Announcement PDF BPH Global Limited ACN 009 104 330 APPENDIX 4E AND PRELIMINARY FINAL REPORT For the year ended 30 June 2024 BPH GLOBAL LIMITED APPENDIX 4E FOR THE YEAR ENDED 30 JUNE 2024 The following information is given to ASX under listing rule 4.3A. 1. Reporting period Current Period 12 months ended 30 June 2024 Prior Period 12 months ended 30 June 2023 2. Results for announcement to the market 2.1 2.2 2.3 2.4 2.5 2.6 2023 $ 339 (4,031,707) Revenue from continuing operations Loss from continuing operations after tax attributable to members Net loss attributable to members (4,827,968) Dividend N/A Record date for determining entitlements to the dividends N/A Explanatory information to to 2024 $ 109,965 (1,737,366) % Change up 32,338% down 57% to (2,271,585) down 53% During the year, the Group, through the acquisition of Foshan Gedishi Biotechnology Co Ltd, a company incorporated and based in the People’s Republic of China, re-focused the business activities on bird’s nest products, a luxurious Traditional Chinese Medicine product. During the year, the Group has also raised approximately $685,000 t via placements of shares and convertible notes. The Group has also undertaken a 5 to 1 consolidation of its issued capital, thereby reducing the number of shares on issue by 1,563,291,233 shares. The Group recorded a revenue of $109,965 (FY2023: $339) and a net loss of $1,777,584 (FY2023: net loss $4,046,728) from continuing operations. At year end, the Group has a cash balance of $133,619 (FY2023: $510,217). The unaudited full year results are set out in the accompanying Appendix 4E. 3. Statement of Profit or Loss and Other Comprehensive Income Refer accompanying preliminary financial report 4. Statement of Financial Position Refer accompanying preliminary financial report 5. Statement of Cash Flow Refer accompanying preliminary financial report 6. Dividends Paid or Recommended N/A BPH Global Limited 7. Details of any Dividend or distribution reinvestment plans N/A 8. Statement of movements in Retained Earnings Refer statement of changes in equity in the accompanying preliminary financial report 9. Net tangible assets/(liabilities) per security 30 June 2023 1,284,729,781 0.05 Number of securities Net tangible assets/(liabilities) per security in cents 30 June 2024 396,641,479 (0.34) 10. Changes in controlled entities Disposal of SCU-RY Farm Pte Ltd (refer Note 14(b) for more details). 11. Details of associates and joint venture entities N/A 12. Any other significant information needed by an investor to make an informed assessment of the entity’s financial performance and financial position Refer accompanying preliminary financial report 13. Foreign entities disclosures N/A 14. Additional information 14.1 Earnings per Share Refer accompanying preliminary financial report 14.2 Returns to Shareholders Refer accompanying preliminary financial report 14.3 Significant features of operating performance Refer accompanying preliminary financial report 14.4 Results of segments Refer accompanying preliminary financial report 14.5 Trends in performance Refer accompanying preliminary financial report 14.6 Subsequent events Refer accompanying preliminary financial report 15. Compliance Statement The financial statements are in the process of being audited. 3 BPH Global Limited 16. If the accounts have not yet been audited and are likely to contain an independent audit report that is subject to a modified opinion, emphasis of matter or other matter paragraph, a description of the modified opinion, emphasis of matter or other matter paragraph is described below During the year ended 30 June 2024, the consolidated entity incurred a loss after income tax of $1,777,584 (2023: $4,046,728) from continuing operations and net cash outflows from operating activities of $1,258,876 (2023: $1,339,631). At 30 June 2023, the consolidated entity had $133,619 (2023: $510,217) in cash. Since the end of the financial year, the Company received a further $130,000 in debt funding. The ability of the consolidated entity to continue as a going concern depends on the