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Heyba Holdings Inc.



Consolidated Financial Statements – SOP v3.0

Consolidated Financial Statements

Following SOP v3.0 | Fiscal Years Ended January 31, 2025 and 2024

Heyba Holdings – Consolidated Financial Statements

HEYBA HOLDINGS – CONSOLIDATED FINANCIAL STATEMENTS

January 31, 2025 & 2024 | Following SOP v3.1
Consolidation Scope:
• Entity 1: Clad-Tech Inc. (Metal panel installation)
• Entity 2: Benchmark Fabricators Inc. (Sheet metal manufacturing)
• Entity 3: 683140 NB Inc. (Property holding company)
• All entities under common control

CONSOLIDATED INCOME STATEMENT

For the Year Ended January 31, 2025

Line Item Clad-Tech Benchmark 683140 NB Eliminations Consolidated
REVENUE
Sales/Service Revenue 12,292,697 7,728,660 (4,001,898) 16,019,459
Leasing Revenue 302,000 (302,000)
Management Fees Revenue
Interest Income 12 12
Total Revenue 12,292,697 7,728,660 302,012 (4,303,898) 16,019,471
COST OF GOODS SOLD
Cost of Goods Sold 10,703,325 5,728,914 (4,001,898) 12,430,341
Unrealized Profit in EI (net) 40,251 40,251
Total COGS 10,703,325 5,728,914 (3,961,647) 12,470,592
Gross Profit 1,589,372 1,999,746 302,012 (342,251) 3,548,879
OPERATING EXPENSES
Salaries & Benefits 382,394 856,574 1,238,968
Advertising & Promotion 2,871 6,866 9,737
Commissions 196,328 196,328
Dues & Fees 10,114 1,306 60 11,480
Heat & Electricity 37,571 14,219 51,790
Insurance 51,275 33,344 532 85,151
Management Fees 12,000 12,000
Office Supplies 51,234 33,771 85,005
Professional Fees 29,943 39,395 48,368 117,706
Rent 24,000 278,000 (302,000)
Repairs & Maintenance 96,006 16,345 24,286 136,637
Taxes (Property) 62,815 62,815
Telecommunications 30,778 4,368 35,146
Training 1,320 4,093 5,413
Travel 23,636 23,636
Vehicle Expenses 331,995 42,726 374,721
Amortization 202,223 147,102 65,204 414,529
Total Operating Expenses 1,226,153 1,721,425 215,484 (302,000) 2,861,062
Operating Income (EBIT) 363,219 278,321 86,528 (40,251) 687,817
INTEREST EXPENSE
Interest & Bank Charges 94,182 97,743 822 192,747
Interest on Long-term Debt 86,415 83,380 74,982 244,777
Total Interest Expense 180,597 181,123 75,804 0 437,524
Income Before Other Items 201,942 244,300 10,724 (40,251) 416,715
OTHER INCOME & TAX
Canada Carbon Rebate 6,003 3,654 9,657
Foreign Exchange Gain 20,762 20,762
Income Before Taxes 188,625 121,614 10,724 (40,251) 280,712
Current Income Tax 45,880 45,880
Future Income Tax 46,232 (14,323) 31,909
NET INCOME 155,710 237,159 10,724 (40,251) 363,342

CONSOLIDATED BALANCE SHEET

As at January 31, 2025

Line Item Clad-Tech Benchmark 683140 NB Eliminations Consolidated
ASSETS
Cash 28,155 28,155
Accounts Receivable 4,682,754 843,767 (490,367) 5,036,154
HST Receivable 1,569 1,569
Inventories 111,922 2,540,721 (69,441) 2,583,202
Work in Progress 271,502 271,502
Prepaid Expenses 10,446 20,261 30,707
Total Current Assets 5,076,624 3,404,749 29,724 (559,808) 7,951,289
Capital Assets (net) 544,242 559,438 1,730,056 2,833,736
Intangible Assets 4,089 4,089
Deferred Investment Tax Credits 107,224 107,224
TOTAL ASSETS 5,620,866 3,968,276 1,867,004 (559,808) 10,896,338
LIABILITIES
Bank Overdraft 322,041 262,123 584,164
Bank Operating Loan 157,751 1,048,202 1,205,953
Accounts Payable 713,694 355,110 73,490 1,142,294
A/P – Related Parties 490,367 (490,367)
Income Taxes Payable 21,391 21,391
Note Payable 25,000 25,000
Deferred Revenue 397,314 223,062 620,376
Current Portion LT Debt 201,600 460,800 106,200 768,600
Callable Debt 350,000 350,000
Current Renewable LT Debt 150,000 150,000
Total Current Liabilities 2,807,767 2,370,688 179,690 (490,367) 4,867,778
Long-term Debt 889,409 324,864 1,528,450 2,742,723
Future Income Taxes 203,610 63,239 266,849
Shares Redeemable 330,010 150,012 480,022
Due to Related Parties 260,000 260,000
TOTAL LIABILITIES 4,230,796 2,908,803 1,968,140 (490,367) 8,617,372
EQUITY
Share Capital 75 82 52 209
Retained Earnings (Deficit) 617,390 1,059,391 (101,188) (69,441) 1,506,152
Non-controlling Interest 772,605
Total Equity 617,465 1,059,473 (101,136) (69,441) 2,278,966
TOTAL LIAB. & EQUITY 5,620,866 3,968,276 1,867,004 (559,808) 10,896,338

