    - 
Loss on sale of digital currencies   12,174,435    - 
Digital currencies for loan repayment   11,982,320    - 
Digital currencies traded for cash   8,270,193    - 
Loss on revaluation of digital currencies   2,948,364    - 
Gain on sale of property, plant and equipment   (2,340,658)   (939,516)
Depreciation of right-of-use assets   56,102    99,146 
Depreciation and amortization   4,178,237    1,372,278 
Interest on lease liabilities   14,193    118,352 
Change in fair value of amount owing for Miner Lease Agreement   894,973    - 
Share based compensation   1,637,583    3,771,306 
Change in warrant liability   (33,734,693)   (10,288,574)
Loss on settlement of debt   -    279,070 
Interest accrual   (12,000)   - 
Deferred tax recovery   (2,946,842)   - 
Foreign exchange (gain) loss   (1,007,584)   798,446 
Working capital items:           
Amounts receivable and prepaid expenses   (3,138,520)   (221,104)
Accounts payable and accrued liabilities   (1,798,035)   742,630 
Income tax payable   (550,000)   - 
Deposit payable   (1,649,959)   511,000 
Net cash provided by operating activities   2,462,604    (3,601,582)
           
Investing activities          
Purchase of property, plant and equipment   (8,880,264)   (23,539,177)
Proceeds from sale of property, plant and equipment   1,995,000    - 
Acquisition of digital currency option calls   (1,950,000)   - 
Net cash used in investing activities   (8,835,264)   (23,539,177)
           
Financing activities          
Proceeds from private placement, net of costs   8,287,555    50,265,763 
Proceeds from pre-funded warrants   1,056,314    - 
Proceeds from mortgage   1,250,000    - 
Repurchase of shares   (248,483)   (134,233)
Proceeds from loans payable   10,000,000    1,473,495 
Repayment of loans payable   (10,000,000)   (3,975,083)
Lease payments   (24,000)   (173,690)
Net cash provided by financing activities   10,321,386    47,456,252 
           
Net change in cash   3,948,726    20,315,493 
Cash, beginning of period   915,715    31,250 
Cash, end of period  $4,864,441   $20,346,743 
Supplemental information          
Interest paid  $238,204   $117,697 

 

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

 

- 3 -

 

 

 

Digihost Technology Inc.

Condensed Interim Consolidated Statement of Changes in Shareholders' Equity

(Expressed in United States Dollars) (Unaudited)

 

 

   Number of shares (note 13)           Cumulative Digital
currency		         
   Subordinate   Proportionate   Share   Contributed   Translation   revaluation         
   voting shares   voting shares   capital   surplus   Adjustment   reserve   Deficit   Total 
                                 
Balance, December 31, 2020   13,357,838    3,333   $12,541,038   $1,267,551   $118,162   $1,982,501   $(5,465,446)  $10,443,806 
Private placements (note 13(b)(iii)(iv)(v)(vi)(vii))   11,555,674    -    50,059,301    5,044,691    -    -    -    55,103,992 
Cost of issue - cash (note 13(b)(v)(vi)(vii))   -    -    (4,838,229)   -    -    -    -    (4,838,229)
Cost of issue - broker warrants (note 13(b)(iv)(v)(vi)(vii))   -    -    (3,035,477)   3,035,477    -    -    -    - 
Shares issued as payment for accounts payable (note 13(b)(ii))   66,667    -    305,055    -    -    -    -    305,055 
Shares cancelled (note 13(b)(i))   (51,500)   -    (71,645)   -    -    -    (62,588)   (134,233)
Share based compensation   -    -    -    3,771,306    -    -    -    3,771,306 
Transaction with owners   24,928,679    3,333    54,960,043    13,119,025    118,162    1,982,501    (5,528,034)   64,651,697 
Foreign currency translation adjustment   -    -    -    -    807,948    -    -    807,948 
Revaluation of digital currencies, net of tax   -    -    -    -    -    (1,640,267)   -    (1,640,267)
Net income for the period   -    -    -    -    -    -    10,082,682    10,082,682 
Total comprehensive income (loss) for the period   -    -    -    -    807,948    (1,640,267)   10,082,682    9,250,363 
Balance, June 30, 2021   24,928,679    3,333   $54,960,043   $13,119,025   $926,110   $342,234   $4,554,648   $73,902,060 
                                         
Balance, December 31, 2021 (restated)   24,956,165    3,333   $26,478,123   $11,844,581   $(266,730)  $3,706,624   $(2,513,061)  $39,249,537 
Private placements (note 13(b)(viii))   2,729,748    -    9,368,139    -    -    -    -    9,368,139 
Cost of issue - cash (note 13(b)(viii))   -    -    (1,080,584)   -    -    -    -    (1,080,584)
Cost of issue - broker warrants (note 13(b)(viii))   -    -    (535,009)   535,009    -    -    -    - 
Warrant liabilities   -    -    (6,665,218)   -    -    -    -    (6,665,218)
Shares cancelled (note 13(b)(ix))   (159,200)   -    (351,521)   -    -    -    103,038    (248,483)
Share based compensation   -    -    -    1,637,583    -    -    -    1,637,583 
                                         
