Vision Marine Technologies Inc.
Consolidated statements of financial position
[Going concern uncertainty – see note 2]
(Unaudited)
| As at February |
| As at August | |
29, 2024 | 31, 2023 | |||
$ | $ | |||
Assets |
|
|
|
|
Current |
|
|
|
|
Cash |
| |
| |
Trade and other receivables [note 3] |
| |
| |
Income tax receivable |
| |
| |
Inventories [note 4] |
| |
| |
Prepaid expenses |
| |
| |
Share subscription receivable [note 16] |
| |
| |
Advances to related parties [note 16] |
| |
| |
Total current assets |
| |
| |
Right-of-use assets [note 6] |
| |
| |
Property and equipment [note 7] |
| |
| |
Intangibles [note 8] |
| |
| |
Goodwill [note 9] |
| |
| |
Deferred income taxes |
| |
| |
Other financial assets |
| |
| |
Total assets |
| |
| |
Liabilities and shareholders’ equity |
|
|
|
|
Current |
|
|
|
|
Credit facility [note 10] |
| |
| |
Trade and other payables [notes 11 & 16] |
| |
| |
Provision on onerous contracts |
| |
| |
Contract liabilities [note 12] |
| |
| |
Current portion of lease liabilities [note 13] |
| |
| |
Current portion of long-term debt [note 14] |
| |
| |
Other financial liabilities |
| |
| |
Total current liabilities |
| |
| |
Lease liabilities [note 13] |
| |
| |
Long-term debt [note 14] |
| |
| |
Derivative liabilities [note 15] |
| |
| |
Deferred income taxes |
| — |
| |
Total liabilities |
| |
| |
Shareholders’ equity |
|
|
|
|
Capital stock [note 17] |
| |
| |
Contributed surplus [note 18] |
| |
| |
Accumulated other comprehensive income |
| |
| |
Deficit |
| ( |
| ( |
Total shareholders’ equity |
| |
| |
| |
| |
See accompanying notes
1
Vision Marine Technologies Inc.
Consolidated statements of changes in equity (deficit)
[Going concern uncertainty – see note 2]
(Unaudited)
For the six-months period ended
Accumulated | ||||||||||||
other | ||||||||||||
Contributed | comprehensive | |||||||||||
Capital stock | surplus | Deficit | income | Total | ||||||||
Units | $ | $ | $ | $ | $ | |||||||
Shareholders’ equity as at August 31, 2022 |
| |
| |
| |
| ( |
| |
| |
Total comprehensive income (loss) |
| — |
| — |
| — |
| ( |
| |
| ( |
Stock options exercised |
| |
| |
| ( |
| — |
| — |
| |
Share issuance |
| |
| |
| — |
| — |
| — |
| |
Share-based compensation [note 18] |
| — |
| — |
| |
| — |
| — |
| |
Shareholders’ equity as at February 28, 2023 |
| |
| |
| |
| ( |
| |
| |
Shareholders’ equity as at August 31, 2023 |
| |
| |
| |
| ( |
| |
| |
Total comprehensive income (loss) |
| — |
| — |
| — |
| ( |
| |
| ( |
Series A Convertible Preferred Shares converted [notes 15 and 17] |
| |
| |
|
|
|
|
|
|
| |
Share issuance [note 17] |
| |
| |
| — |
| — |
| — |
| |
Share-based compensation [note 18] |
| — |
|
|
| |
| — |
| — |
| |
Shareholders’ equity as at February 29, 2024 |
| |
| |
| |
| ( |
| |
| |
See accompanying notes
2
Vision Marine Technologies Inc.
Consolidated statements of comprehensive income (loss)
[Going concern uncertainty – see note 2]
(Unaudited)
| Three- |
| Three- |
| Six- |
| Six- | |
month | month | month | month | |||||
period | period | period | period | |||||
ended | ended | ended | ended | |||||
February | February | February | February | |||||
29, 2024 | 28, 2023 | 29, 2024 | 28, 2023 | |||||
$ | $ | $ | $ | |||||
Revenues [note 19] |
| |
| |
| |
| |
Cost of sales [note 4] |
| |
| |
| |
| |
Gross profit |
| |
| |
| |
| |
Expenses |
|
|
|
|
|
|
|
|
Research and development |
| |
| |
| |
| |
Office salaries and benefits |
| |
| |
| |
| |
Selling and marketing expenses |
| |
| |
| |
| |
Professional fees |
| |
| |
| |
| |
Office and general |
| |
| |
| |
| |
Share-based compensation [note 18] |
| |
| |
| |
| |
Depreciation and amortization |
| |
| |
| |
| |
Net finance expense (income) [note 20] |
| |
| |
| ( |
| |
Goodwill impairment loss [note 9] |
| |
| — |
| |
| — |
Other expense (income) |
| |
| ( |
| ( |
| ( |
| |
| |
| |
| | |
Loss before taxes |
| ( |
| ( |
| ( |
| ( |
Income taxes |
|
|
|
|
|
|
|
|
Current tax expense |
| |
| |
| |
| |
Deferred tax recovery |
| ( |
| ( |
| ( |
| ( |
| ( |
| ( |
| ( |
| ( | |
Net loss for the period |
| ( |
| ( |
| ( |
| ( |
Items of comprehensive income that will be subsequently reclassified to earnings: |
|
|
|
|
|
|
|
|
Foreign currency translation differences for foreign operations, net of tax |
| ( |
| |
| |
| |
Other comprehensive income (loss), net of tax |
| ( |
| |
| |
| |
Total comprehensive loss for the period, net of tax |
| ( |
| ( |
| ( |
| ( |
Weighted average Voting Common Shares outstanding |
| |
| |
| |
| |
Basic and diluted loss per share |
| ( |
| ( |
| ( |
| ( |
See accompanying notes
3
Vision Marine Technologies Inc.