consolidated entity managing its cash outflow and generating additional cash inflows from: - Generating sufficient revenue in excess of expenses from sales; - The receipt of debt funding; or - The receipt of equity funding The Group has a demonstrated record of raising additional capital and the Board has a reasonable expectation that the Company will be able to successfully raise funds over the 12-month period ending 31 August 2025. Accordingly, there is material uncertainty that may cast doubt on the consolidated entity’s ability to continue as a going concern. No adjustments have been made in relation to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the consolidated entity not continue as a going concern. Given this, the auditors have advised that their audit report is likely to include an emphasis of matter paragraph in relation to the above. - END Authorised for lodgement by the Board of the Company 4 BPH Global Limited Consolidated Statement of Profit or Loss and Other Comprehensive Income for the Year ended 30 June 2024 2024 $ 2023 $ Revenue 109,965 339 Cost of Sales (91,695) - Gross profit 18,270 339 65 37 Staff costs and directors’ fees (703,547) (1,352,929) Professional fees (492,152) (586,169) Research expenses - (49,922) Depreciation and amortisation - (19,492) Impairment of inventory, receivables, intangibles and PPEs - (1,166,775) Movement in fair value of investment - (420,000) Marketing and travel (258,748) (124,333) Administrative expenses (282,728) (327,484) Loss on conversion of liabilities into equities (38,333) - Interest expense (20,411) - (1,777,584) (4,046,728) - - (1,777,584) (4,046,728) (673,170) (565,166) (2,450,754) (4,611,894) (11,562) (44,203) (2,462,316) (4,656,097) Other revenue and income Loss before income tax expense Income tax expense Loss for the year from continuing operations (Loss)/Profit from discontinued operation Loss for the year Other comprehensive income Items that may be reclassified to profit or loss: Translation of foreign subsidiary Total comprehensive loss for the year 5 BPH Global Limited Consolidated Statement of Profit or Loss and Other Comprehensive Income for the Year ended 30 June 2024 (Continued) 2024 $ 2023 $ (2,271,585) (4,827,968) (179,169) 216,074 (2,450,754) (4,611,894) Loss attributable to: Owners Non-controlling interest Total comprehensive loss attributable to: Owners - Continuing operations (1,748,928) (3,977,771) - Discontinued operation (534,219) (845,429) (2,283,147) (4,823,200) Non-controlling interest - Continuing operations (40,218) (15,022) - Discontinued operation (138,951) 182,124 (179,169) 167,103 (2,462,316) (4,656,097) Loss per share from continuing operations attributable to owner Basic (cents per share) 3 (0.11) (0.35) Diluted (cents per share) 3 (0.11) (0.35) Basic (cents per share) 3 (0.03) (0.07) Diluted (cents per share) 3 (0.03) (0.07) Basic (cents per share) 3 (0.14) (0.42) Diluted (cents per share) 3 (0.14) (0.42) Loss per share from discontinued operations attributable to owner Loss per share attributable to owner The above Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the accompanying notes. 6 BPH Global Limited Consolidated Statement of Financial Position as at 30 June 2024 Note 2024 $ 2023 $ 133,619 510,217 ASSETS CURRENT ASSETS Cash and cash equivalents Trade and other receivables 4 118,672 21,508 Other assets 5 1,206 97,806 Inventory 6 49,284 - 302,781 629,531 TOTAL CURRENT ASSETS NON CURRENT ASSETS Plant and equipment 7 - 633,440 Intangible assets 8 387,851 1 - 210,000 TOTAL NON CURRENT ASSETS 387,851 843,441 TOTAL ASSETS 690,632 1,472,972 (1,411,370) 1,281,909 (1,411,370) 1,281,909 (254,321) - (254,321) - (1,665,691) 1,281,909 (975,059) 191,063 Investment at fair value through profit or loss LIABILITIES CURRENT LIABILITIES 9 Trade and other payables TOTAL CURRENT LIABILITIES NON CURRENT LIABILITIES 10 Convertible Notes TOTAL NON CURRENT LIABILITIES TOTAL LIABILITIES NET LIABILITIES / ASSETS 7 BPH Global Limited Consolidated Statement of Financial Position as at 30 June 2024 (continued) Note 2024 $ 2023 $ Contributed equity 11 78,938,407 78,188,156 Option reserve 12 1,890,000 3,100,005 (81,823,784) (81,308,147) 28,558 40,120 (966,819) 20,134 Non-controlling interest (8,240) 170,929 TOTAL DEFICIT / EQUITY (975,059) 191,063 EQUITY Retained earnings Foreign currency translation reserve EQUITY ATTRIBUTABLE TO SHAREHOLDERS The Consolidated Statement of Financial Position should be read in conjunction with the accompanying notes. 