Transaction with owners   27,526,713    3,333    27,213,930    14,017,173    (266,730)   3,706,624    (2,410,023)   42,260,974 
                                         
Foreign currency translation adjustment   -    -    -    -    (871,751)   -    -    (871,751)
Revaluation of digital currencies, net of tax   -    -    -    -    -    (3,706,624)   -    (3,706,624)
Net income for the period   -    -    -    -    -    -    20,923,107    20,923,107 
Total comprehensive income (loss) for the period   -    -    -    -    (871,751)   (3,706,624)   20,923,107    16,344,732 
                                         
Balance, June 30, 2022   27,526,713    3,333   $27,213,930   $14,017,173   $(1,138,481)  $-   $18,513,084   $58,605,706 

 

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

 

- 4 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

1.Nature of operations

 

Digihost Technology Inc. (the "Company" or "Digihost") was incorporated in British Columbia, Canada, on February 18, 2017 as Chortle Capital Corp and subsequently changed its name to HashChain Technology Inc. on September 18, 2017, and again to Digihost Technology Inc. on February 14, 2020. Digihost and its subsidiaries, Digihost International, Inc., and DGX Holding, LLC (together the "Company") is a blockchain technology company with operations in cryptocurrency mining. The head office of the Company is located at 2830 Produce Row, Houston, TX, 77023.

 

These unaudited condensed interim consolidated financial statements of the Company were reviewed, approved and authorized for issue by the Board of Directors on August 15, 2022.

 

2.Significant accounting policies

 

(a)Statement of compliance

 

The Company applies IFRS as issued by the International Accounting Standards Board (“IASB”) and interpretations issued by the IFRS Interpretations Committee. These unaudited condensed interim consolidated financial statements have been prepared in accordance with International Accounting Standard 34 - Interim Financial Reporting. Accordingly, they do not include all of the information required for full annual financial statements.

 

The policies applied in these unaudited condensed interim consolidated financial statements are based on IFRS issued and outstanding as of August 15, 2022, the date the Board of Directors approved the statements. The same accounting policies and methods of computation are followed in these unaudited condensed interim consolidated financial statements as compared with the most recent annual financial statements as at and for the year ended December 31, 2021. Any subsequent changes to IFRS that are given effect in the Company’s annual financial statements for the year ending December 31, 2022 could result in restatement of these unaudited condensed interim consolidated financial statements.

 

(b)Standards, amendments and interpretations to existing standards that are not yet effective and have not been adopted early by the Company.

 

At the date of authorization of these unaudited condensed interim consolidated financial statements, several new, but not yet effective, standards and amendments to existing standards, and interpretations have been published by the IASB. None of these standards or amendments to existing standards have been adopted early by the Company. Management anticipates that all relevant pronouncements will be adopted for the first period beginning on or after the effective date of the pronouncement. New standards, amendments and interpretations not adopted in the current year have not been disclosed as they are not expected to have a material impact on the Company’s unaudited condensed interim consolidated financial statements.

 

(c)Critical accounting judgements, estimates and assumptions

 

The preparation of these financial statements in conformity with IFRS requires management to make certain estimates, judgments and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and reported amounts of expenses during the reporting period. Actual outcomes could differ from these estimates. These financial statements include estimates that, by their nature, are uncertain. The impacts of such estimates are pervasive throughout the financial statements, and may require accounting adjustments based on future occurrences. Revisions to accounting estimates are recognized in the year in which the estimate is revised and future years if the revision affects both current and future years. These estimates are based on historical experience, current and future economic conditions and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

 

Significant assumptions about the future that management has made that could result in a material adjustment to the carrying amounts of assets and liabilities, in the event that actual results differ from assumptions made are the same as the most recent annual financial statements as at and for the year ended December 31,2021.

 

- 5 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

3.Digital currencies

 

The Company's holdings of digital currencies consist of the following:

 

   As at
June 30,		   As at
December 31,		 
   2022   2021 
Bitcoin  $5,802,788   $29,770,994 
Ethereum   1,068,250    3,720,992 
   $6,871,038   $33,491,986 

 

The continuity of digital currencies was as follows:

 

   Number of       Number of       Total 
   Bitcoin   Amount   Ethereum   Amount   Amount 
                     