Consolidated statements of cash flows
[Going concern uncertainty – see note 2]
(Unaudited)
For the six-month period ended
| February 29, |
| February 28, | |
2024 | 2023 | |||
$ | $ | |||
Operating activities |
|
|
|
|
Net loss |
| ( |
| ( |
Depreciation and amortization |
| |
| |
Accretion on long-term debt and lease liability |
| |
| |
Share-based compensation – options and warrants |
| |
| |
Shares issued for services |
| |
| |
Loss on investment in Limestone [note 5] |
| — |
| |
Goodwill impairment loss |
| |
| — |
Transaction costs – Preferred Shares [note 15] |
| |
| — |
Income tax recovery |
| ( |
| ( |
Income tax recovered |
| ( |
| — |
Loss (gain) on disposal of property and equipment |
| |
| ( |
Loss (gain) on derivative liabilities |
| ( |
| |
Gain on lease termination |
| — |
| ( |
Effect of exchange rate fluctuation |
| ( |
| |
| ( |
| ( | |
Net change in non-cash working capital items |
|
|
|
|
Trade and other receivables |
| |
| |
Inventories |
| ( |
| ( |
Other financial assets |
| — |
| |
Prepaid expenses |
| ( |
| |
Trade and other payables |
| |
| |
Contract liabilities |
| ( |
| ( |
Other financial liabilities |
| ( |
| ( |
Cash used in operating activities |
| ( |
| ( |
Investing activities |
|
|
|
|
Additions to property and equipment |
| ( |
| ( |
Proceeds from the disposal of property and equipment |
| — |
| |
Cash used in investing activities |
| ( |
| ( |
Financing activities |
|
|
|
|
Change in credit facility |
| ( |
| |
Issuance of long-term debt |
| |
| — |
Repayment of long-term debt |
| ( |
| ( |
Voting Common Shares issued for options exercised |
| — |
| |
Issuance of Series A & B Convertible Preferred Shares and Warrants [note 15] |
| |
| — |
Issuance of Voting Common Shares and Warrants [note 17] |
| |
| |
Repayment of lease liabilities |
| ( |
| ( |
Cash provided by financing activities |
| |
| |
Net decrease in cash during the period |
| ( |
| ( |
Cash, beginning of period |
| |
| |
Cash, end of period |
| |
| |
See accompanying notes
4
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
1. Incorporation and nature of business
Vision Marine Technologies Inc. [the “Company”] was incorporated on August 29, 2012 and its principal business is to manufacture and sell or rent electric boats. The Voting Common Shares of the Company are listed under the trading symbol “VMAR” on Nasdaq.
The Company is incorporated in Canada and its head office and registered office is located at 730 Curé-Boivin boulevard, Boisbriand, Quebec, J7G 2A7.
Business seasonality
The Company’s operating results generally vary from quarter to quarter as a result of changes in general economic conditions and seasonal fluctuations, among other things, in each of its reportable segments. This means the Company’s results in one quarter are not necessarily indicative of how the Company will perform in a future quarter.
Sale of electric boats
The sale of electric boats segment has a seasonal aspect to its operations. Most customers purchase their electric boats from the Company with the intention of utilizing them during the summer period which typically runs from early June to late August and corresponds to the Company’s fourth quarter of a financial year. As such, the revenues in this operating segment fluctuate based on the level of boat deliveries, with a high and a low in the fourth quarter and the first quarter, respectively.
Rental of electric boats
Revenue generated by the rental of electric boats segment also has a seasonal aspect to its operations. Boat rental as an activity is highly sought by customers when the weather is milder, which is typically the case during the period from May to August. A colder-than-expected or rainier summer in any given year could have an impact on the segment’s revenues and hence on its profitability. Revenue from the boat club memberships is not impacted by seasonality as the memberships are typically on an annual basis.
2. Basis of preparation and going concern uncertainty
Compliance with IFRS
These condensed interim consolidated financial statements are for the three-month and six-month periods ended February 29, 2024 and have been prepared in accordance with IAS 34: Interim Financial Reporting. They do not include all of the information required in annual financial statements in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”) and should be read in conjunction with the consolidated financial statements for the year ended August 31, 2023.
The accounting policies adopted in the preparation of these condensed interim consolidated financial statements are consistent with those followed in the preparation of the Company’s annual consolidated financial statements for the year ended August 31, 2023.
These condensed interim consolidated financial statements were authorized for issuance by the Board of Directors on April 15, 2024.
Going concern uncertainty
As of February 29, 2024, the Company has cash of $
5
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
view of these matters, continuation as a going concern is dependent upon the continued operations of the Company which will be determined by the Company’s ability to meet its financial requirements, including its ability to raise additional capital.
The Company is evaluating several different strategies and is actively pursuing actions that are expected to increase its liquidity position, including, but not limited to, pursuing additional cost savings initiatives, seeking additional financing from both the public and private markets through the issuance of equity securities, and potentially selling assets which do not align with the Company’s outlook of future operations. For the six-month period ended February 29, 2024, the Company was able to raise net proceeds from issuance of common shares, warrants, preferred shares and options to purchase additional preferred shares and warrants of $
The accompanying condensed interim consolidated financial statements have been prepared on a going concern basis, which assumes the Company will continue its operations for the foreseeable future and will be able to realize its assets and discharge its liabilities and commitments in the normal course of business. These condensed interim consolidated financial statements as at and for the three-month and six-month periods ended February 29, 2024 do not include any adjustments to the carrying amounts and classification of assets, liabilities and reported expenses that may otherwise be required if the going concern basis was not appropriate. Such adjustments could be material.
Basis of measurement
These condensed interim consolidated financial statements are presented in Canadian dollars and were prepared on a historical cost basis.
Basis of consolidation
The condensed interim consolidated financial statements include the accounts of the Company, and the subsidiaries that it controls. Control exists when the Company has the power over the subsidiary, when it is exposed or has rights to variable returns from its involvement with the subsidiary and when it has the ability to use its power to affect its returns. Subsidiaries that the Company controls are consolidated from the effective date of acquisition up to the effective date of disposal or loss of control.