8 BPH Global Limited Consolidated Statement of Changes in Equity for the year ended 30 June 2024 <---------Attributable to owners of BP8 Global Ltd---------> Foreign currency translation reserve Noncontrolling interest $ $ Total $ (78,119,379) 84,323 1,676,241 4,720,323 151,933 85,000 358,029 25,250 (1,724,200) (1,103,988) – – – – – – 1,639,200 1,639,200 – (4,827,968) – – – – – – – (44,203) – – – – – – (1,721,386) 216,074 1,537,006 (42,062) 358,029 80,250 (85,000) 1,848,223 (1,721,386) (4,656,097) 78,188,156 3,100,005 (81,308,147) 40,120 170,929 191,063 Total comprehensive loss 798,479 44,672 (92,900) – – 750,251 – 384,604 90,168 – 71,171 (1,755,948) (1,210,005) – – – – – 1,755,948 1,755,948 (2,271,585) – – – – – – (11,562) – – – – – – (179,169) 1,183,083 134,840 (92,900) 71,171 – 1,296,194 (2,462,316) Balance at 30 June 2024 78,938,407 1,890,000 (81,823,784) 28,558 (8,240) (975,059) Contributed Equity $ Option reserve $ Retained Earnings $ 76,875,145 4,203,993 Total comprehensive loss Loss of non-controlling interest on disposal of subsidiary 1,385,073 (127,062) – 55,000 – 1,313,011 – – Balance at 30 June 2023 Balance at 30 June 2022 Transactions with equity holders in their own capacity Placements Capital raising costs Fair value of options vested during the year Fair value of shares/options issued to advisors Cancellation/Expiry of options Transactions with equity holders in their own capacity Placements Conversion of convertible notes into shares and options Capital raising costs Fair value of options vested during the year Cancellation/Expiry of options The Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes. 9 BPH Global Limited Consolidated Statement of Cash Flows for the year ended 30 June 2024 2024 $ 2023 $ 109,966 4,685,275 (1,368,906) (6,009,867) Interest income 64 37 Interest paid - (13,757) Interest paid on lease liabilities - (1,319) (1,258,876) (1,339,631) - (147,119) Net proceeds from disposal of subsidiary 185,060 65,082 Cash acquired on acquisition of subsidiary 266 - Total cash from/(used in) investing activities 185,326 (82,037) Proceeds from issue of shares and other equity securities, net of costs 316,910 1,490,194 Proceeds from issue of convertible notes 368,750 - - (22,878) Proceeds from borrowings 11,378 10,700 Repayment of borrowings - (94,517) Total cash from financing activities 697,038 1,383,499 Net decrease in cash and cash equivalents (375,512) (38,168) Cash and cash equivalents at beginning of financial year 510,217 624,962 (86) (76,577) 133,619 510,217 CASH FLOWS RELATING TO OPERATING ACTIVITIES Receipts from customers Payment to suppliers and employees Total cash used in operating activities CASH FLOWS RELATING TO INVESTING ACTIVITIES Payment for plant and equipment CASH FLOWS RELATING TO FINANCING ACTIVITIES Repayment of lease liabilities Foreign currency translation differences Cash and cash equivalents at end of financial year The Consolidated Statement of Cash Flows should be read in conjunction with the accompanying notes. 10 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BASIS OF PREPARATION This preliminary final report has been prepared in accordance with ASX Listing Rule 4.3A and the disclosure requirements of ASX Appendix 4E. The accounting policies have been consistently applied by the entity and are consistent with those disclosed in 30 June 2023 annual financial report and the interim financial report for the half year ended 31 December 2023. NOTE 2: SHARE BASED PAYMENTS Amounts included in Profit or Loss: Vested portion of options to a director Vested portion of options to an advisor Shares to be issued to Directors* Waiver of accrued shared based payments 2024 $ 2023 $ 23,316 47,855 71,171 262,319 95,710 28,000 (114,000) 272,029 *The shares to be issued were valued based upon the value of shares at the date of contract. An expense was recorded for these amounts in relation to services performed. 