Balance, December 31, 2020   154   $4,508,042    -   $-   $4,508,042 
Bitcoin mined(2)   519    24,952,344    -    -    24,952,344 
Received from sale of property, plant and equipment   24    1,347,977    63    204,318    1,552,295 
Received from private placement   1    47,671    -    -    47,671 
Acquisition (disposal) of digital currencies   (66)   (3,347,790)   974    3,347,034    (756)
Acquisition of property,plant and equipment   -    -    (36)   (163,942)   (163,942)
Gain on sale of digital currencies   -    235,067    -    55,881    290,948 
Revaluation adjustment(1)   -    2,027,683    -    277,701    2,305,384 
Balance, December 31, 2021   632    29,770,994    1,001    3,720,992    33,491,986 
Bitcoin mined for Digihost(2)   416    14,772,937    -    -    14,772,937 
Bitcoin mined for Northern Data(3)   23    1,643,835    -    -    1,643,835 
Bitcoin remitted per Miner Lease Agreement(2)   (192)   (7,169,248)   -    -    (7,169,248)
Received from sale of property, plant and equipment   9    345,658    -    -    345,658 
Acquisition of digital currencies   100    3,932,000    -    -    3,932,000 
Digital currencies paid for services   (10)   (407,567)   -    -    (407,567)
Digital currencies traded for cash   (270)   (8,270,193)   -    -    (8,270,193)
Digital currencies for loan repayment   (415)   (11,982,320)   -    -    (11,982,320)
Gain on sale of digital currencies   -    (11,853,786)   -    -    (11,853,786)
Revaluation adjustment(1)   -    (4,979,522)   -    (2,652,742)   (7,632,264)
Balance, June 30, 2022   293   $5,802,788    1,001   $1,068,250   $6,871,038 

 

(1)Digital assets held are revalued each reporting period based on the fair market value of the price of Bitcoin and Ethereum on the reporting date. As at June 30, 2022, the prices of Bitcoin and Ethereum were $19,785 (December 31, 2021 - $47,117) and $1,067 (December 31, 2021 - $3,718), respectively resulting in total revaluation loss of $7,632,264. The Company recorded $3,706,624 of the loss in other comprehensive loss, net of taxes of $1,047,759, and the remaining loss of $2,948,364 was recorded on the statement of comprehensive income.

 

(2)During the year ended December 31, 2021, the Company entered into a Miner Lease Agreement with Northern Data, NY LLC, pursuant to which the parties have agreed to split a portion of the mining rewards received and energy costs incurred for the miners put in service pursuant to that lease agreement. In connection with this agreement, as at June 30, 2022, the Company must remit 42 Bitcoin with a value of $1,968,112 which is presented in the current liabilities.

 

(3)During the quarter ended March 31, 2022, the Company entered into a BTC rewards share arrangement with Northern Data, NY LLC, pursuant to which the parties have agreed to split a portion of the mining rewards received for the miners put in service pursuant to the arrangement. In connection with this agreement, as at June 30, 2022, the Company must remit 5.5 Bitcoin with a value of $1,395,663 which is presented in the current liabilities.

 

- 6 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

4.Amounts receivable and prepaid expenses

 

   As at   As at 
   June 30,   December 31, 
   2022   2021 
Prepaid insurance and deposits  $2,899,886   $709,575 
Receivable from Miner Lease Agreement   2,046,938    911,200 
Other receivable   -    187,529 
   $4,946,824   $1,808,304 

 

5.Property, plant and equipment

 

   Data   Equipment   Leasehold   Powerplant   Powerplant     
   miners   and other   improvement   in progress   in use   Total 
                         
Cost  $5,802,789   $2,760,000   $1,040,000   $-   $-   $9,602,789 
Balance - December 31, 2020                              
Additions   26,845,831 (1)    603,324    -    7,148,920    -    34,598,075 
Disposal   (990,517)   -    -    -    -    (990,517)
                               
Balance - December 31, 2021   31,658,103    3,363,324    1,040,000    7,148,920    -    43,210,347 
Additions   -    4,743,619    39,542    4,097,103    -    8,880,264 
Disposal   (1,253,992)   -    -    -    -    (1,253,992)
Transfer asset in use   -    -    -    (3,658,066)   3,658,066    - 
                               
Balance - June 30, 2022  $30,404,111   $8,106,943   $1,079,542   $7,587,957   $3,658,066   $50,836,619 
                               
Accumulated depreciation  $2,538,211   $479,888   $87,056   $-   $-   $3,105,155 
Balance - December 31, 2020                              
Depreciation   2,272,602    577,000    104,000    -    -    2,953,602 
Disposal   (990,517)   -    -    -    -    (990,517)
                               
Balance - December 31, 2021   3,820,296    1,056,888    191,056    -    -    5,068,240 
Depreciation   3,366,120    288,500    52,549    -    406,452    4,113,621 
Disposal   (1,253,992)   -    -    -    -    (1,253,992)
                               
Balance - June 30, 2022  $5,932,424   $1,345,388   $243,605   $-   $406,452   $7,927,869 
                               
Net carrying value
As at December 31, 2021		  $27,837,807   $2,306,436   $848,944   $7,148,920   $-   $38,142,107 
                               
As at June 30, 2022  $24,471,687   $6,761,555   $835,937   $7,587,957   $3,251,614   $42,908,750 

 

(1)Included in this total are 10,000 high performance Bitcoin miners sourced from Northern Data AG per a definitive purchase agreement entered into on May 12, 2021.

 

Pursuant to the terms of the purchase agreement, the Company has concurrently entered into a hosting agreement with Northern Data in connection with the miners, whereby Northern Data will provide services to the Company including the installation and hosting of the miners in proprietary pre-manufactured performance optimized mobile data centres to be located at Digihost’s company-owned facility.