CONSOLIDATED INCOME STATEMENT

For the Year Ended January 31, 2024

Line Item Clad-Tech Benchmark 683140 NB Eliminations Consolidated
REVENUE
Sales/Service Revenue 10,195,569 7,089,863 (3,124,240) 14,161,192
Leasing Revenue 231,652 (231,652)
Management Fees Revenue 65,000 12,000 (77,000)
Interest Income 1,620 1,620
Total Revenue 10,260,569 7,101,863 233,272 (3,432,892) 14,162,812
COST OF GOODS SOLD
Cost of Goods Sold 8,901,156 5,499,594 (3,124,240) 11,276,510
Unrealized Profit in EI (net) 29,190 29,190
Total COGS 8,901,156 5,499,594 (3,095,050) 11,305,700
Gross Profit 1,359,413 1,602,269 233,272 (337,842) 2,857,112
OPERATING EXPENSES
Salaries & Benefits 339,549 479,553 819,102
Advertising & Promotion 10,012 10,117 20,129
Commissions 191,815 191,815
Dues & Fees 38,809 8,853 60 47,722
Heat & Electricity 26,793 13,815 40,608
Insurance 54,655 33,500 532 88,687
Management Fees 65,000 (65,000)
Office Supplies 40,273 26,105 66,378
Professional Fees 22,106 10,940 2,050 35,096
Rent 43,826 187,826 (231,652)
Repairs & Maintenance 52,733 10,413 21,078 84,224
Taxes (Property) 60,834 60,834
Telecommunications 31,528 1,728 33,256
Training
Travel 30,557 30,557
Vehicle Expenses 302,573 47,570 350,143
Amortization 195,882 176,418 69,006 441,306
Total Operating Expenses 1,131,946 1,307,188 167,375 (296,652) 2,309,857
Operating Income (EBIT) 227,467 295,081 65,897 (41,190) 547,255
INTEREST EXPENSE
Interest & Bank Charges 66,129 96,609 1,587 164,325
Interest on Long-term Debt 100,673 95,282 81,876 277,831
Total Interest Expense 166,802 191,891 83,463 0 442,156
Income Before Other Items 47,345 279,408 (17,566) (41,190) 267,997
OTHER INCOME & TAX
Canada Carbon Rebate 6,003 6,003
Foreign Exchange Gain 23,971 23,971
Management Fee Rev (Benchmark) 12,000 (12,000)
Loss on Disposal (1,177) (3,973) (5,150)
Income Before Taxes 65,491 135,188 (17,566) (53,190) 129,923
Current Income Tax 17,233 17,233
Future Income Tax 23,113 17,501 40,614
NET INCOME (LOSS) 23,055 264,672 (17,566) (53,190) 216,971

CONSOLIDATED BALANCE SHEET

As at January 31, 2024

Line Item Clad-Tech Benchmark 683140 NB Eliminations Consolidated
ASSETS
Cash 107,876 32,511 140,387
Accounts Receivable 3,674,703 795,331 (398,276) 4,071,758
HST Receivable
Inventories 106,182 2,942,156 (29,190) 3,019,148
Work in Progress 88,092 88,092
Prepaid Expenses 17,878 28,555 46,433
Total Current Assets 3,886,855 3,873,918 32,511 (427,466) 7,365,818
Capital Assets (net) 678,127 674,680 1,759,140 3,111,947
Intangible Assets
Deferred Investment Tax Credits 22,575 107,224 129,799
TOTAL ASSETS 4,564,982 4,571,173 1,898,875 (427,466) 10,607,564
LIABILITIES
Bank Overdraft 1,105,356 1,105,356
Bank Operating Loan 1,127,141 1,127,141
Accounts Payable 434,935 822,534 21,981 1,279,450
A/P – Related Parties 398,276 74,750 (398,276) 74,750
Income Taxes Payable 1,381 1,381
Note Payable
Deferred Revenue 539,490 115,000 654,490
Current Portion LT Debt 207,700 257,600 104,300 569,600
Callable Debt 350,000 350,000
Current Renewable LT Debt 215,000 215,000
Total Current Liabilities 2,685,757 2,963,406 126,281 (398,276) 5,377,168
Long-term Debt 728,249 556,959 1,634,454 2,919,662
Future Income Taxes 157,378 77,562 234,940
Shares Redeemable 330,010 150,012 480,022
Due to Related Parties 250,000 250,000
TOTAL LIABILITIES 3,901,394 3,747,939 2,010,735 (398,276) 9,261,792
EQUITY
Share Capital 75 82 52 209
Retained Earnings (Deficit) 461,677 823,152 (111,912) (29,190) 1,143,727
Non-controlling Interest 201,836
Total Equity 461,752 823,234 (111,860) (29,190) 1,345,772
TOTAL LIAB. & EQUITY 4,564,982 4,571,173 1,898,875 (427,466) 10,607,564
Key Consolidation Eliminations:
2025:
• IC Sales (Benchmark to Clad-Tech): $(4,001,898)
• IC Rent (683140 to Clad-Tech & Benchmark): $(302,000)
• IC Receivables/Payables: $(490,367)
• Unrealized Profit in Ending Inventory: $(69,441)
• Less: 2024 Unrealized Profit Add-back: $29,190
• Net COGS Adjustment: $40,251

2024:
• IC Sales (Benchmark to Clad-Tech): $(3,124,240)
• IC Rent (683140 to Clad-Tech & Benchmark): $(231,652)
• IC Management Fees: $(77,000)
• IC Receivables/Payables: $(398,276)
• Unrealized Profit in Ending Inventory: $(29,190)

Unrealized Profit Calculation:
• Benchmark’s gross margin applied to Clad-Tech’s ending inventory purchased from Benchmark
• 2025: Clad-Tech inventory/WIP from Benchmark × 25.87% = $69,441
• 2024: Clad-Tech inventory/WIP from Benchmark × 22.43% = $29,190

Non-controlling Interest: Represents 683140 NB Inc. deficit allocation to minority shareholders

Note on EBIT: Interest expense has been properly classified below Operating Income to show true EBIT