11 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 3: LOSS PER SHARE Loss Per Share from continuing operation attributable to owners Loss from continuing operations attributable to owners Basic loss per share (cents per share) Diluted loss per share (cents per share) (Loss)/Earnings Per Share from discontinued operation attributable to owners Earnings from discontinued operation attributable to owners Basic loss per share (cents per share) Diluted loss per share (cents per share) Loss Per Share attributable to owners Loss for the period attributable to owners Basic loss per share (cents per share) Diluted loss per share (cents per share) 2024 $ 2023 $ (1,737,366) (0.11) (0.11) (4,031,707) (0.35) (0.35) (534,219) (0.03) (0.03) (796,261) (0.07) (0.07) (2,271,585) (0.14) (0.14) (4,827,968) (0.42) (0.42) Number 1,591,952,203 Number 1,166,687,841 683,695,287 308,498,349 1,591,952,203 1,166,687,841 Weighted average number of shares Weighted average number of ordinary shares outstanding during the year used in calculation of basic EPS Weighted average number of options* Weighted average number of ordinary shares outstanding during the year used in calculation of dilutive EPS *Options are considered anti-dilutive as at 30 June 2024 and 30 June 2023 and therefore are not included in the computation of the dilutive EPS NOTE 4: TRADE AND OTHER RECEIVABLES CURRENT Trade receivables Less: allowance for expected credit losses Other receivables 12 2024 $ 2023 $ 118,672 118,672 21,508 21,508 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 5: OTHER ASSETS CURRENT Prepayments made to suppliers Deposits 2024 $ 2023 $ 1,206 1,206 96,974 832 97,806 2024 $ 2023 $ 49,284 49,284 - NOTE 6: INVENTORY CURRENT Finished goods NOTE 7: PLANT AND EQUIPMENT Office equipment $ Machines Capital Work in Progress $ TOTAL Cost At 30 June 2022 Addition during the year Disposal during the year Foreign exchange translation At 30 June 2023 Disposal during the year Disposal via sale of subsidiary Foreign exchange translation At 30 June 2024 3,146 (130) 3,016 3,016 - 1,481,599 6,360 (1,470,667) (17,292) - 492,680 140,759 633,439 1,977,425 147,119 (1,470,667) (17,422) 636,455 - (636,767) 3,328 - - Accumulated depreciation At 30 June 2022 Addition during the year Disposal during the year Foreign exchange translation At 30 June 2023 Disposal during the year At 30 June 2024 3,145 (130) 3,015 (3,015) - 968,016 82,180 (1,015,963) (34,233) - - 971,161 82,180 (1,015,963) (34,363) 3,015 - Carrying amount At 30 June 2023 1 - 633,439 633,440 At 30 June 2024 - - - - $ 13 $ BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 8: INTANGIBLE ASSETS Note Balance of intangible assets at beginning of period Intellectual property acquired Impairment of IP during the period* Goodwill recognised on acquisition of subsidiary Balance of intangible assets at reporting date 15 2024 $ 2023 $ 1 387,850 387,851 1 1,010,559 (1,010,559) 1 * Intellectual properties In July 2022, the Company (as licensee) and Lantene (as licensor) entered into an intellectual property licence agreement whereby, with effect on and from completion of the Sale of Lantene subsidiary, the Company was granted an exclusive licence for an initial period of 15 years to continue its use and commercialisation of Lantene’s intellectual property, including the patents and software registrations in China covering Sea Grape cultivation techniques and applications developed by Lantene (“IP Licence”). The Company’s rights of exclusivity under the IP Licence are worldwide, with the exception of China. The $1,010,559 intercompany loan previously extended to Lantene in its capacity as a subsidiary of the Company has been treated as the consideration for the licence granted to the Company under the IP Licence. Hence, Lantene has been released from its liability to repay the intercompany loan in consideration for the grant of the exclusive intellectual property licence under the IP Licence. The IP Licence was fully impaired during the year ended 30 June 2023 as the Company was unable to quantify the future cash inflows from the patents usage. 