 

- 7 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

6.Right-of-use assets

 

   As at   As at 
   June 30,   December 31, 
   2022   2021 
Balance, beginning of period(1)  $2,078,599   $2,413,720 
Additions(2)   602,172    - 
Depreciation   (56,102)   (198,291)
Modification of lease   -    (136,830)
Balance, end of period  $2,624,669   $2,078,599 

 

(1)On December 31, 2021, the Company entered into a 99 year lease for the 1001 East Delavan facility in exchange for a one time prepayment of $2.3 million. This long-term lease is treated as a lease modification of the current lease. This right-of-use asset is depreciated over 40 years. The lease for this right-of-use assets has been modified because of the prepayment as the Company has acquired the premises under a long-term lease.

 

(2)In April 2022, the Company entered into a lease for its head office for a term of 5 years.

 

7.Intangible asset

 

Intangible asset relates to the right of use of an electric power facility.

 

   As at   As at 
   June 30,   December 31, 
   2022   2021 
Balance, beginning of period  $1,443,260   $1,572,500 
Amortization   (64,616)   (129,240)
Balance, end of period  $1,378,644   $1,443,260 

 

8.Goodwill

 
   As at   As at 
   June 30,   December 31, 
   2022   2021 
Balance, beginning of period  $1,346,904   $1,342,281 
RTO transaction   -    - 
Foreign currency translation   (21,741)   4,623 
Balance, end of period  $1,325,163   $1,346,904 

 

- 8 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

9.Lease liabilities

 

The continuity of the lease liabilities are presented in the table below:  

 

   As at   As at 
   June 30,   December 31, 
   2022   2021 
         
Balance, beginning of period(1)  $-   $2,546,160 
Additions(2)   602,172    - 
Interest   14,193    236,680 
Lease payments   (24,000)   (2,647,669)
Modification of lease   -    (135,171)
Balance, end of period  $592,365   $- 
Current portion  $84,686   $- 
Non-current portion   507,679    - 
Total lease liabilities  $592,365   $- 

 

(1)On December 31, 2021, the Company entered into a 99 year lease for the 1001 East Delavan facility in exchange for a one time prepayment of $2.3 million. This long-term lease is treated as a lease modification of the current lease. Refer to note 6.

 

(2)In April 2022, the Company entered into a lease for its head office for a term of 5 years. When measuring lease liability, the Company's incremental borrowing rate applied was estimated to be 10% per annum.

 

Maturity analysis - contractual undiscounted cash flows As at June 30, 2022

 

As at June 30, 2022    
Less than one year  $144,720 
One to five years   595,795 
      
Total undiscounted lease obligations  $740,515 

 

10.Loans payable

 

      As at 
   As at
June 30,		   December 31, 
   2022   2021 
Balance, beginning of the period  $-   $2,543,083 
New loans(1)   10,000,000    1,432,000 
Repayment of loans   (10,000,000)   (3,975,083)
Balance, end of the period  $-   $- 

 

(1)On March 2, 2022, the Company announced the closing of a $10,000,000 committed, collateralized revolving credit facility with Securitize, Inc. (the “Loan Facility”). The Loan Facility had a one-year committed term and an interest rate of 7.5% per annum.

 

11.Mortgage payable

 

In June 2022, the Company purchased a property and assumed a mortgage of $1,250,000. The mortgage is payable $50,000 a month for 25 months beginning after the execution of a Rider Agreement with the Alabama Public Service Commission.

 

- 9 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

12.Warrant liabilities

 

Due to the characteristics of certain warrants, the fixed-for-fixed condition is not met. Therefore the Company records these warrants as financial liabilities measured at fair value upon initial recognition. At each subsequent reporting date, the warrants are re-measured at fair value and the change in fair value is recognized through profit or loss. Upon warrant exercise, the fair value previously recognized in warrant liabilities is transferred from warrant liabilities to share capital.

 

The following table summarizes the changes in the warrant liabilities for the Company's warrants for the period ending June 30, 2022:

 

   Number of     
   warrants   Amount 
Balance, December, 2021   9,098,514   $30,955,232 
Warrants issued   3,029,748    6,665,218 
Warrants expired   (3,029,748)   - 
Revaluation of warrant liabilities   -    (33,734,693)
Balance, June 30, 2022   9,098,514   $3,885,757 

 

The fair value of the Company's warrants has been determined using the Black-Scholes pricing model and the following weighted average assumptions:

 

   As at   As at 
   June 30,   December 31, 
   2022   2021 
         
Spot price (in CAD$)  $1.23   $5.97 
Risk-free interest rate   3.14%   0.91%
Expected annual volatility   135%   135%
Expected life (years)   2.47    2.72 
Dividend   nil    nil 

 

The following table reflects the Company's warrants outstanding and exercisable as at June 30, 2022:

 

Expiry date  Warrants
outstanding 
and exercisable		   Weighted
 average
exercise price
(CAD$)		 
March 16, 2024   1,872,659    9.420 
June 18, 2024   2,083,334    5.970 
April 9, 2025   2,112,773    7.110 
September 9, 2025   3,029,748    6.25 
    9,098,514    7.04 

 

- 10 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

13.Share capital

 

a)Authorized share capital

 

Unlimited subordinate voting shares without par value and conferring 1 vote per share.