Details of the Company’s significant subsidiaries at the end of the reporting period are set out below.
Country of | Proportion of |
| |||||
incorporation | ownership held |
| |||||
Name of subsidiary |
| Principal activity |
| and operation |
| by the Company |
|
7858078 Canada Inc. | Owns an electric boat rental center | Canada | | % | |||
EB Rental Ltd. | Operates an electric boat rental center | United States | | % | |||
EB Rental Ventura Corp. | Operates an electric boat rental center | United States | | % | |||
EB Rental FL Corp. | Operates an electric boat rental center |
| United States | | % | ||
EBR Palm Beach Inc. |
| Operates an electric boat rental center |
| United States | | % | |
Vision Marine Technologies Corp. |
| Operates an electric boat service center |
| United States |
| | % |
Foreign currency translation
The Company’s condensed interim consolidated financial statements are presented in Canadian dollars, which is also the parent company’s functional currency. The functional currency of 7858078 Canada Inc. is the Canadian dollar, while the functional currency for EB Rental Ltd., EB Rental Ventura Corp., EB Rental FL Corp., EBR Palm Beach Inc. and Vision Marine Technologies Corp. is the U.S. dollar.
6
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
The exchange rates for the currencies used in the preparation of the interim condensed consolidated financial statements were as follows:
Average exchange rate for the | ||||||||
Exchange rate as at: | six-month period ended | |||||||
February 29, | August 31, | February 29, | February 28, | |||||
| 2024 |
| 2023 |
| 2024 |
| 2023 | |
US dollar | | | | |
Use of estimates and judgments
The preparation of financial statements in conformity with IFRS requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Although these estimates are based on management’s best knowledge of the amount, event or actions, actual results ultimately may differ from those estimates. Areas where judgments, estimates and assumptions are considered significant to the condensed interim consolidated financial statements remain unchanged to the 2023 annual financial statements, except for the changes made to the underlying assumptions in determining the carrying amount of the goodwill associated with its boat rental operation cash-generating unit (“CGU”), which represents the lowest level within the Company at which the goodwill is monitored for internal management purposes [note 9].
Standards issued but yet not effective
Amendments to IAS 1: Classification of Liabilities as Current or Non-current
In January 2020 and October 2022, the IASB issued amendments to paragraphs 69 to 76 of IAS 1 to specify the requirements for classifying liabilities as current or non-current. The amendments clarify:
- | What is meant by a right to defer settlement. |
- | That a right to defer must exist at the end of the reporting period. |
- | That classification is unaffected by the likelihood that an entity will exercise its deferral right. |
- | That only if an embedded derivative in a convertible liability is itself an equity instrument would the terms of a liability not impact its classification. |
For the Company, the amendments are effective for fiscal year beginning on September 1, 2024 and must be applied retrospectively. This will result in reclassification of the Company’s derivative liabilities from long-term to short-term liabilities [note 15].
3. Trade and other receivables
| As at | As at | ||
February 29, | August 31, | |||
2024 | 2023 | |||
| $ |
| $ | |
Trade receivables | | | ||
Sales taxes receivable | | | ||
R&D tax credit receivable | | | ||
Other receivables | | | ||
| |
7
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
Trade receivables disclosed above include amounts that are past due at the end of the reporting period for which the Company has not recognized an allowance for expected credit losses because there has not been a significant change in credit quality and the amounts are still considered recoverable.
As at February 29, 2024, trade receivables of $
| As at | As at | ||
February 29, | August 31, | |||
2024 | 2023 | |||
| $ |
| $ | |
0 – 30 | — |
| | |
31 – 60 | |
| — | |
61 – 90 | — |
| — | |
91 and over | |
| | |
|
| |
There were
4. Inventories
As at | As at | |||
February 29, | August 31, | |||
2024 | 2023 | |||
| $ |
| $ | |
Raw materials | | | ||
Work-in-process | | | ||
Finished goods | | | ||
| |
For the three-month and six-month periods ended February 29, 2024, inventories recognized as an expense amounted to $
For the three-month and six-month periods ended February 29, 2024, cost of sales includes depreciation of $
5. Investment in Limestone
On May 14, 2021, the Company subscribed for and purchased
The Debentures bore interest at a rate of
8
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
The Investment in Limestone is carried at fair value through profit and loss and are considered as Level 3 financial instruments in the fair value hierarchy.