14 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 9: TRADE AND OTHER PAYABLES CURRENT Trade payables Other payables Accrued expenses 2024 $ 2023 $ 621 692,344 718,405 1,411,370 621 546,335 734,953 1,281,909 NOTE 10: CONVERTIBLE NOTES During the year, the Company issued 368,750 convertible notes with an interest rate of 12% per annum and a face value of $1.00 each for $368,750. The notes are convertible into ordinary shares of the Company, at the choice of the holder, or repayable on 12 April 2025. The conversion rate is the number of notes divided by the Conversion Price. Conversion Price is the lower of (a) the amount which is 30% less than the 15 days volume-weighted average price (VWAP) of the trading price of Shares on ASX on the Conversion Date; or (b) the amount which is lowest traded price of Shares on ASX in the 15 trading days ending on the Conversion Date, subject always to a maximum conversion price of $0.002. Each share issued on conversion will have one attaching option with expiry of 11 December 2026 and an exercise price of $0.004. The convertible notes are presented in the balance sheet as follows: Face value of Convertible Notes issued Interest expense Conversion of Convertible Notes into shares and options Convertible Notes (non-current liability) 15 2024 $ 2023 $ 368,750 15,321 (129,750) 254,321 - BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 11: CONTRIBUTED EQUITY Issued and fully paid ordinary shares Movements in ordinary shares At 30 June 2022 Shares issued via placement Shares issued to placement advisor Capital raising costs At 30 June 2023 Shares issued via placement and debt settlement Shares issued to acquire subsidiary Conversion of convertible notes into shares 5 to 1 consolidation Conversion of convertible notes into shares Capital raising costs At 30 June 2024 2024 $ 2023 $ 78,938,407 78,188,156 Number of shares $ 1,049,784,349 228,834,321 6,111,111 1,284,729,781 450,833,333 100,000,000 118,552,770 (1,563,291,233) 5,816,828 396,641,479 76,875,145 1,385,073 55,000 (127,062) 78,188,156 598,479 200,000 32,602 12,070 (92,900) 78,938,407 Ordinary shares entitle the holder to participate in dividends and the proceeds on the winding up of the company in proportion to the number of and amounts paid on the shares held. The fully paid ordinary shares have no par value. On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have one vote. 16 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 12: OPTION RESERVE Option Reserve Movements in Option Reserve At 30 June 2022 Vested portion of director options issued in previous year 1 Vested portion of advisor options issued in previous year 2 Placement attaching options3 Placement attaching options and advisor options to be issued 4 Cancellation of options Expiry of options At 30 June 2023 Vested portion of director options issued in previous year1 Cancellation of option due to vesting condition not met 1 Vested portion of advisor options issued in previous year 2 Placement attaching options and advisor options 4 Placement attaching options5 Expiry of options 5 to 1 consolidation of option Placement attaching options5 At 30 June 2024 2024 $ 2023 $ 1,890,000 3,100,005 Number of options 311,600,000 27,666,664 $ 4,203,993 262,319 95,710 89,640 172,543 (1,639,200) (85,000) 3,100,005 23,316 (435,948) 47,855 50,500 420,055 (1,320,000) 4,217 1,890,000 (100,500,000) (5,000,000) 233,766,664 (25,000,000) 220,834,319 579,386103 (110,000,000) (719,189,646) 5,816,828 185,614,268 1 On 09 April 2021, 75,000,000 options were issued to a director as approved at the shareholders’ meeting held on 26 March 2021. The options will be vested over 3 tranches of 25,000,000 options each. The 1 st tranche vested immediately upon issue. The 2nd and 3rd tranche will be vested on the second and third anniversary of the director’s appointment, provided the said