 

Unlimited proportionate voting shares without par value, conferring 200 votes per share, convertible at the holder's option into subordinate voting shares on a basis of 200 subordinate voting shares for 1 proportionate voting shares.

 

b)Subordinate voting shares and proportionate voting shares issued

 

Period ended June 30, 2021

 

(i) On December 7, 2020, the Company announced that it has received approval to undertake, at the Company’s discretion, a normal course issuer bid program to purchase up to 667,894 of its subordinate voting shares for cancellation (the “Bid”). The Company received acceptance from the TSXV to commence the Bid on December 10, 2020. The Bid was terminated on December 10, 2021. As at June 30, 2021, the Company repurchased and cancelled 154,500 subordinate voting shares for a total repurchase price of $134,233.

 

(ii) On February 9, 2021, the Company issued 66,667 subordinate voting shares to settle a debt of $40,000 with two third-party creditors.

 

(iii) On January 8, 2021, the Company closed a non-brokered private placement for 116,625 subordinate voting shares for CAD$2.43 for gross proceeds of $220,551 (CAD$283,400).

 

(iv) On February 18, 2021, the Company closed a non-brokered private placement financing for 1,646,090 subordinate voting shares for CAD$2.43 for gross proceeds of $3,124,018 (CAD$4,000,000). In connection with the private placement, the Company will pay a commission of 49,383 shares to third party advisors.

 

(v) On March 16, 2021, the Company closed a non-brokered private placement financing for 3,121,099 units for CAD$8.01 per unit for gross proceeds of $19,985,611 (CAD$25 million). 3,121,099 subordinate voting shares of the Company and warrants to purchase 3,121,099 subordinate voting shares were issued. The warrants have an exercise price of CAD$9.42 per per subordinate voting share and exercise period of three years from the issuance date.

 

H.C. Wainwright & Co. acted as the exclusive placement agent and received cash commission and expenses totalling $1,978,303 and 249,688 non-transferable broker warrants. Each broker warrant entitles the holder to purchase one subordinate voting share at an exercise price of CAD$10.01 at any time for a period of three years from the issuance date.

 

(vi) On April 9, 2021, the Company closed a non-brokered private placement financing for 3,894,081 units for CAD$6.42 per unit for gross proceeds of $19,748,795 (CAD$25 million). 3,894,081 subordinate voting shares of the Company and warrants to purchase 3,894,081 subordinate voting shares were issued. The warrants have an exercise price of CAD$7.11 per subordinate voting share and exercise period of four years from the issuance date.

 

H.C. Wainwright & Co. acted as the exclusive placement agent and received cash commission and expenses totalling $1,695,460 and 311,526 non-transferable broker warrants. Each broker warrant entitles the holder to purchase one subordinate voting share at an exercise price of CAD$8.025 at any time for a period of four years from the issuance date.

 

- 11 -

 

 

 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

13.Share capital (continued)

 

Period ended June 30, 2021 (continued)

 

(vii) On June 18, 2021, the Company closed a non-brokered private placement financing for 2,777,779 units for CAD$5.40 per unit for gross proceeds of $12,025,016 (CAD$15 million). 2,777,779 subordinate voting shares of the Company and warrants to purchase 2,083,334 subordinate voting shares were issued. The warrants have an exercise price of CAD$5.97 per subordinate voting share and exercise period of three years from the issuance date.

 

H.C. Wainwright & Co. acted as the exclusive placement agent and received cash commission and expenses totalling $1,164,466 and 222,222 non-transferable broker warrants. Each broker warrant entitles the holder to purchase one subordinate voting share at an exercise price of CAD$6.75 at any time for a period of three years from the issuance date.

 

Period ended June 30, 2022

 

(viii) On March 9, 2022, the Company closed a private placement with a single institutional investor, for (a) 2,729,748 subordinate voting shares at a purchase price of CAD$4.40 per subordinate voting share and associated warrant, (b) 300,000 pre-funded warrants (Pre-funded Warrants) at an exercise price of $0.0001 per subordinate voting shares, at an offering price of CAD$4.3999 per Pre-Funded Warrant and associated warrant and (iii) 3,029,748 common share purchase warrants (the “Warrants”) for aggregate gross proceeds of $10,424,453 (CAD$13,330,861). The Warrants have an exercise price of CAD$6.25 per share and exercise period of three and one-half years from the issuance date. The Pre-Funded Warrants were assigned a fair value of $1,056,314 based on the cash received and are accounted for as financial liabilities at fair value.

 

In connection with the private placement, the investor has agreed to cancel existing warrants to purchase 1,248,440 common subordinate voting shares of the Company at an exercise price of CAD$9.42 per share issued in March 16, 2021 expiring on March 16, 2024 and the existing warrants to purchase 1,781,308 common subordinate voting shares of the Company at an exercise price of CAD$7.11 issued in April 9, 2021 expiring on April 9, 2025.

 

H.C. Wainwright & Co. acted as the exclusive placement agent and received cash commission and expenses totalling $1,080,584 and 242,380 non-transferable broker warrants. Each broker warrant entitles the holder to purchase one subordinate voting share at an exercise price of CAD$6.25 at any time for a period of three and one-half years from the issuance date.