On January 20, 2023, Limestone announced that Limestone’s U.S. subsidiaries filed for voluntary petitions for relief under Chapter 7 of the Bankruptcy Code in the U.S. Bankruptcy Court for the Middle District of Tennessee. As a result, the Company recorded an impairment on the entire value of the Debentures at the amount $
On July 18, 2023, the Company agreed to give Limestone the right to convert the Debentures into common shares of Limestone at a conversion price of $
For the three and six-month periods ended February 29, 2024, the Company recorded a loss on its investment in Limestone of
6. Right-of-use assets
Computer | Boat rental | |||||||||
Premises | equipment | Rolling stock | fleet | Total | ||||||
| $ |
| $ |
| $ |
| $ |
| $ | |
Cost |
|
|
|
|
| |||||
Balance at August 31, 2022 | | | | | | |||||
Additions | | — | — | — | | |||||
Disposals | — | — | ( | ( | ( | |||||
Transferred to property and equipment | — |
| ( |
| — | ( |
| ( | ||
Currency translation | |
| — |
| |
| — |
| | |
Balance at August 31, 2023 | |
| — |
| |
| — |
| | |
Additions | — |
| — |
| |
| — |
| | |
Currency translation | |
| — |
| |
| — |
| | |
Balance at February 29, 2024 | |
| — |
| |
| — |
| | |
Accumulated depreciation |
|
|
|
|
|
|
|
|
| |
Balance at August 31, 2022 | |
| |
| |
| |
| | |
Depreciation | |
| |
| |
| |
| | |
Disposal | — |
| ( |
| ( |
| ( |
| ( | |
Balance at August 31, 2023 | |
| — |
| |
| — |
| | |
Depreciation | |
| — |
| |
| — |
| | |
Balance at February 29, 2024 | |
| — |
| |
| — |
| | |
Net carrying amount |
|
|
|
|
|
|
|
|
| |
As at August 31, 2023 | |
| — |
| |
| — |
| | |
As at February 29, 2024 | |
| — |
| |
| — |
| |
9
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
7. Property and equipment
Machinery |
|
|
|
|
|
| ||||||||
and | Rolling | Computer | Leasehold | Boat | ||||||||||
equipment | stock | equipment | Moulds | improvements | rental fleet | Total | ||||||||
| $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| $ | |
Cost | ||||||||||||||
Balance at August 31, 2022 |
| |
| |
| |
| |
| |
| |
| |
Additions |
| |
| |
| |
| |
| |
| |
| |
Disposals |
| — |
| ( |
| — |
| — |
| — |
| ( |
| ( |
Transferred from Right-of-use assets |
| — |
| — |
| |
| — |
| — |
| |
| |
Currency translation |
| — |
| ( |
| — |
| — |
| — |
| ( |
| ( |
Balance at August 31, 2023 |
| |
| |
| |
| |
| |
| |
| |
Additions |
| |
| |
| — |
| — |
| |
| |
| |
Disposals |
| — |
| ( |
| — |
| — |
| — |
| — |
| ( |
Transferred to Inventories1 |
| — |
| — |
| — |
| — |
| — |
| ( |
| ( |
Currency translation |
| — |
| — |
| — |
| — |
| — |
| ( |
| ( |
Balance at February 29, 2024 |
| |
| |
| |
| |
| |
| |
| |
Accumulated depreciation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at August 31, 2022 |
| |
| |
| |
| |
| |
| |
| |
Depreciation |
| |
| |
| |
| |
| |
| |
| |
Disposal |
| — |
| ( |
| — |
| — |
| — |
| ( |
| ( |
Balance at August 31, 2023 |
| |
| |
| |
| |
| |
| |
| |
Depreciation |
| |
| |
| |
| |
| |
| |
| |
Disposals |
| — |
| ( |
| — |
| — |
| — |
| — |
| ( |
Transferred to Inventories1 |
| — |
| — |
| — |
| — |
| — |
| ( |
| ( |
Balance at February 29, 2024 |
| |
| |
| |
| |
| |
| |
| |
Net carrying amount |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As at August 31, 2023 |
| |
| |
| |
| |
| |
| |
| |
As at February 29, 2024 |
| |
| |
| |
| |
| |
| |
| |
1The Company sells routinely electric boats that are held for rental in the normal course of its operations. Such electric boats are transferred to inventories at their carrying amount when they cease to be rented and become held for sale. The proceeds from these sales are recognized as revenues and presented in cash flow from operating activities, as well as the cash outflows to manufacture these boats.
10
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
8. Intangible assets
| Intellectual |
|
| Trade |
|
|
| |||||
property | Software | name | Backlog | Website | Total | |||||||
$ | $ | $ | $ | $ | $ | |||||||
Cost | ||||||||||||
Balance at August 31, 2022 |
| |
| |
| |
| |
| |
| |
Currency translation |
| — |
| — |
| |
| |
| |
| |
Balance at August 31, 2023 |
| |
| |
| |
| |
| |
| |
Currency translation |
| — |
| — |
| ( |
| ( |
| ( |
| ( |
Balance at February 29, 2024 |
| |
| |
| |
| |
| |
| |
Accumulated depreciation |
|
|
|
|
|
|
|
|
|
|
|
|
Balance at August 31, 2022 |
| |
| |
| |
| |
| |
| |
Depreciation |
| |
| |
| |
| |
| |
| |
Balance at August 31, 2023 |
| |
| |
| |
| |
| |
| |
Depreciation |
| |
| |
| |
| |
| |
| |
Balance at February 29, 2024 |
| |
| |
| |
| |
| |
| |
Net carrying amount |
|
|
|
|
|
|
|
|
|
|
|
|
As at August 31, 2023 |
| |
| |
| |
| |
| |
| |
As at February 29, 2024 |
| |
| |
| |
| |
| |
| |
9. Goodwill
Assets that have an indefinite life, such as goodwill, are tested annually by the Company for impairment, or more frequently if events or circumstances indicate there may be impairment. During the three-month period ended February 29, 2024, the Company noted certain events and circumstances which indicated that there may be an impairment of the goodwill associated with its boat rental operation CGU (see detailed description below).
As a result of these triggering events and circumstances, the Company performed an impairment analysis for the boat rental operation CGU as at February 29, 2024. As a result of this analysis, the Company determined that the carrying amount of the goodwill associated with the boat rental operation CGU exceeded its recoverable amount and, accordingly, the Company recorded a goodwill impairment loss of $
The recoverable amount was determined based on the fair value less costs of disposal approach using a discounted cash flow model. The fair value measurement is categorized within Level 3 of the fair value hierarchy. The model included forecasted cash flows based on updated financial plans prepared by management covering a five-year period taking into consideration future investments and expansion activities that will enhance the performance of the assets of the CGU and the following key assumptions:
- | Expected earnings before interest, taxes, depreciation and amortization (“EBITDA”) as a percentage of revenues for the CGU of |
- | Expected working capital cash absorption ratio for the CGU of |
- | Expected annual capital expenditure needs for the CGU of US$ |
11
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
The discounted cash flow model was established using a post-tax discount rate of
Any reasonable negative change in these key assumptions could cause additional impairment of the CGU.
In prior periods, management had based its selection of assumptions upon its assessment of the ability of the CGU to maintain the levels of growth and profitability experienced during the COVID-19 pandemic, despite the unfavourable weather conditions experienced in its key markets over the course of the fiscal year ended August 31, 2023. However, continued unfavourable weather conditions and a recent general downturn in the boating industry have had a negative impact on the CGU’s revenues and EBITDA over the first six months of the current fiscal year. In addition, management’s attempts to sell all or a portion of the Company’s boat rental operation over the current quarter have been largely unsuccessful, indicating a possible decline in value of the CGU. Therefore, the impairment charge was the result of management’s revised assumptions related to revenues and the expected EBITDA as a percentage of sales taking into account the current economic environment.
