Hollywall Entertainment : Financial Statements and Footnotes for the Period Ending June 30, 2022

HOLLYWALL ENTERTAINMENT, INC.

FINANCIAL STATEMENTS

FOR THE QUARTER

ENDING 6/30/2022

Hollywall Entertainment, Inc. and Subsidiaries

Consolidated Balance Sheets

				As of
			6/30/2022			6/30/2021
ASSETS
Current Assets
Cash and Cash Equivalents		$	34,307		$	32,819
Total Current Assets		34,307			32,819
Property and Equipment, net		26,889			46,261
Intangibles, net		14,888,886			19,355,556
TOTAL ASSETS		$	14,950,082			19,434,635
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts Payable	$	27,158	$	77,180
Accrued Expenses		9,150			-
Convertible Notes Payable		305,000			-
Total Current Liabilities		359,673			77,180
TOTAL LIABILITIES		359,673			77,180
Commitments and Contingencies (Note 13)
STOCKHOLDERS' EQUITY
Preferred Stock, $0.001 par value, 200,000 shares
authorized, 99,391 issued and outstanding		99			99
Common Stock, $0.001 par value; 300,000,000 shares
authorized, 92,253,145 and 89,806,357 issued and
outstanding at March 31, 2022 and 2021, respectively		92,253			92,511
Common Stock to be Issued		777,358			1,253
Unearned Stock Compensation		(7,000)
Treasury Stock				(7,000)
Additional Paid-In Capital		66,291,992			66,117,871
Accumulated Deficit		(52,624,273)			(46,854,278)
Total Stockholders' Equity		14,530,429			19,357,456
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$	14,950,082		$	19,434,635

THE ACCOMPANYING FOOTNOTES ARE AN INTEGRAL PART OF THESE CONSOLIDATED FINANCIAL STATEMENTS

2

Hollywall Entertainment, Inc. and Subsidiaries

Consolidated Statements of Operations

				For the quarter ending
		6/30/2022				6/30/2021
REVENUE
Music Licensing Income	$	-			$	337,011
Lobbying Income			120,000				121,123
Total Revenue			120,000				458,134
OPERATING EXPENSES
Amortization Expense			2,233,333				2,233,333
Executive Management Compensation			101,388				264,087
General and Administrative Expenses			136,760			147,186
Professional Fees			208,155				156,274
Depreciation Expense			4,843				4,843
Total Operating Expenses			2,684,479				2,805,724
Loss from Operations			(2,564,479)			(2,347,590)
Other Income/(Expenses)
Interest Expense			9,150
Net Other Income/(Expenses)			9,150				-
Loss Before Taxes			(2,573,629)			(2,347,590)
Provision for income taxes			-				-
Net Loss	$	(2,573,629)		$	(2,347,590)
Basic and diluted loss per share	$	(0.03)		$	(0.03)
Weighted average number of shares outstanding, basic and diluted		92,253,145				91,991,607

THE ACCOMPANYING FOOTNOTES ARE AN INTEGRAL PART OF THESE CONSOLIDATED FINANCIAL STATEMENTS

3

Hollywall Entertainment, Inc. and Subsidiaries

Consolidated Statement of Cash Flows

		For the quarter ending
		6/30/2022			6/30/2021
OPERATING ACTIVITIES		(2,573,629 )
Net Loss	$	$	(2,347,590)
Adjustments to Reconcile Net Loss to Net Cash From Operating Activities:
Depreciation Expense		4,843			4,843
Amortization Expense		2,233,333			2,233,333
Stock Compensation
Changes in assets and liabilities:
Accounts Payable		-			19,295
Accrued Expenses		9,150			-
Net Cash From Operating Activities		(326,303)			(90,119)
CASH FLOWS FROM FINANCING ACTIVITIES					74,921
Paid in Capital		210,000
Payments on Convertible Notes Payable		-			(105)
			1,815
Common Stock to be Issued		-
			76,631
Net Cash From Financing Activities		210,000
Net Change in Cash and Cash Equivalents		1,488			(13,487)
Cash and Cash Equivalents, Beginning of Period		32,819			46,306
Cash and Cash Equivalents, End of Period	$	34,307		$	32,819
Supplemental Disclosure of Cash Flow Information:
Cash Paid for Interest		-			-
Cash Paid for Taxes		-			-

NON-CASH OPERATING AND FINANCING ACTIVITIES	1,440,000
Return and cancellation of shares issued in advance, but not earned	911,000

THE ACCOMPANYING FOOTNOTES ARE AN INTEGRAL PART OF THESE CONSOLIDATED FINANCIAL STATEMENTS

4

Hollywall Entertainment, Inc. and Subsidiaries

Consolidated Statements of Changes in Stockholders' Equity

	Preferred Stock	Common Stock	Common Stock to be Issued	Treasury Stock		Additional		Accumulated			Total
Balances as of December 31, 2019	Shares		Amount	Shares	Amount	Shares		Amount		Amount		Paid in Capital		Deficit		Stockholders' Equity
99,391		$	99	71,325,284	$ 71,325	7,503,607	$	2,068,250	$	-		$ 65,650,885		$ (39,725,598)		$	28,064,961
Common Stock issued for cash	-			-	100,000	100	105,250		105,250		-	124,900	-			230,250
Common stock issued for warrants exercised	-			-	3,000,000	3,000	-		-		-	(3,000)	-			-
Common Stock issued in advance of services	-			-	376,000	376	-		-		-	1,127,624	-			1,128,000
Common Stock issued for services	-			-	-	-	64,429		96,000		-	-	-			96,000
Accrued expenses converted to Common Stock	-			-	-	-	717,147		530,689		-	-	-			530,689
Notes Payable converted to Common Stock	-			-	1,383,000	1,383	-		-		-	804,521	-			805,904
Common Stock issued for executive management compensation	-			-	-	-	17,060		25,419		-	-	-			25,419
Common Stock issued from previous periods	-			-	7,512,073	7,512	(7,503,607)		(2,048,250)		-	2,040,738	-			-
Return and cancellation of shares issued in advance, but not earned	-			-	(900,000)	(900)	-		-		-	(2,285,100)	-			(2,286,000)
Shares issued to and held by wholly-owned subsidiary	-			-	7,000,000	7,000	-		-		(7,000)	-	-			-
Net Loss	-			-	-	-	-		-		-	-	(4,897,510)			(4,897,510)

Balances as of December 31, 2020		99,391	$	99	89,796,357	$	89,796	903,886	$	777,358	$	(7,000)	$	67,460,568	$	(44,623,108)	$	23,697,713
Common Stock issued for services		-		-	2,795,250		2,795	-		-		-		466,586		-		469,381
Return and cancellation of shares issued in advance, but not earned				(600,000)		(600)							(910,400)		-		(911,000)
Net Loss		-		-	-		-	-		-		-		-		(5,427,536)		(5,427.536)
Balances as of December 31, 2021		99,391	$	99	91,991,607	$	91,991	903,886	$	777,358	$	(7000)	$	67,016,754	$	(50.050,644)	$	17,828,558
Common Stock issued for services		-		-	261,538		262	-		-		-		305,238				305,500
Return and cancellation of shares issued in advance, but not earned				(480,000)		(480)							(1,439,520)				(1440,000)
Common Stock issued for capita;	-				480,000		480	-	-	-				409,520		-		41 0,000
Net Loss		-		-	-		-	-		-		-		-		(2,573,629)		(2,573,629)
Balances as of June 30, 2022		99,391	$	99	92,253,145	$	92,253	903,886	$	777,358	$	(7000)	$	66,291,992	$	(52,624,273)	$	14,530,429