SEDAR Interim Financial Statements

RADIAL RESEARCH CORP. Financial Statements For the six months ended November 30, 2025 and 2024 (Expressed in Canadian Dollars) RADIAL RESEARCH CORP. The accompanying notes are an integral part of these financial statements. Statements of Financial Position (Expressed in Canadian dollars) November 30, 2025 May 31, 2025 Assets Current assets Cash $ 130,928 $ 178,108 Amounts receivable 13,805 12,317 Prepaid expense and deposits 2,500 7,500 Total current assets 147,233 197,925 Non-current assets Intangible assets (Note 6) 1 1 Total assets $ 147,234 $ 197,926 Liabilities and Shareholders' Deficit Current Liabilities Accounts payable and accrued liabilities (Notes 5 and 7) $ 169,494 $ 169,096 Convertible debenture (Note 5) 466,488 489,876 Total liabilities $ 635,983 $ 658,972 Shareholders' Deficit Share capital $ 1,409,734 $ 1,409,734 Options reserve 20,000 20,000 Equity portion of convertible debenture (Note 5) 478,386 478,386 Deficit (2,396,869) (2,369,166) Total shareholders’ deficit (488,749) (461,046) Total liabilities and shareholders' deficit $ 147,234 $ 197,926 Approved on behalf of the Board of Directors: Chris Hail (signed) Chris Hail, Director Andrew King(signed) Andrew King, Director The accompanying notes are an integral part of these financial statements. RADIAL RESEARCH CORP. Statements of Loss and Comprehensive Loss (Expressed in Canadian dollars) Three Months Ended November 30, November 30, 2025 2024 Operating expenses Consulting (Note 7) $ 13,100 $ 17,608 General and administrative 8,066 6,886 Professional fees (Note 7) 10,492 9,148 Total operating expenses 31,658 33,642 Loss before other items (31,658) (33,642) Other items Gain on modification of debt (Note 5) 0 0 Interest and accretion (Note 5) (16,519) (16,519) Total other items (16,519) (16,519) Net loss (gain) and comprehensive loss(gain) $ (48,177) $ (50,161) Loss per share – basic and diluted $ (0.00) $ (0.00) Weighted average number of common shares outstanding 27,838,189 27,838,189 Six Months Ended November 30, November 30, 2025 2024 Operating expenses Consulting (Note 7) $ 25,200 $ 27,009 General and administrative 14,093 13,206 Professional fees (Note 7) (737) 18,273 Total operating expenses 38,556 58,488 Loss before other items (38,556) (58,488) Other items Gain on modification of debt (Note 5) 45,247 43,500 Interest and accretion (Note 5) (34,393) (34,015) Total other items 10,854 9,485 Net loss (gain) and comprehensive loss(gain) $ (27,702) $ (49,003) Loss per share – basic and diluted $ (0.00) $ (0.00) Weighted average number of common shares outstanding 27,838,189 27,838,189 The accompanying notes are an integral part of these financial statements. RADIAL RESEARCH CORP. Statements of Changes in Shareholders’ Deficit (Expressed in Canadian dollars) Number of outstanding common shares Share capital Option reserve Equity portion of convertible debenture Deficit Total shareholders' deficit $ $ $ $ $ Balance, May 31, 2024 27,838,189 1,409,734 20,000 478,386 (2,231,513) (323,393) Net loss for the year - - - - (137,653) (137,653) Balance, May 31, 2025 27,838,189 1,409,734 20,000 478,386 (2,369,166) (461,046) Net loss(gain) for the year - - - - (27,702) (27,702) Balance, November 30, 2025 27,838,189 1,409,734 20,000 478,386 (2,396,869) (488,749) RADIAL RESEARCH CORP. The accompanying notes are an integral part of these financial statements. Statements of Cash Flows (Expressed in Canadian dollars) Six months ended Nov 30, 2025 Six months ended Nov 30, 2024 Operating A --- ctivities Net loss $ (27,701) $ (49,003) Items not affecting cash: Accretion of discount on convertible debenture 21,859 19,656 Gain on modification of convertible debenture (45,247) (43,500) Changes in non-cash working capital items: Amounts receivable (1,488) (2,401) Prepaid expenses and deposits 5,000 5,000 Accounts payable and accrued liabilities 398 1,446 Net cash used in operating activities (47,179) (68,802) Change in cash (47,179) (68,802) Cash - beginning of year 178,108 295,233 Cash – end of year $ 130,929 $ 226,431 RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian dollars) 1. NATURE OF OPERATIONS AND GOING CONCERN Radial Research Corp. (the “Company”) was incorporated under the laws of the Province of British Columbia on June 26, 2017. On October 30, 2018, the Company completed its initial public offering (“IPO”) and is publicly traded on the Canadian Securities Exchange (“CSE”) under the ticker RAD. The Company is a technology company that develops online and downloadable technologies and services, including software, websites, and smartphone applications. The Company is also seeking other opportunities in ecommerce, internet, and smartphone-based technologies. The Company’s registered and records office is 890 West Pender Street, Suite 600, Vancouver, British Columbia, V6C 1J9. These financial statements have been prepared on a going concern basis, which assumes that the Company will be able to realize its assets and discharge its liabilities in the normal course of business. During the six months ended November 30, 2025, the Company has incurred a net loss of $27,702. As at November 30, 2025, the Company has an accumulated deficit of $2,396,869 and a working capital deficit of $488,750. The Company’s continuing operations are dependent upon the Company’s ability to obtain the necessary financing to commercialize its technology and administer overhead expenses. Should the Company fail to commercialize its technology, its ability to raise sufficient financing to maintain operations may be impaired and, accordingly, the Company may be unable to realize the carrying value of its net assets. These factors indicate the existence of a material uncertainty that may cast significant doubt upon the Company’s ability to continue as a going concern. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. Such adjustments could be material. 2. BASIS OF PRESENTATION (a) Statement of compliance These financial statements are prepared in accordance with IFRS Accounting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). These financial statements are presented in Canadian dollars, which is the Company’s functional currency. (b) Basis of presentation These financial statements have been prepared on a historical cost basis, except for certain financial instruments classified as financial instruments at fair value through profit or loss, which are stated at fair value. In addition, these financial statements have been prepared using the accrual basis of accounting, except for cash flow information. (c) Approval of the financial statements These financial statements were authorized for issuance by the Audit Committee and Board of Directors on Decemb --- er 17, 2025. RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian dollars) 3. MATERIAL ACCOUNTING POLICY INFORMATION (a) Financial instruments (i) Financial assets Initial recognition and measurement A financial asset is measured initially at fair value less, for an item not at fair value through profit or loss, transaction costs that are directly attributable to its acquisition or issue. On initial recognition, a financial asset is classified as amortized cost, fair value through profit or loss, or at fair value through other comprehensive income. Subsequent measurement The subsequent measurement of financial assets depends on their classification as follows: Financial assets at fair value through profit or loss Financial assets measured at fair value through profit and loss (“FVTPL”) are carried in the statement of financial position at fair value with changes in fair value recognized in the statement of loss and comprehensive loss. There are no financial assets classified as FVTPL. Financial assets measured at amortized cost A financial asset is subsequently measured at amortized cost, using the effective interest method and net of any impairment allowance, if: • The asset is held within a business whose objective is to hold assets in order to collect contractual cash flows; and • The contractual terms of the financial asset give rise, on specified dates, to cash flows that are solely payments of principal and interest. The Company’s cash is measured at amortized cost. Financial assets measured at fair value through other comprehensive income A financial asset measured at fair value through other comprehensive income (“FVTOCI”) is recognized initially at fair value less transaction costs directly attributable to the asset. After initial recognition, the asset is measured at fair value with changes in fair value included as “financial asset at fair value through other comprehensive income” in other comprehensive income. Accumulated gains or losses recognized through other comprehensive income remain within accumulated other comprehensive income when the financial instrument is derecognized or its fair value substantially decreases. There are no financial assets classified as measured as FVTOCI. RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian dollars) 3. MATERIAL ACCOUNTING POLICY INFORMATION (continued) (a) Financial instruments (continued) (i) Financial assets (continued) Derecognition A financial asset or, where applicable, a part of a financial asset or part of a group of similar financial assets is derecognized when: • The contractual rights to receive cash flows from the asset have expired; or • The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a ‘pass-through’ arrangement; and either (a) the Company has transferred substantially all the risks and rewards of the asset, or (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. (ii) Financial liabilities Financial liabilities are recognized when the Company becomes a party to the contractual provisions of the financial instrument. A financial liability is derecognized when it is extinguished, discharged, --- cancelled or when it expires. Financial liabilities are classified as either financial liabilities at fair value through profit or loss or financial liabilities subsequently measured at amortized cost. All interest-related charges are reported in the statement of loss and comprehensive loss within interest expense, if applicable. The Company’s accounts payable and accrued liabilities and convertible debentures are measured at amortized cost. (iii) Fair value hierarchy Fair value measurements of financial instruments are required to be classified using a fair value hierarchy that reflects the significance of inputs used in making the measurements. The levels of the fair value hierarchy are defined as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3 - Inputs for assets or liabilities that are not based on observable market data. The carrying value of cash, and accounts payable and accrued liabilities approximate their fair value due to the short-term maturity of these instruments. The carrying value of the convertible debentures of $489,876 (2024 - $489,955) is determined utilizing Level 3 inputs and should not be interpreted as being realizable in an immediate settlement of the