 

(ix) During May 2022, the Company received approval to undertake, at the Company’s discretion, a normal course issuer bid program to purchase up to 1,219,762 of its subordinate voting shares for cancellation. As at June 30, 2022, the Company repurchased and cancelled 159,200 subordinate voting shares for a total repurchase price of $248,483.

 

- 12 -

 

 
 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

14. Warrants  

 

   Number of Warrants   Weighted Average Exercise Price (CAD$) 
Balance, December 31, 2020   36,858    5.25 
Issued (note 13(b)(v)(vi)(vii))   9,881,950    7.68 
Balance, June 30, 2021   9,918,808    7.68 
Balance, December 31, 2021   9,881,950    7.69 
Issued (note 13(b)(viii))   3,272,128    6.25 
Cancelled   (3,029,748)   8.06 
Balance, June 30, 2022   10,124,330    7.12 

 

The following table reflects the warrants issued and outstanding as of June 30, 2022:

 

Number of Warrants Outstanding   Exercise Price (CAD$)  

Weighted Average Contractual

Life (years)

   Expiry Date
 1,872,659    9.42    1.71   March 16, 2024
 249,688    10.01    1.71   March 16, 2024(1)
 2,083,334    5.97    1.97   June 18, 2024
 222,222    6.75    1.97   June 18, 2024(1)
 2,112,773    7.11    2.78   April 9, 2025
 311,526    8.025    2.78   April 9, 2025(1)
 3,029,748    6.25    3.20   September 9, 2025
 242,380    6.25    3.20   September 9, 2025(1)
 10,124,330    7.12    2.51    

 

(1)Broker warrants.

 

- 13 -

 

 
 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

15.Stock options and restricted share units

 

(a)Stock options

 

The Company has a stock option plan whereby the maximum number of shares subject to the plan, in the aggregate, shall not exceed 10% of the Company's issued and outstanding shares. The exercise price shall be no less than the discount market price as determined in accordance with TSXV policies.

 

The following table reflects the continuity of stock options for the periods presented below:

 

   Number of Stock Options  

Weighted Average

Exercise Price
(CAD$)

 
Balance, December 31, 2020   625,000    2.88 
Granted (i)(ii)(iii)(iv)(v)   1,823,497    6.03 
Balance, June 30, 2021   2,448,497    5.22 
Balance, December 31, 2021 and June 30, 2022   2,345,165    5.28 

 

(i) On January 5, 2021, the Company granted stock options to directors, officers, employees and consultants of the Company to acquire an aggregate of 550,164 subordinate voting shares. Each stock option is exercisable into a subordinate voting share at a price of CAD$3.75 and expire on January 5, 2026. The stock options vest fully on the six-month anniversary of the date of grant.

 

A value of CAD$2.76 per option was estimated for the 550,164 stock options on the date of grant with the following assumptions and inputs: share price of CAD$3.03; exercise price of CAD$3.75; expected dividend yield of 0%; expected volatility of 155% which is based on comparable companies; risk-free interest rate of 0.39%; and an expected average life of five years.

 

(ii) On February 24, 2021, the Company granted stock options to consultants of the Company to acquire an aggregate of 50,000 subordinate voting shares. Each stock option is exercisable into a subordinate voting share at a price of CAD$13.92 and expire on February 24, 2026. The stock options vested immediately.

 

A value of CAD$12.78 per option was estimated for the 50,000 stock options on the date of grant with the following assumptions and inputs: share price of CAD$13.92; exercise price of CAD$13.92; expected dividend yield of 0%; expected volatility of 155% which is based on comparable companies; risk-free interest rate of 0.73%; and an expected average life of five years.

 

(iii) On March 26, 2021, the Company granted stock options to directors, officers, employees and consultants of the Company to acquire an aggregate of 533,333 subordinate voting shares. Each stock option is exercisable into a subordinate voting share at a price of CAD$7.47 and expire on March 25, 2026. The stock options vest fully on the six- month anniversary of the date of grant.

 

A value of CAD$6.87 per option was estimated for the 533,333 stock options on the date of grant with the following assumptions and inputs: share price of CAD$7.47; exercise price of CAD$7.47; expected dividend yield of 0%; expected volatility of 155% which is based on comparable companies; risk-free interest rate of 0.90%; and an expected average life of five years.

 

- 14 -

 

 
 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

15.Stock options and restricted share units (continued)

 

(iv) On May 17, 2021, the Company granted stock options to directors, officers, employees and consultants of the Company to acquire an aggregate of 430,000 subordinate voting shares. Each stock option is exercisable into a subordinate voting share at a price of CAD$7.35 and expire on May 17, 2026. The stock options vest fully on the six- month anniversary of the date of grant.

 

A value of CAD$6.09 per option was estimated for the 430,000 stock options on the date of grant with the following assumptions and inputs: share price of CAD$7.86; exercise price of CAD$7.35; expected dividend yield of 0%; expected volatility of 105% which is based on comparable companies; risk-free interest rate of 0.95%; and an expected average life of five years.