director is still a director at the Company at the respective vesting dates. The assessed fair value at grant date of the 1st, 2nd and 3rd tranche options were A$575,000, A$550,000 and A$550,000 respectively. The fair value at grant date is determined using the Black Scholes Model. The director has on 14 March 2023 cancelled 1st tranche of the options, and on 12 May 2023 resigned as director, resulting in 3rd tranche of the option not being vested. As at 30 June 2024, 2nd tranche option remains with a recognised value of A$550,000. The model inputs for the 1st tranche options granted and vested included: (a) exercise price: A$0.017 (b) grant date: 26 March 2021 (c) vesting date: 09 April 2021 (d) expiry date: 09 April 2026 (e) share price at grant date: A$0.027 (f) expected price volatility of the Company’s shares: 112.5% (g) risk-free interest rate: 0.81% The model inputs for the 2nd tranche options granted included: (a) exercise price: A$0.05 (b) grant date: 26 March 2021 (c) vesting date: 01 November 2022 (d) expiry date: 01 November 2027 (e) share price at grant date: A$0.027 (f) expected price volatility of the Company’s shares: 112.5% (g) risk-free interest rate: 0.81% 17 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 12: OPTION RESERVE (continued) The model inputs for the 3rd tranche options granted included: (a) exercise price: A$0.10 (b) grant date: 26 March 2021 (c) vesting date: 01 November 2023 (d) expiry date: 01 November 2028 (e) share price at grant date: A$0.027 (f) expected price volatility of the Company’s shares: 112.5% (g) risk-free interest rate: 0.81% 2 On 28 February 2022, 25,000,000 options were issued to an advisor as approved at the AGM of 31 January 2022. The options can be exercised at different price of 15,000,000 options at $0.025, 7,500,000 options at $0.05 and 2,500,000 options at $0.075 respectively. 1/5 of the total options are vested immediately upon engagement and subsequently every half yearly another 1/5 will be vested. The assessed fair value at grant date of the 15,000,000, 7,500,000 and 2,500,000 options were A$152,400, A$66,675 and A$20,200 respectively and were fully recognised as at 30 June 2024. The fair value at grant date is determined using the Black Scholes Model. The model inputs for the 15,000,000 options granted at exercise price of A$0.025 included: (a) exercise price: A$0.025 (b) grant date: 28 February 2022 (c) expiry date: 28 February 2025 (d) share price at grant date: A$0.014 (e) expected price volatility of the Company’s shares: 145% (f) risk-free interest rate: 0.28% The model inputs for the 7,500,000 options granted at exercise price of A$0.05 included: (a) exercise price: A$0.05 (b) grant date: 28 February 2022 (c) expiry date: 28 February 2025 (d) share price at grant date: A$0.014 (e) expected price volatility of the Company’s shares: 145% (f) risk-free interest rate: 0.28% The model inputs for the 2,500,000 options granted at exercise price of A$0.075 included: (a) exercise price: A$0.075 (b) grant date: 28 February 2022 (c) expiry date: 28 February 2025 (d) share price at grant date: A$0.014 (e) expected price volatility of the Company’s shares: 145% (f) risk-free interest rate: 0.28% 3 On 01 September 2022, 27,666,664 options were issued to investors as part of the placement. The assessed fair value at grant date of options issued were A$89,640. The fair value at grant date is determined using the Black Scholes Model. The model inputs for the options granted included: (a) exercise price: A$0.018 (b) grant date: 01 September 2022 (c) expiry date: 01 September 2025 (d) share price at grant date: A$0.009 (e) expected price volatility of the Company’s shares: 79% (f) risk-free interest rate: 3.33% 18 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 12: OPTION RESERVE (continued) 4 On 09 June 2023, shareholders approved the issue of 220,834,319 options to investors that participated in the Company’s placement, 25,000,000 options to advisor that manages the placement, and 50,000,000 options to directors for offsetting of amount owing to them. These options were