10. Credit facility
The Company has an authorized line of credit of $
11. Trade and other payables
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
$ | $ | |||
Trade payable |
| |
| |
Sales taxes payable |
| |
| |
Salaries and vacation payable |
| |
| |
| |
| |
12. Contract liabilities
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
| $ |
| $ | |
Opening balance |
| |
| |
Payments received in advance |
| |
| |
Boat sale deposits |
| — |
| |
Payments reimbursed |
| — |
| ( |
Transferred to revenues |
| ( |
| ( |
Currency translation |
| |
| |
Closing balance |
| |
| |
12
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
13. Lease liabilities
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
| $ |
| $ | |
Opening balance |
| |
| |
Additions |
| |
| |
Repayment |
| ( |
| ( |
Interest on lease liability |
| |
| |
Lease termination |
| — |
| ( |
Currency translation |
| |
| |
Closing balance |
| |
| |
Current |
| |
| |
Non-current |
| |
| |
| |
| |
Future undiscounted lease payments as at February 29, 2024 are as follows:
| $ | |
Less than one year |
| |
One to five years |
| |
| |
14. Long-term debt
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
| $ |
| $ | |
The government assistance loan is non-interest bearing until December 31, 2023 at which time the loan bears interest at |
| — |
| |
Commercial term loan bearing interest at |
| |
| — |
Term loans, bearing interest at rates varying |
| |
| |
| |
| | |
Current portion of long-term debt |
| |
| |
| |
| |
15. Derivative liabilities
Warrants issued to common shareholders
On January 19, 2023, as part of a share subscription, the Company issued warrants with the option to purchase
On February 17, 2023, as part of a share subscription, the Company issued warrants with the option to purchase
13
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
On April 19, 2023, as part of a share subscription, the Company issued warrants with the option to purchase
On June 16, 2023, as part of a share subscription, the Company issued warrants with the option to purchase
On August 2, 2023, as part of a share subscription, the Company issued warrants with the option to purchase
On September 20, 2023, as part of a share subscription [note 17], the Company issued warrants with the option to purchase
On December 13, 2023, the Company agreed to reduce the exercise price of
The table below lists the assumptions used to determine the fair value of these warrant grants or issuances. Volatility is based on the historical share price volatility of the Company and other public companies with characteristics similar to the Company.
| Original |
|
|
| Risk-free |
| ||||
Exercise | Market | Expected | interest | Expected | ||||||
price | price | volatility | rate | life | ||||||
Issuance date |
| $ |
| $ |
| % |
| % |
| [years] |
January 19, 2023 |
| |
| |
| |
| |
| |
February 17, 2023 |
| |
| |
| |
| |
| |
April 19, 2023 |
| |
| |
| |
| |
| |
June 16, 2023 |
| |
| |
| |
| |
| |
August 2, 2023 |
| |
| |
| |
| |
| |
September 20, 2023 |
| |
| |
| |
| |
| |
|
| Number of |
| Weighted average | ||
Revised | warrants | remaining | ||||
Exercise price | outstanding | contractual life | ||||
Issuance date |
| $ |
| # |
| [years] |
January 19, 2023 |
| |
| |
| |
February 17, 2023 |
| |
| |
| |
April 19, 2023 |
| |
| |
| |
June 16, 2023 |
| |
| |
| |
August 2, 2023 |
| |
| |
| |
September 20, 2023 |
| |
| |
|
As at February 29, 2024, the derivative liabilities related to the warrants issued to common shareholders amounted to $
14
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
The table below summarizes the movement in the derivative liabilities related to the warrants issued to common shareholders during the six-month period ended February 29, 2024 and the fiscal year ended August 31, 2023:
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
$ | $ | |||
Opening balance |
| |
| — |
Additions |
| |
| |
Effect on fair value of repricing of warrants |
| |
| — |
Change in estimate of fair value |
| ( |
| ( |
Closing balance |
| |
| |
For the three-month period ended February 29, 2024, the Company recorded a loss of $
Series A Convertible Preferred Shares
On December 13, 2023, the Company authorized the issuance of Series A Convertible Preferred Shares. This class of shares ranks senior to the Voting Common Shares but retains no voting rights. They have a stated value of US$
On December 21, 2023, the Company issued
On February 8, 2024,
On February 23, 2024,
Given the variability associated with the various components of this instrument, these instruments were recorded as derivative liabilities and will be subject to fair value adjustments at the issuance date and at subsequent balance sheet dates. The fair value was determined using the Monte Carlo simulation run under the Geometric Brownian Motion. Since the fair value is based on valuation using unobservable market inputs, the Company did not recognize the loss on initial recognition. The difference between the fair value at initial recognition and the transaction price was deferred and is recognized over time based on the individual terms of each financial
15
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
instrument. This difference determined was due to delays in negotiations, the changes in the capital market and the Company’s liquidity situation.
The table below summarizes the movement in the derivative liabilities related to the Series A Convertible Preferred Shares including the related warrants and option to purchase additional Series A Convertible Preferred Shares and related warrants during the six-month period ended February 29, 2024 and the fiscal year ended August 31, 2023:
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
$ | $ | |||
Opening balance |
| — |
| — |
Fair value at issuance |
| |
| — |
Deferred loss at issuance |
| ( |
| — |
Revaluation at the end of the period |
| ( |
| — |
Amortization of the deferred loss during the period |
| |
| — |
Conversion to Voting Common Shares during the period [Note 17] |
| ( |
| — |
Closing balance |
| |
| — |
For the three-month and six-month periods ended February 29, 2024, the Company recorded a gain of $
Series B Convertible Preferred Shares
On December 13, 2023, the Company authorized the issuance of Series B Convertible Preferred Shares. This class of shares ranks senior to the Voting Common Shares but retains no voting rights. They have a stated value of US$
On January 17, 2024, the Company issued
Given the variability associated with the various components of this instrument, these instruments were recorded as derivative liabilities and will be subject to fair value adjustments at the issuance date and at subsequent balance sheet dates. The fair value was determined using the Monte Carlo simulation run under the Geometric Brownian Motion. Since the fair value is based on valuation using unobservable market inputs, the Company did not recognize the loss on initial recognition. The difference between the fair value at initial recognition and the transaction price was deferred and is recognized over time based on the individual terms of each financial instrument. This difference determined was due to delays in negotiations, the changes in the capital market and the Company’s liquidity situation.
