Quarterly report [Sections 13 or 15(d)]

SEGMENTED INFORMATION

v3.25.1
SEGMENTED INFORMATION
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
SEGMENTED INFORMATION

18. SEGMENTED INFORMATION

 

The Company has chosen to organize its operating segments based on products or services offered. Each operating segment is also a reportable segment (i.e. operating segments have not been aggregated). The Company’s operating and reportable segments at March 31, 2025, include Unthink Food, which produces high protein baking flour; Radical Clean Solutions, which sells its patented hydroxyl devices; and Bitcoin Mining. All other activities, including financing, are carried out through the corporate entity. At March 31, 2025, Bitcoin Mining operations were conducted at the Redwater Property in Alberta, Canada, and the Bald Eagle Property in Ohio, USA, which reflects the manner in which the Company’s Chief Operating Decision Maker (“CODM”), its Chief Executive Officer, reviews and assesses the performance of the business and allocates resources.

 

 

The information used by the CODM to assess performance and allocate resources includes various measures of segment profit, however, for the purposes of the disclosures required by ASC 280, Segment Reporting and ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, the Company has determined that the measure most consistent with the measurement principles used in measuring the corresponding amounts in the condensed consolidated unaudited financial statements is net income. Segment financial information is used to monitor forecast versus actual results in order to make key operating decisions for each segment. The CODM evaluates the performance or allocate resources for each segment based on the Company’s assets or liabilities.

 

The following discloses key financial information including the significant segment expenses, in the context of deriving net income, that are regularly provided to and reviewed by the CODM reconciled to the segment’s net income:

 

    Unthink Food     Radical Clean Solutions     Bitcoin Mining     Corporate     Total  
Three Months Ended March 31, 2025                                        
Revenue   $ 531     $ 71,162     $ 272,723     $ -     $ 344,416  
Significant segment expenses                                        
Costs of services     -       -       223,644       -       223,644  
Cost of inventory sold     -       41,749       -       -       41,749  
Gross profit (loss)     531       29,413       49,079               79,023
Selling, general and administrative     1,242       62,523       36,384       1,205,387       1,305,536  
Research and Development     -       233,179       -       -       233,179  
Depreciation     154,316       -       121,079       -       275,395  
Accretion interest expense     -       -       -       971,343       971,343  
Repairs and Maintenance     -       -       85,668       -       85,668  
Severance Expense     -       -       -       144,928       144,928  
Foreign exchange loss / gain     (89 )     -       -       56,248     56,159
Change in fair value of derivatives     -       -       -       (2,976,911 )     (2,976,911 )
Loss (gain) on conversion of convertible debt     -       -       -       (86,563 )     (86,563 )
Loss on debt extinguishment     -       -       -       115,384       115,384  
Consulting     -       -       -       100,359       100,359  
Total operating expenses and other expenses (income)     155,469       295,702       243,131       (469,825 )     224,477  
Net Loss   $ (154,938 )   $ (266,289 )   $ (194,052 )   $ 469,825   $ (145,455 )

 

    Unthink Food     Radical Clean Solutions     Bitcoin Mining     Corporate     Total  
Three Months Ended March 31, 2024                                        
Revenue   $ -     $ -     $ -   $ -     $ -  
Significant segment expenses     -       -       -       -       -  
Costs of services     -                 -       -       -       -  
Cost of inventory sold     -       -       -       -       -  
Gross margin     -       -       -       -       -  
Selling, general and administrative     71,866       -       -       1,072,328       1,144,194  
Acquisition-related integration costs     -       -       -       -       -  
Depreciation     164,295       -       -       2,703       166,998  
Foreign exchange loss / gain     -       -       -       (54,631 )     (54,631 )
Change in fair value of derivatives     -       -       -       23,769       23,769  
Loss (gain) on conversion of convertible debt     -       -       -       272,732       272,732  
Loss on debt extinguishment     -       -       -       410,433       410,433  
Accretion interest expense     -       -       -      

1,364,205

      

1,364,205

  
Total operating expenses and other expenses (income)     236,161       -       -       3,091,539       3,327,700  
Net Income   $ (236,161 )     -     $ -     $ (3,091,539 )   $ (3,327,700 )

 

Other segment items consists of loss on disposition of property, plant and equipment, change in fair value of derivatives, impairment loss, interest income, and foreign exchange (loss) gain, as reported on the condensed consolidated unaudited income statements. following table summarizes the additions to property and equipment, total property and equipment, and total assets by segment, used by the CODM to assess segment performance.

 

    Unthink Food     Radical Clean Solutions     Bitcoin Mining     Corporate     Total  
Three Months Ended March 31, 2025                                        
Property and equipment, additions   $ -     $ -     $ 2,267,816     $ -     $ 2,267,816  
Intangible assets, additions     -       -       1,506,918       -       1,506,918  
Property and equipment, net     -       -       1,647,408       50,079       1,697,487  
Intangible assets, net     7,076,879       774,228       625,736       -       8,476,843  
Total assets   $ 7,076,879     $ 774,228     $ 6,047,878     $ 50,079     $ 13,949,064  
Three Months Ended March 31, 2024                                        
Property and equipment, additions   $ -     $ -     $ -     $ 112,046     $ 112,046  
Intangible assets, additions     -       -       -       -       -  
Property and equipment, net     -       -       -       84,295       84,295  
Intangible assets, net     12,265,856       218,449       -       -       12,484,305  
Total assets   $ 12,265,856     $ 218,449       -     $ 196,341     $ 12,680,646  

 

 

The following tables summarize revenue, assets, and property, plant, and equipment by geographic area based on the location of the underlying action activity or rendering of services and location of the underlying assets:

 

   

Three Months Ended

March 31, 2025

    

Three Months Ended

March 31, 2024

  
             
Revenue                
Canada   $ 56,405     $ -  
United States     288,011       -  
Total Revenue   $ 344,416     $ -  

 

   

Three Months Ended

March 31, 2025

    

Year Ended

December 31, 2024

  
Assets            
Cash and cash equivalents for all segments                
Canada   $ 1,351,983     $ 423,907  
United States     -       65,961  
Total cash and cash equivalents   $ 1,351,983     $ 489,868  
                 
Property Plant and Equipment                
Canada   $ 1,647,408     $ 808,895  
United States     2,267,816       -  
Total property plant and equipment   $ 3,915,224     $ 808,895  

 

The revenues for the Radical Clean Solutions segment were generated from one customer for the periods ended March 31, 2025 and 2024.

 

The revenues for the Bitcoin mining segment were generated from Bitcoin network.