Corporate development expense decreased to $4,559 from $8,151. Corporate development consists of
expenses incurred to increase the Company?s global brand awareness and presence in the Cannabis
industry in multiple countries. In the prior year, the Company completed an acquisition and sold two of
its subsidiaries. During the period ended March 31, 2023, the Company has reduced its corporate
development expense as a cost-cutting measure.
- Office and sundry expenses increased to $19,356 from $17,605. The increase is not material, the two
periods are comparable.
- Wages and salary decreased to $35,352 from $45,538 as the Company terminated its sole employee in
the Ontario subsidiary in the prior year.
- Regulatory and transfer agent fees decreased to $26,373 from $31,768 as a result of the Company?s
preparations in the prior period to complete regulatory filings for its acquisitions and the shares issued.
The decrease is not material; the two periods are comparable.
- Rent expenses decreased to $Nil from $29,195. In prior year, the Company terminated the Ontario lease
and has thus no incurred additional rent expenses.
- Other general and operating costs decreased to $19,337 from $46,365 and consists of operating activities
in Europe. A decrease is expected as the subsidiary?s revenues have decreased in the current period.
- Insurance costs increased to $19,356 from $17,605 in the prior period. The change is not material; the
two periods are comparable.
- Fair value movement losses on investments increased to $Nil from a loss of $22,210 as a result of the
termination of the for the Twenty One investment in the period year. In the prior year comparative period,
the Company recorded a fair value loss on investment as a result of the fluctuation of the exchange rates.
- The Company recorded a $895,333 gain on debt settlement (2022: loss of $12,489). In the prior year,
the Company settled debts with Sanna?s former President and CEO by issuance of shares and recorded
a loss on debt settlement of $12,489. In the current period, the Company recorded a gain as a result of
conversion of debentures by holders of the convertible debentures into common shares of the Company.
- The Company earned decreased revenues of $132,550 from $181,617 from sale of consumer cannabis
products, which had costs of $71,444 and $112,639 respectively. In the current period, the Company
has not been able to earn higher revenues as a result of the current global economic situation.
- The Company recorded interest income of $Nil (2022: $140,539) as a result of interest earned on its loan
receivables during the year. The loan receivable was impaired to $Nil during the year ended December
31, 2022, thus it is reasonable that no interest income is recorded in the current period.
- The Company recorded government grant revenue of $Nil (2022: $7,767) as a result of the Company
receiving government CEBA loans during the year ended December 31, 2020 and recording the revenue
earned during the period. The deferred revenues relating to the CEBA loans were fully accreted as at
December 31, 2022 and thus it is reasonable that no additional revenues are recognized in the current
period.
- The Company recorded royalty revenues of $Nil (2022: $52,600) as a result of the Royalty Agreement
with Farma C relating to the sale of SGSC and the Farma C Supply Agreement with SGSC in 2020. No
further revenues were recognized as the agreement was terminated during the year ended December 31,
2022.
- The Company recorded a loss on sale of marketable securities of $15,862 (2022: loss of $157,121) as a
result of the sale of marketable securities.
- The Company recorded an unrealized loss of marketable securities of $50,000 (2022: $Nil) as a result
of the change in fair value of the securities during the period.
AGRA VENTURES LTD.
Management?s Discussion and Analysis
(Expressed in Canadian Dollars)
Corporate development expense decreased to $4,559 from $8,151. Corporate development consists of
expenses incurred to increase the Company?s global brand awareness and presence in the Cannabis
industry in multiple countries. In the prior year, the Company completed an acquisition and sold two of
its subsidiaries. During the period ended March 31, 2023, the Company has reduced its corporate
development expense as a cost-cutting measure.
- Office and sundry expenses increased to $19,356 from $17,605. The increase is not material, the two
periods are comparable.
- Wages and salary decreased to $35,352 from $45,538 as the Company terminated its sole employee in
the Ontario subsidiary in the prior year.
- Regulatory and transfer agent fees decreased to $26,373 from $31,768 as a result of the Company?s
preparations in the prior period to complete regulatory filings for its acquisitions and the shares issued.
The decrease is not material; the two periods are comparable.
- Rent expenses decreased to $Nil from $29,195. In prior year, the Company terminated the Ontario lease
and has thus no incurred additional rent expenses.
- Other general and operating costs decreased to $19,337 from $46,365 and consists of operating activities
in Europe. A decrease is expected as the subsidiary?s revenues have decreased in the current period.
- Insurance costs increased to $19,356 from $17,605 in the prior period. The change is not material; the
two periods are comparable.
- Fair value movement losses on investments increased to $Nil from a loss of $22,210 as a result of the
termination of the for the Twenty One investment in the period year. In the prior year comparative period,
the Company recorded a fair value loss on investment as a result of the fluctuation of the exchange rates.
- The Company recorded a $895,333 gain on debt settlement (2022: loss of $12,489). In the prior year,
the Company settled debts with Sanna?s former President and CEO by issuance of shares and recorded
a loss on debt settlement of $12,489. In the current period, the Company recorded a gain as a result of
conversion of debentures by holders of the convertible debentures into common shares of the Company.
- The Company earned decreased revenues of $132,550 from $181,617 from sale of consumer cannabis
products, which had costs of $71,444 and $112,639 respectively. In the current period, the Company
has not been able to earn higher revenues as a result of the current global economic situation.
- The Company recorded interest income of $Nil (2022: $140,539) as a result of interest earned on its loan
receivables during the year. The loan receivable was impaired to $Nil during the year ended December
31, 2022, thus it is reasonable that no interest income is recorded in the current period.
- The Company recorded government grant revenue of $Nil (2022: $7,767) as a result of the Company
receiving government CEBA loans during the year ended December 31, 2020 and recording the revenue
earned during the period. The deferred revenues relating to the CEBA loans were fully accreted as at
December 31, 2022 and thus it is reasonable that no additional revenues are recognized in the current
period.
- The Company recorded royalty revenues of $Nil (2022: $52,600) as a result of the Royalty Agreement
with Farma C relating to the sale of SGSC and the Farma C Supply Agreement with SGSC in 2020. No
further revenues were recognized as the agreement was terminated during the year ended December 31,
2022.
- The Company recorded a loss on sale of marketable securities of $15,862 (2022: loss of $157,121) as a
result of the sale of marketable securities.
- The Company recorded an unrealized loss of marketable securities of $50,000 (2022: $Nil) as a result
of the change in fair value of the securities during the period.
AGRA VENTURES LTD.
Management?s Discussion and Analysis
(Expressed in Canadian Dollars)