financial instrument. RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian dollars) 3. MATERIAL ACCOUNTING POLICY INFORMATION (continued) (b) Common shares Financial instruments issued by the Company are classified as equity only to the extent that they do not meet the definition of a financial liability or financial asset. The Company's common shares are classified as equity instruments. Common shares issued for consideration other than cash are valued at the fair value of the assets received or the services rendered. If the fair value of the assets received or services rendered cannot be reliably measured, common shares issued for consideration will be valued at their fair value on the date of issuance. Incremental costs directly attributable to the issue of new shares are shown in equity as a deduction, net of tax, from the proceeds. (c) Earnings (loss) per share The Company presents basic and diluted earnings (loss) per share data for its common shares, calculated by dividing the loss attributable to common shareholders of the Company by the weighted average number of shares outstanding during the period. Diluted earnings (loss) per share does not adjust the loss attributable to common shareholders or the weighted average number of common shares outstanding when the effect is anti-dilutive. Shares held in escrow, other than where their release is subject to the passage of time, are not included in the calculation of the weighted average number of common shares outstanding. As at November 30, 2025, the Company has 9,462,314 (2024 – 9,105,171) potentially dilutive common shares outstanding. (d) Income taxes Tax provisions are recognized when it is considered probable that there will be a future outflow of funds to a taxing authority. In such cases, a provision is made for the amount that is expected to be settled, where this can be reasonably estimated. This requires the application of judgment as to the ultimate outcome, which can change over time depending on facts and circumstances. A --- change in estimate of the likelihood of a future outflow and/or in the expected amount to be settled would be recognized in income in the period in which the change occurs. Deferred income tax assets or liabilities, arising from temporary differences between the tax and accounting values of assets and liabilities, are recorded based on tax rates expected to be enacted when these differences are reversed. Deferred income tax assets are recognized only to the extent it is considered probable that those assets will be recovered. This involves an assessment of when those deferred tax income assets are likely to be realized, and a judgment as to whether there will be sufficient taxable profits available to offset the tax assets when they do reverse. This requires assumptions regarding future profitability and is therefore inherently uncertain. To the extent assumptions regarding future profitability change, there can be an increase or decrease in the amounts recognized in respect of deferred tax assets, as well as in the amounts recognized in the statement of loss in the period in which the change occurs. Tax provisions are based on enacted or substantively enacted laws. Changes in those laws could affect amounts recognized in the statement of loss both in the period of change, which would include any impact on cumulative provisions, and in future periods. RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian dollars) 3. MATERIAL ACCOUNTING POLICY INFORMATION (continued) (e) Intangible assets Intangible assets include technology acquired by the Company and have finite useful lives and measured at cost less accumulated amortization and any accumulated impairment losses. Subsequent expenditure is capitalized only when it increases the future economic benefits embodied in the specific asset to which it relates. All other expenditures are recognized in the statement of loss and comprehensive loss as incurred. Amortization is recorded using the straight-line method and is intended to amortize the cost of the assets over their estimated useful life of 5 years. (f) Impairment of non-financial assets At the end of each reporting period, the Company reviews the carrying amounts of long- lived assets to determine whether there is an indication that those assets have suffered an impairment. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment charge (if any). The recoverable amount used for this purpose is the higher of the fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. If the recoverable amount of an asset is estimated to be less than its recorded amount, the recorded amount of the asset is reduced to its recoverable amount. An impairment charge is recognized immediately in the statement of loss and comprehensive loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, to a maximum amount equal to the carrying amount that would have been determined had no --- impairment loss been recognized for the asset in prior years. Amortization methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate. (g) Compound financial instruments Compound financial instruments issued by the Company comprise of convertible debentures that can be converted into common shares of the Company. The liability component of a compound financial instrument is recognized initially at the fair value of a similar liability that does not have an equity conversion option. The equity component is recognized initially as the difference between the fair value of the compound financial instrument as whole and the fair value of the liability component. Any directly attributable transaction costs are allocated to the liability and equity components in proportion to their initial carrying amounts. Subsequent to initial recognition, the liability component of a compound financial instrument is measured at amortized cost using the effective interest method. The equity component of a compound financial instrument is not re-measured subsequent to initial recognition except on conversion, where this is transferred to share capital. RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian Dollars) 3. MATERIAL ACCOUNTING POLICY INFORMATION (continued) (h) 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 application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may vary from these estimates. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Significant areas requiring the use of estimates include the recognition of deferred income tax assets. Accounting estimates will, by definition, seldom equal the actual results. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future years affected. Critical Judgments Going concern The assessment of whether the going concern assumption is appropriate requires management to take into account all available information about the future, which is at least, but not limited to, 12 months from the end of the reporting period. The Company is aware that material uncertainties exist related to events or conditions that may cast significant doubt upon the Company’s ability to continue as a going concern. Modification vs. extinguishment of debt Judgment is required in applying IFRS 9, Financial Instruments, to determine whether the amended terms of the convertible debentures are a substantial modification of an existing financial liability or whether it should be accounted for as an extinguishment of the original financial liability. (j) Recent accounting pronouncements A number of new standards, and amendments to standards and interpretations, are not yet effective for the six months ended November 30, 2025, and have not been early adopted in preparing these financial statements. IFRS 18, Presentation and Disclosure in Financial Statements In April 2024, the IASB issued IFRS 18, Presentation and Disclosure in Financial Statements, which will replace IAS 1, Presentation of Financial Statements. The key --- new concepts introduced in IFRS 18 relates to the structure of the statement of earnings (loss), required disclosures in the financial statements for certain earnings or loss performance measures that are reported outside an entity’s financial statements, and enhanced principles on aggregation and disaggregation which apply to the primary financial statements and notes in general. IFRS 18 will apply for reporting periods beginning on or after January 1, 2027 and also applies to comparative information. The Company is still in the process of assessing the impact of this standard on its financial statements. RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian Dollars) 3. MATERIAL ACCOUNTING POLICY INFORMATION (continued) (j) Recent accounting pronouncements (continued) Classification of liabilities as current or non-current (amendments to IAS 1, Presentation of Financial Statements) On January 23, 2020, an amendment was issued to IAS 1 to address inconsistencies with how entities apply the standards over classification of current and non-current liabilities. The amendment serves to address whether, in the statement of financial position, debt and other liabilities with an uncertain settlement should be classified as current or non-current. This amendment was effective on January 1, 2024. The Company adopted the amendment on the effective date and the adoption did not have a material impact on the Company’s financial statements. 4. SHARE CAPITAL (a) Authorized Unlimited number of common shares without par value. (b) Issued and outstanding As of November 30, 2025 and 2024, the total issued and outstanding share capital consists of 27,838,189 common shares. Stock Options The Company has adopted a stock option plan (the “Plan”) pursuant to which it may from time to time, in its discretion, and in accordance with CSE requirements, grant to directors, officers, and consultants to the Company, non-transferable options to purchase common shares of the Company and is the basis for the Company’s long-term incentive scheme. The Plan is administered by the Board, or if appointed, by a special committee of directors appointed from time to time by the Board. The maximum number of common shares issuable under the Plan shall not exceed 10% of the number of common shares of the Company issued and outstanding as of each award date, inclusive of all common shares reserved for issuance pursuant to previously granted stock options. The exercise price of options granted under the Plan will not be less than the closing market price of the Company’s common shares on the CSE. The options have a maximum term of five years from the date of issuance. The following is a summary of the changes in the Company’s stock options for the years ended November 30, 2025 and 2024: 2025 2024 Number of options Weighted average exercise price Number of options Weighted average exercise price $ $ Outstanding, beginning and end of year 250,000 0.11 250,000 0.11 The weighted average remaining life for the outstanding and exercisable options at November 30, 2025 is 0.11 years (2024 – 0.89 years). RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian Dollars) 5. CONVERTIBLE DEBENTURE On August 20, 2019, the Company issued a convertible debenture for proceeds of $500,000 to a third party. The debenture is unsecured, bears interest at 5% per a --- nnum, and the principal and interest under the debenture is convertible at the election of the debenture holder at any time at a conversion price of $0.15 per share, subject to conventional anti-dilution adjustments and to certain escrow release conditions. The Company valued the equity component of the debenture using the residual method and prorated the liability and equity portion accordingly. Under this method, the fair value of the liability component was calculated using an estimated market rate, 15%, for similar debt without warrants or a conversion feature. The liability component at inception was calculated to be $418,715 and the equity component was $81,285. On March 25, 2021, the Company amended the terms of the debenture that extended the maturity date to August 19, 2022 and reduced the conversion price to $0.07 per share, which resulted in an adjustment to the equity component to $478,386. On a go forward basis, the amending agreement calls for an automatic one year extension of the convertible debenture until full repayment of the outstanding debenture. Liability Component $ Balance, May 31, 2024 489,955 Accretion of debt component 43,421 Modification of debenture (43,500) Balance, May 31, 2025 489,876 Accretion of debt component 21,859 Modification of debenture (45,247) Balance, November 30, 2025 466,488 As at November 30, 2025, the Company owes $157,396 (2024 - $132,396) of accrued interest. During the six months ended November 30, 2025, the Company incurred $12,534 (2024 - $12,534) of accrued interest, which is included in accounts payable and accrued liabilities. 6. INTANGIBLE ASSETS During the three months ended May 31, 2022, the Company recorded an impairment loss on intangible assets of $446,599 as the Company was unable to identify a tangible market for both its Zoompages and Chatvertizer assets. As at November 30, 2025, the carrying value of the Company’s intangible assets was $1 (2024 - $1). RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian Dollars) 7. RELATED PARTY TRANSACTIONS Key management personnel include those persons having authority and responsibility for planning, directing and controlling the activities of the Company as a whole. The Company has determined that key management personnel consist of executive and non-executive members of the Company’s Board of Directors and Corporate Officers. The remuneration of key management for the years ended November 30, 2025 and 2024 are as follows: 2025 $ 2024 $ Consulting 25,200 27,009 Professional fees (737) 18,273 As at November 30, 2025, the Company owed $3,000 (2024 - $4,500) to the Chief Executive Officer of the Company, which has been included in accounts payable and accrued liabilities. The amount owing is unsecured, non-interest bearing, and due on demand. 8. RISK MANAGEMENT (a) Credit Risk Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. Credit risk for the Company is associated with its cash. The Company limited exposure to credit risk by maintaining its cash with a large financial institution in Canada. (b) Foreign Exchange Rate Risk Foreign exchange rate risk is the risk that the fair value of the Company’s financial instruments will fluctuate because of changes in foreign currency exchange rates. The Company is not materially exposed to significant foreign currency risks. (c --- ) Interest Rate Risk The Company’s exposure to interest rate risk is limited, as it does not carry any debts with variable interest rates. (d) Liquidity Risk Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with financial liabilities that are settled by delivering cash or another financial asset. As at November 30, 2025, the Company has cash of $130,928 (2024 - $226,430) available to offset against current obligations of $635,983 (2024 - $612,105). The Company’s accounts payable and accrued liabilities have contractual maturities of less than 30 days and are subject to normal trade terms. The Company’s convertible debenture of $500,000, as well as accrued interest of $157,396 will mature on August 19, 2026. RADIAL RESEARCH CORP. Notes to the Financial Statements For the years ended November 30, 2025 and 2024 (Expressed in Canadian Dollars) 9. CAPITAL MANAGEMENT The Company’s primary sources of funds come from the issuance of common shares and a convertible debenture. The Company does not use other sources of financing that require fixed payments of interest and principal due to lack of cash flow from current operations and is not subject to any externally imposed capital requirements. The Company’s objective when managing capital is to safeguard the Company’s ability to continue as a going concern and to further develop its technology. The Company defines its capital as shareholders’ equity and convertible debentures. Capital requirements are driven by the Company’s general operations. To effectively manage the Company’s capital requirements, the Company monitors expenses and overhead to ensure costs and commitments are being paid. There have been no changes to the Company’s approach to capital management during the six months ended November 30, 2025. 10. SEGMENTED INFORMATION The Company’s business consists of one reportable segment, the development of online and download technologies and services, and all of the Company’s assets are located in Canada.