16
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
The table below summarizes the movement in the derivative liabilities related to the Series B Convertible Preferred Shares including the related warrants during the six-month period ended February 29, 2024 and the fiscal year ended August 31, 2023:
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
$ | $ | |||
Opening balance |
| — |
| — |
Fair value at issuance |
| |
| — |
Deferred loss at issuance |
| ( |
| — |
Revaluation at the end of the period |
| |
| — |
Amortization of the deferred loss during the period |
| |
| — |
Closing balance |
| |
| — |
For the three-month and six-month periods ended February 29, 2024, the Company recorded a loss of $
16. Related party transactions
Companies related through common ownership
EB Rental Ltd. [prior to June 3, 2021]
7858078 Canada Inc. [prior to June 3, 2021]
Montana Strategies Inc.
Key management personnel of the Company have control over the following entities
California Electric Boat Company Inc.
9335-1427 Quebec Inc.
Hurricane Corporate Services Ltd.
Mac Engineering, SASU – Since February 16, 2021
Ultimate founder shareholders and their individually controlled entities
Alexandre Mongeon
Patrick Bobby
Robert Ghetti
Immobilier R. Ghetti Inc.
Société de Placement Robert Ghetti Inc.
17
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
The following table summarizes the Company’s related party transactions for the period:
| Three- | Three- | Six- | Six- | ||||
month |
| month |
| month |
| month | ||
period | period | period | period | |||||
ended | ended | ended | ended | |||||
February 29, | February 28, | February 29, | February 28, | |||||
2024 | 2023 | 2024 | 2023 | |||||
$ | $ | $ | $ | |||||
Office salaries and benefits |
|
|
|
| ||||
Montana Strategies Inc. |
| — |
| |
| — |
| |
Research and Development |
|
|
|
|
|
|
|
|
Mac Engineering, SASU |
| |
| |
| |
| |
The Company leases its Boisbriand premises from California Electric Boat Company Inc. As at February 29, 2024, the right-of-use assets and lease liabilities related to those leases amount to $
Remuneration of directors and key management of the Company
| Three- | Three- | Six- | Six- | ||||
month |
| month |
| month |
| month | ||
period | period | period | period | |||||
ended | ended | ended | ended | |||||
February 29, | February 28, | February 29, | February 28, | |||||
2024 | 2023 | 2024 | 2023 | |||||
$ | $ | $ | $ | |||||
Wages | ||||||||
Share-based payments – capital stock |
| |
| — |
| |
| — |
Share-based payments – stock options |
| |
| |
| |
| |
| |
| |
| |
| |
The amounts due to and from related parties are as follows:
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
$ | $ | |||
Share subscription receivable |
|
|
|
|
9335-1427 Quebec Inc. |
| |
| |
Alexandre Mongeon |
| |
| |
| |
| | |
Current advances to related party |
|
|
|
|
Alexandre Mongeon |
| |
| |
18
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
$ | $ | |||
Amounts due to related parties included in trade and other payable |
|
|
|
|
Alexandre Mongeon |
| |
| |
Patrick Bobby |
| |
| |
Kulwant Sandher |
| |
| |
Xavier Montagne |
| |
| |
California Electric Boat Company Inc. |
| |
| — |
Mac Engineering, SASU |
| |
| |
| |
| |
Advances from related parties are non-interest bearing and have no specified terms of repayment.
17. Capital stock
Authorized
Voting Common Shares – Series Founder, Series Investor 1, Series Investor 2, voting and participating
Non-Voting Common Shares, non-voting
Preferred Shares, without par value, non-cumulative annual dividend, redeemable at their issue price, non- participating, non-voting
Issued
| As at |
| As at | |
February 29, | August 31, | |||
2024 | 2023 | |||
$ | $ | |||
| |
| |
During the three-month and six-month periods ended February 29, 2024, the Company issued a total of
During the six-month period ended February 29, 2024, the Company issued
During the three-month and six-month periods ended February 29, 2024, the Company issued a total of
18. Share-based payments
Description of the plan
The Company has a fixed option plan. The Company’s stock option plan is administered by the Board of Directors. Under the plan, the Company’s Board of Directors may grant stock options to employees, advisors and consultants, and designates the number of options and the share price pursuant to the new options, subject to applicable regulations. The options, when granted, will have an exercise price of no less than the estimated fair value of shares at the date of grant.