 

(v) On June 22, 2021, the Company granted stock options to directors, officers, employees and consultants of the Company to acquire an aggregate of 260,000 subordinate voting shares. Each stock option is exercisable into a subordinate voting share at a price of CAD$4.20 and expire on June 22, 2026. The stock options vest fully on the six- month anniversary of the date of grant.

 

A value of CAD$3.06 per option was estimated for the 260,000 stock options on the date of grant with the following assumptions and inputs: share price of CAD$4.02; exercise price of CAD$4.20; expected dividend yield of 0%; expected volatility of 105% which is based on comparable companies; risk-free interest rate of 0.95%; and an expected average life of five years.

 

The underlying expected volatility of all option grants was determined by reference to historical data of comparable companies share price over the expected stock option life.

 

The following table reflects the stock options issued and outstanding as of June 30, 2022:

 

Expiry Date  Exercise Price (CAD$)  

Weighted Average Remaining Contractual

Life (years)

   Number of Options Outstanding  

Number of Options Vested

(exercisable)

   Number of Options Unvested 
February 14, 2025   2.88    2.63    575,000    575,000               - 
January 5, 2026   3.75    3.52    525,164    525,164    - 
February 24, 2026   13.92    3.66    50,000    50,000    - 
March 25, 2026   7.47    3.74    525,000    525,000    - 
May 17, 2026   7.35    3.88    421,667    421,667    - 
June 22, 2026   4.20    3.98    248,334    248,334    - 
    5.28    3.47    2,345,165    2,345,165    - 

 

- 15 -

 

 
 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

15.Stock options and restricted share units (continued)

 

The Company has an RSU plan whereby the there is a fixed cap of shares that can be granted under the plan. The exercise price shall be no less than the discount market price as determined in accordance with TSXV policies.

 

(b)Restricted share units

 

The following table reflects the continuity of RSUs for the periods ended June 30, 2022 and 2021:

 

   Number of RSUs 
Balance, December 31, 2020 and June 30, 2021   - 
      
Balance, December 31, 2021   - 
Granted   1,449,250 
      
Balance, June 30, 2022   1,449,250 

 

During the six months ended June 30, 2022, the Company granted 1,449,250 RSUs to officers, directors, employees and advisors. These RSUs vest third on each of the first, second and third anniversaries of the date of grant. The grant date fair value of the RSUs was $5,725,262.

 

For the three and six months ended June 30, 2022, the Company recorded share based compensation expense for these RSU's of $873,193 and $1,637,583 respectively, (three and six months ended June 30, 2021 - $nil).

 

16.Income per share

 

   Three Months Ended
June 30,		   Six Months Ended
June 30,		 
   2022   2021   2022   2021 
Net income for the period  $3,577,254   $9,769,010   $20,923,107   $10,082,682 
Net income per share - basic and diluted   $0.13   $0.44   $0.79   $0.55 
Weighted average number of shares outstanding - basic and diluted    27,660,104    22,161,539    26,647,397    18,486,810 

 

(i)Diluted income per share does not include the effect of warrants and stock options as they are anti-dilutive.

 

- 16 -

 

 
 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

17.Related party transactions

 

Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control. Related parties include key management personnel and may be individuals or corporate entities. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. Related party transactions are recorded at the exchange amount, being the amount agreed to between the related parties.

 

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, directly or indirectly. Key management personnel include the Company’s executive officers and members of the Board of Directors.

 

Remuneration of key management personnel of the Company was as follows:

 

   Three Months Ended
June 30,		   Six Months Ended
June 30,		 
   2022   2021   2022   2021 
Professional fees (1)  $86,521   $43,142   $159,438   $53,390 
Salaries (1)   211,269    -    430,644    - 
Share based compensation(2)   819,416    2,216,020    1,536,732    2,748,248 
   $1,117,206   $2,259,162   $2,126,814   $2,801,638 

 

(1)Represents the professional fees and salaries paid to officers and directors.

 

(2)Represents the share based compensation for officers and directors.

 

18.Additional information on the nature of comprehensive income (loss) components

 

   Six Months Ended
June 30,		 
   2022   2021 
Expenses for employee benefits          

Operating and maintenance costs

  $193,610   $189,438 
Professional fees   159,438    53,390 
Share based compensation   1,637,583    3,771,306 
   $1,990,631   $4,014,134 
Net financial expenses          

Interest on loans

  $238,204   $96,134 
Interest on lease liabilities   14,193    118,352 
   $252,397   $214,486 

 

- 17 -

 

 
 

Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

19.Segmented reporting

 

The Company has one operating segment being cryptocurrency mining located in the United States. The operations of the Company are located in two geographic locations, Canada and the United States. Geographic segmentation is as follows:

 

As at June 30, 2022  Canada   United
States		  Total 
Current assets  $37,825   $18,838,877 $18,876,702 
Non-current assets   1,325,163    49,133,438   50,458,601 
Total assets  $1,362,988   $67,972,315 $69,335,303 

 

As at December 31, 2021  Canada  

United
States

  Total 
Current assets  $179,396   $36,036,609  $36,216,005 
Non-current assets   1,346,904    42,463,966   43,810,870 
Total assets  $1,526,300   $78,500,575  $80,026,875 

 

20.Financial instruments and risk management

 

Fair value

 

The fair value of the Company’s financial instruments, including cash, amounts receivable, accounts payable and accrued liabilities, pre-funded warrants liability, amount owing for Miner Lease Agreement, loans payable, deposit payable approximates their carrying value due to their short-term nature. Promissory note receivable is due from an arm's length third party, the fair value of this note are measured using relevant market input (Level 3). Digital currencies are measured at fair value using the quoted price on Coinmarketcap (Level 2).