issued after balance date on 7 July 2023. The assessed fair value at grant date of options issued were in aggregate $223,043. The fair value at grant date is determined using the Black Scholes Model. The model inputs for the options granted included: (a) exercise price: A$0.01 (b) grant date: 09 June 2023 (c) expiry date: 07 July 2027 (d) share price at grant date: A$0.003 (e) expected price volatility of the Company’s shares: 78.5% (f) risk-free interest rate: 3.8% 5 On 22 November 2023, shareholders approved the issue of options to investors that participated in the Company’s placement of shares and convertible notes. On 8 December 2023, 460,833,333 options were issued to investors as part of the placement of shares. The assessed fair value at grant date of options issued were A$334,104. Subsequently, on 2 February 2024 and 21 June 2024, 118,552,770 options and 5,816,828 options (post option consolidation) were issued on conversion of convertible notes with assessed fair value at grant date of options to be $85,951 and $4,217 respectively. The fair value at grant date is determined using the Black Scholes Model. The model inputs for the options granted included: (a) exercise price: A$0.004 (b) grant date: 22 November 2023 (c) expiry date: 11 December 2026 (d) share price at grant date: A$0.002 (e) expected price volatility of the Company’s shares: 78.5% (f) risk-free interest rate: 4.085% 19 BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 13: SEGMENT INFORMATION The directors have considered the requirements of AASB 8 Operating Segments and the internal reports that are received by the Board in allocating resources and have concluded at this time that there are no separately identifiable segments as the consolidated group operated in one business segment of sourcing, producing, marketing and selling of traditional medicines. The geographical segment information of the group is as follows: 2024 Australia $ Continuing operations Singapore China Malaysia $ $ $ Total $ Discontinued operation $ Revenue Profit / (Loss) (1,459,313) (105,395) 109,965 (101,602) (111,274) 109,965 (1,777,583) 673,170 Total assets Total liabilities 91,529 (1,302,115) 36,004 (88,047) 562,828 (275,529) 272 - 690,632 (1,665,691) - 2023 Australia $ Continuing operations Singapore China Malaysia $ $ $ Revenue Profit / (Loss) (2,757,448) (1,188,400) 339 (77,104) (23,776) 339 (4,046,728) 5,182,284 463,117 Total assets Total liabilities 482,386 (1,122,129) 863,358 (128,466) 20,494 (29,532) 106,734 (1,782) 1,472,972 (1,281,909) - 20 Total $ Discontinued operation $ BPH Global Limited Notes to the Financial Statements for the Financial Year Ended 30 June 2024 NOTE 14: DISCONTINUED OPERATIONS A) SHENZHEN LANTENE DINGZHI BIOTECHNOLOGY CO LTD On 29 April 2022, the Group announced its intention to dispose all of its 50.1% interest in subsidiary Shenzhen Lantene Dingzhi Biotechnology Co Ltd (“Lantene”) to the existing shareholder Mr Cao Yueming for the consideration of $700,000. On 20 July 2022, the Company signed the Share Sale Agreement documenting the proposed transaction, completion of which was subject to and conditional upon the Group obtaining necessary shareholder approvals. Shareholders approved the disposal at the General Meeting of 19 October 2022. Initial payment of $70,000 was received in the same month, with the remaining to be paid within 6 months from the date the initial payment is made. During the current period, the Group has assessed that the outstanding balance to be impaired. Consideration receivable is presented as investment in the statement of financial position as subsequent to shareholders’ approval of Share Sale Agreement, the directors of the Company are of the opinion that it neither controls nor exercises significant influence on Lantene. Hence the remaining holdings in Lantene until fully settled is treated as investment at fair value through profit or loss. The transaction price agreed for disposal of Lantene is deemed to be reasonable proximation of its fair value. Financial information relating to Lantene is set out below. The fina