19
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
Stock options
On multiple grant dates, the Company granted stock options at exercise prices varying between $
The Company recognizes share-based payments expense for option grants based on the fair value at the date of grant using the Black-Scholes valuation model. The share-based payments expense recognized for the three-month and six-month periods ended February 29, 2024 amounts to $
|
| Risk-free |
| |||||||
Exercise | Market | Expected | interest | Expected | ||||||
price | price | volatility | rate | life | ||||||
Grant date | $ | $ | % |
| % |
| [years] | |||
May 27, 2020 | |
| | |
| |
| | ||
May 27, 2020 | |
| | |
| |
| | ||
October 23, 2020 | |
| | |
| |
| | ||
November 24, 2020 | |
| | |
| |
| | ||
November 24, 2020 | |
| | |
| |
| | ||
February 23, 2021 | |
| | |
| |
| | ||
May 14, 2021 | |
| | |
| |
| | ||
July 14, 2021 | |
| | |
| |
| | ||
September 21, 2021 | |
| | |
| |
| | ||
January 22, 2022 | |
| | |
| |
| | ||
November 30, 2022 | |
| | |
| |
| | ||
December 1,2022 | |
| | |
| |
| | ||
March 22, 2023 | |
| | |
| |
| | ||
March 25, 2023 | |
| | |
| |
| | ||
March 25, 2023 | |
| | |
| |
| | ||
April 20, 2023 | |
| | |
| |
| | ||
December 29, 2023 | |
| | |
| |
| | ||
January 26, 2024 | |
| | |
| |
| |
The following tables summarize information regarding the option grants outstanding as at February 29, 2024:
|
| Weighted | ||
average | ||||
Number of | exercise | |||
options | price | |||
# | $ | |||
Balance at August 31, 2022 |
| | ||
Granted |
| | ||
Forfeited |
| ( | ||
Stock options modifications |
| ( | ||
Exercised |
| ( | ||
Balance at August 31, 2023 |
| | ||
Granted |
| | ||
Forfeited |
| ( | ||
Balance at February 29, 2024 |
| |
20
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
| Number of |
|
| |||||
Exercise price | options | Weighted average | Weighted average | Exercisable | ||||
range | outstanding | grant date fair value | remaining contractual life | options | ||||
$ | # | $ |
| [years] | # | |||
| |
| | |||||
| |
| | |||||
| |
| | |||||
| |
| |
Warrants
On November 23, 2020, the Company granted the underwriter the option to purchase
On August 5, 2022, the Company granted the underwriter the option to purchase
On December 21, 2023, the Company granted the underwriter the option to purchase
| Number of warrants |
| Weighted average remaining | |||
Exercise price | outstanding | contractual life | ||||
Grant date | $ | # | [years] | |||
November 23, 2020 | | |
| |||
August 5, 2022 | | |
| |||
December 21, 2023 | | |
|
The Company recognizes share-based payments expense for warrant grants based on the fair value at the date of grant using the Black-Scholes valuation model. The share-based payments expense recognized for the three-month and six-month periods ended February 29, 2024 amounts to $
|
| Risk-free |
| |||||||
Exercise | Market | Expected | interest | Expected | ||||||
price | price | volatility | rate | life | ||||||
Grant date | $ | $ | % |
| % |
| [years] | |||
November 23, 2020 | ||||||||||
August 5, 2022 | |
| | |
| |
| | ||
December 21, 2023 | |
| | |
| |
| |
21
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
19. Revenues
| Three- |
| Three- |
| Six- |
| Six- | |
month | month | month | month | |||||
period | period | period | period | |||||
ended | ended | ended | ended | |||||
February 29, | February 28, | February 29, | February 28, | |||||
2024 | 2023 | 2024 | 2023 | |||||
$ | $ | $ | $ | |||||
Sales of boats | | | | | ||||
Sales of parts and boat maintenance | |
| |
| |
| | |
Boat rental and boat club membership revenue | |
| |
| |
| | |
|
| |
| |
| |
Revenues from external customers for the three-month and six-month periods ended February 29, 2024 and February 28, 2023 were primarily from the U.S.
20. Net finance expense (income)
| Three- | Three- | Six- | Six- | ||||
month | month | month | month | |||||
period | period | period | period | |||||
ended | ended | ended | ended | |||||
February 29, | February 28, | February 29, | February 28, | |||||
2024 | 2023 | 2024 | 2023 | |||||
$ |
| $ |
| $ |
| $ | ||
Interest and bank charges | | | | | ||||
Interest income | ( |
| — |
| ( |
| ( | |
Loss on Debentures [note 5] | — |
| |
| — |
| | |
Transaction costs [note 15] | |
| |
| |
| | |
Gain on derivative liabilities [note 15] | ( |
| ( |
| ( |
| ( | |
|
| |
| ( |
| |
21. Fair value measurement and hierarchy
The fair value measurement of the Company’s financial and non-financial assets and liabilities utilizes market observable inputs and data as far as possible. Inputs used in determining fair value measurements are categorized into different levels based on how observable the inputs used in the valuation technique utilized are (the “fair value hierarchy”):
● | Level 1: Quoted prices in active markets for identical items [unadjusted]; |
● | Level 2: Observable direct or indirect inputs other than Level 1 inputs; and |
● | Level 3: Unobservable inputs [i.e., not derived from market data]. |
The classification of an item into the above levels is based on the lowest level of the inputs used that has a significant effect on the fair value measurement of the item. Transfers of items between levels are recognized in the period they occur.
The carrying amount of trade and other receivables, advances to/from related parties and trade and other payables are assumed to approximate their fair value due to their short-term nature.
The fair value of financial liabilities is estimated by discounting the remaining contractual maturities at the current market interest rate that is available for similar financial liabilities.
22
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
Classified as Level 3, the fair value of Debentures was estimated using the partial differential equation model to value convertible debentures that include a call feature. Key assumptions used in the model include volatility, which was based on actual trading data, difference in volatility since initial issuance of the instrument and similar instruments on the market, and credit spread, which was based on corporate bond yield spreads in the market and credit spread data for similar public companies. The model included a fair value adjustment based on an initial calibration exercise. During the three months ended February 28, 2023, the Company recorded an impairment loss on the Debentures based on the estimated recoverable amount of the financial asset [note 5].
The fair value of the derivative liabilities related to the warrants issued to common shareholders is classified as Level 3 in the fair value hierarchy and is calculated using the Black-Scholes Option Pricing Model using the historical volatility of comparable companies as an estimate of future volatility, as well as the current market price of the Voting Common Shares. As at February 29, 2024, the Company used volatility of approximately
The fair value of the derivative liabilities related to the Series A and B Convertible Preferred Shares is classified as Level 3 in the fair value hierarchy and is calculated using the Monte Carlo simulation run under the Geometric Brownian Motion model. The significant input assumptions into the model for each valuation date include the starting share price, a
22. Segment information
The Company operates in
The two reportable business segments offer different products and services, require different processes and are based on how the financial information is produced internally for the purposes of monitoring operating results and making decisions about resource allocation and performance assessment by the Company’s Chief Operating Decision Maker.