 

Risks

 

The Company is exposed to a variety of financial related risks.

 

Credit risk

 

Credit risk is the risk that one party to a financial instrument will fail to discharge an obligation and cause the other party to incur a financial loss. The Company’s primary exposure to credit risk is on its cash, amounts receivable, promissory note receivable and loan receivable. The cash is deposited in a bank account held with one major bank in the United States so there is a concentration of credit risk. This risk is managed by using a major bank that is a high credit quality financial institution as determined by rating agencies. The Company believes no impairment is necessary in respect of amounts receivable, promissory note receivable and loan receivable as balances are monitored on a regular basis with the result that exposure to bad debt is insignificant.

 

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Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

20.Financial instruments and risk management (continued)

 

Liquidity risk

 

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they fall due. The Company manages liquidity risk by maintaining cash balances to ensure that it is able to meet its short term and long- term obligations as and when they fall due. The Company manages cash projections and regularly updates projections for changes in business and fluctuations cause in digital currency prices and exchange rates.

 

The following table summarizes the expected maturity of the Corporation’s significant financial liabilities based on the remaining period from the balance sheet date to the contractual maturity date:

 

  Payments by period 
As at June 30, 2022  Less than
1 year		   1-3 years   4- 5 years   More than
5 years		   Total   Carrying Value 
Accounts payable and accrued liabilities  $474,815   $-   $         -   $           -   $474,815   $474,815 
Amount owing - Miner Lease Agreement   3,363,775    -    -    -    3,363,775    3,363,775 
Deposit payable   -    138,541    -    -    138,541    138,541 
Lease liabilities   144,720    302,595    293,200    -    740,515    740,515 
   $3,838,590   $138,541   $-   $-   $3,977,131   $3,977,131 

 

  Payments by period 
As at December 31, 2021  Less than
1 year		   1-3 years   4-5 years   More than
5 years		   Total   Carrying Value 
Accounts payable and accrued liabilities  $2,272,850   $      -   $             -   $             -   $2,272,850   $2,272,850 
Amount owing - Miner Lease Agreement   2,940,412    -    -    -    2,940,412    2,940,412 
Deposit payable   -    1,788,500    -    -    1,788,500    1,788,500 
   $5,213,262   $1,788,500   $-   $-   $7,001,762   $7,001,762 

 

Foreign currency risk

 

Currency risk relates to the risk that the fair values or future cash flows of the Company’s financial instruments will fluctuate because of changes in foreign exchange rates. Exchange rate fluctuations affect the costs that the Company incurs in its operations.

 

The Company’s functional and presentation currency is the US dollar. As the Company operates in an international environment, some of the Company’s financial instruments and transactions are denominated in currencies other than an entity’s functional currency. The fluctuation of the Canadian dollar in relation to the US dollar will consequently impact the profitability of the Company and may also affect the value of the Company’s assets and liabilities and the amount of shareholders’ equity. As at June 30, 2022 and December 31, 2021, the foreign currency risk was considered minimal.

 

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Digihost Technology Inc.

Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2022

(Expressed in United States Dollars) (Unaudited)

 

 

20.Financial instruments and risk management (continued)

 

Digital currency risk

 

Digital currency prices are affected by various forces including global supply and demand, interest rates, exchange rates, inflation or deflation and the global political and economic conditions. The profitability of the Company is directly related to the current and future market price of digital currencies; in addition, the Company may not be able liquidate its holdings of digital currencies at its desired price if required. A decline in the market prices for digital currencies could negatively impact the Company’s future operations. The Company has not hedged the conversion of any of its sales of digital currencies.

 

Digital currencies have a limited history and the fair value historically has been very volatile. Historical performance of digital currencies is not indicative of their future price performance. The Company’s digital currencies currently consist of Bitcoin and Ethereum.

 

At June 30, 2022, had the market price of the Company’s holdings of Bitcoin and Ethereum increased or decreased by 10% with all other variables held constant, the corresponding asset value increase or decrease respectively would amount to $687,104 (December 31, 2021 - $3,055,157).

 

21.Capital management

 

The Company manages its capital to maintain its ability to continue as a going concern and to provide returns to shareholders and benefits to other stakeholders. The capital structure of the Company consists of equity comprised of issued share capital, reserves and loans payable. The Company manages its capital structure and makes adjustments to it in light of economic conditions. The Company, upon approval from its Board of Directors, will balance its overall capital structure through new share issuances or by undertaking other activities as deemed appropriate under the specific circumstances. The Company is not subject to externally imposed capital requirements and the Company’s overall strategy with respect to capital risk management remains unchanged from the period ended June 30, 2022.

 

 

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