The following summary describes the operations of each of the Company’s reportable business segments:
● | Sale of electric boats – manufacture of customized electric boats for consumer market and sale of boat parts maintenance, and |
● | Rental of electric boats – short-term rental operation and boat club membership. |
23
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
Sales between segments are accounted for at prices that approximate fair value. No business segments have been aggregated to form the above reportable business segments.
Three-month period ended February 29, 2024 | ||||||||
Sale of | Rental of | Inter- | ||||||
electric | electric | segment | ||||||
boats | boats | eliminations | Total | |||||
| $ |
| $ |
| $ |
| $ | |
Revenue from external customers | |
| |
| — |
| | |
Revenue from other segments | |
| |
| ( |
| — | |
Segment revenues | |
| |
| ( |
| | |
Segment gross profit (loss) | ( |
| |
| ( |
| | |
Segment profit (loss) before tax | ( | 1 | ( | 2 | ( |
| ( | |
Research and development | |
| — |
| — |
| | |
Office salaries and benefits | |
| |
| — |
| |
Three-month period ended February 28, 2023 | ||||||||
Sale of | Rental of | Inter- | ||||||
electric | electric | segment | ||||||
boats | boats | eliminations | Total | |||||
| $ |
| $ |
| $ |
| $ | |
Revenue from external customers | |
| |
| — |
| | |
Revenue from other segments | |
| |
| ( |
| — | |
Segment revenues | |
| |
| ( |
| | |
Segment gross profit (loss) | ( |
| |
| ( |
| | |
Segment profit (loss) before tax | ( |
| ( |
| ( |
| ( | |
Research and development | |
| — |
| ( |
| | |
Office salaries and benefits | |
| |
| — |
| |
1 For the three-month period ended February 29, 2024, the segment profit for this segment includes a gain on derivative liabilities of $
2 For the three-month period ended February 29, 2024, the segment profit for this segment includes a goodwill impairment loss of $
24
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
Six-month period ended February 29, 2024 | ||||||||
Sale of | Rental of | Inter- | ||||||
electric | electric | segment | ||||||
boats | boats | eliminations | Total | |||||
| $ |
| $ |
| $ |
| $ | |
Revenue from external customers |
| |
| |
| — |
| |
Revenue from other segments |
| |
| |
| ( |
| — |
Segment revenues |
| |
| |
| ( |
| |
Segment gross profit (loss) |
| ( |
| |
| ( |
| |
Segment profit (loss) before tax |
| ( | 3 | ( | 4 | |
| ( |
Research and development |
| |
| — |
| — |
| |
Office salaries and benefits |
| |
| |
| — |
| |
Six-month period ended February 28, 2023 | ||||||||
Sale of | Rental of | Inter- | ||||||
electric | electric | segment | ||||||
boats | boats | eliminations | Total | |||||
| $ |
| $ |
| $ |
| $ | |
Revenue from external customers |
| |
| |
| — |
| |
Revenue from other segments |
| |
| |
| ( |
| — |
Segment revenues |
| |
| |
| ( |
| |
Segment gross profit (loss) |
| ( |
| |
| ( |
| |
Segment profit (loss) before tax |
| ( |
| ( |
| ( |
| ( |
Research and development |
| |
| — |
| ( |
| |
Office salaries and benefits |
| |
| |
| — |
| |
As at February 29, 2024 | ||||||||
Sale of | Rental of | Inter- | ||||||
electric | electric | segment | ||||||
boats | boats | eliminations | Total | |||||
| $ |
| $ |
| $ |
| $ | |
Segment assets |
| |
| |
| ( |
| |
Cash |
| |
| |
| — |
| |
Additions to property and equipment |
| |
| |
| ( |
| |
Segment liabilities |
| |
| |
| ( |
| |
3 For the six-month period ended February 29, 2024, the segment profit for this segment includes a gain on derivative liabilities $
4 For the six-month period ended February 29, 2024, the segment profit for this segment includes a goodwill impairment loss of $
25
Vision Marine Technologies Inc.
Notes to the condensed interim consolidated financial statements
(Unaudited)
February 29, 2024
As at August 31, 2023 | ||||||||
Sale of | Rental of | Inter- | ||||||
electric | electric | segment | ||||||
boats | boats | eliminations | Total | |||||
| $ |
| $ |
| $ |
| $ | |
Segment assets |
| |
| |
| ( |
| |
Cash |
| |
| |
| — |
| |
Additions to property and equipment |
| |
| |
| ( |
| |
Segment liabilities |
| |
| |
| ( |
| |
The Company has disclosed the above amounts for each reportable segment because they are regularly reviewed by the Chief Operating Decision Maker.
23. Additional cash flows information
Financing and investing activities not involving cash:
| Six-month |
| Six-month | |
period ended | period ended | |||
February 29, 2024 | February 28, 2023 | |||
$ | $ | |||
Additions to right-of-use assets |
| |
| |
Lease termination |
| — |
| |
24. Commitments
In addition to the obligations under leases [note 12], the Company is subject to supply agreements with minimum spend commitments. The amount of the minimum fixed and determinable portion of the unconditional purchase obligations over the next years, is as follows:
| $ | |
2024 | |
In October 2021, EB Rental Ltd. has entered into lease arrangement for premises, which has not commenced yet and therefore related right-of-use asset and lease liability are not recorded as at February 29, 2024. The lease offers EB Rental Ltd. a termination clause in case certain contractual requirements are not met by the lessor at the lease commencement date.
The Company’s undiscounted lease commitments related to this lease are as follows as at February 29, 2024:
| $ | |
2024 | | |
2025 | | |
2026 | | |
2027 and thereafter | |
25. Subsequent events
During the months of March and April 2024, the Company issued a total of
On April 3, 2024, the Company signed a letter of intent with EB Strategies Inc. for the sale of
26