TALLY CENTRAL LTD

("Tally" or the "Company")

Final Results & AGM

16 December 2022

Tally Central Ltd, the money innovator and developer and operator of the Tally full-reserve non-fiat monetary system and physical-gold digital money, tally®, is pleased to present its audited financial results for the financial year ending 30 June 2022.

AGM

Notice of the Company's AGM has gone out to all members. The Company's AGM has been set for Friday 30 December 2021 where, amongst other resolutions, the accounts will be received and, if thought fit, accepted.

The notes to the financial statements are available to view in the Company's annual report, which is available to view on the Company's website www.tallymoney.com/investors/reports

Chief Executive Officer's Report

I am pleased to provide the following report on the financial year ended 30 June 2022 for Tally Central Ltd ("Tally Central" or "Company"). This was a pivotal period as the Company's scope expanded from its early proof of concept, to building out a developed vision of a MaaS (Money as a Service) platform technology and proof of business.

Tally Central's currency product and UX (user experience) is unique for easy access savings accounts, everyday payments, remittance and retail gold investment. Tally Accounts are the first in the world to have individual customer IBANs (International Bank Account Numbers) and be denominated in a currency that is not issued by a government. Every unit of the currency tally^® = 1 milligram of ethically-sourced 1 kilo bars of physical gold from LBMA (London Bullion Market Association) accredited brokers and vaulters. The Company's gold-based full-reserve monetary system works independently to the debt-based fiat-currency banking system, whilst operating seamlessly with its global payments infrastructure.

During the financial year, the Company continued to grow its operational capabilities and headcount which increased costs. Through refinements to the B2C retail pricing model and the macroeconomic backdrop of increasing inflation, the Company saw a significant increase over the second half of the period in customer onboarding, account activation and deposits made. Revenues more than doubled over the period, in part due to the introduction of one-off account activation fees and now recognising the additional revenue stream of margin revenue. The Company is on track to grow revenues at a higher rate post year end. The Company made good progress during the year towards completing negotiations to sell some of its non-current assets to convert into current assets, which are anticipated to complete in the financial year post the reporting period.

In addition to its core business as a Non-Bank Financial Institution and global currency provider, Tally Central owns equity investment shares in three companies: BaaS (Banking as a Service) fintech company Railsbank Technology Ltd ("Railsr"), India's leading private gold exploration company Geomysore Services India Pvt Ltd ("Geomysore"), and Finland gold exploration company Kalevala Gold Oy ("Kalevala"). In the first half of the reporting period Tally Central completed the sale of approximately half of its remaining shareholding in Railsr, injecting net proceeds of £2.75m and increasing Tally Central's total cash return from its original £1.27m investment in early 2018 to over £5 million, with approximately one quarter of the original holding remaining.

During the period, Tally Central entered into an agreement to sell its shareholding in Geomysore to Bombay Stock Exchange-listed Deccan Gold mines Ltd ("Deccan") that, subject to regulatory permissions, would see Tally's investment asset converted into Deccan shares that can be valued mark-to-market. That transaction did not complete, however post year end the two parties have been negotiating new terms for a transaction to complete through a simpler and shorter process that is expected to complete within three months of the date of this report. Tally Central has also been in negotiations with Deccan for the sale of its shares in Finnish gold exploration private company, Kalevala Gold Oy, and those negotiations are ongoing.

Board changes during the period

In line with the Company's increasing need for specialist engineering knowledge at the top level for technology strategy, build and rollout of its platform technology "Teco" (short for Tally EcoSystem), the Company's CTO, Mr Arun Ranganathan, was appointed to the board of Tally Central on 10 June 2022.

Mr Ranganathan joined Tally Central in January 2021 and has over twenty years of experience in digital transformation, SaaS, mobile, banking, and payments, across startups, scale-ups, and large corporates. His previous roles include: CTO at Oakam, CIO at Fuel3D, and Director of Engineering at WEX.

Key financials

The loss after tax for the year was (£3,397,868) compared to a profit of £1,293,549 for the year ending 30 June 2021.

As at 30 June 2022, the Group's cash balances of £175,800 and own gold holdings of £137,183 totalled £312,983 (2021: £253,564).

The Company started the financial year with 668,064,392 shares in issue. Tally issued 68,929,587 new ordinary shares at 2p each during the year increasing the total shares on issue to 736,993,979 representing an indicative company valuation of £14.7m at the end of the period (up 10% from £13.4m as at 30 June 2021). The new issue of shares comprised subscriptions for £60,000 at 2p each for 3m shares, and 3m warrants at 2x the IPO price within three years from IPO date, as part of the end of a capital raising round that commenced prior to the start of the reporting period. In addition, the Company issued 929,587 shares at 2p each worth a total £18,592 to three employees following a cash bonus which was re-invested for these shares. New shares issued during the period included an investment of £1.3m at 2p per share made on 31 December 2021 by Yarramen Corp Limited, a company owned by the family trust of Tally CEO & Founder, Cameron Parry, which was funded by a loan from Tally Central repayable by 31 October 2025 with monthly interest payable calculated at 2% p.a., for the sole purpose of participating in the placing of 65 million shares and 65 million warrants on the same terms and conditions as Tally's other funding round completed during the reporting period. The loan is secured by the total 100,545,988 Tally shares and 600,100 shares in Railsbank Technology Ltd ("Railsbank") held by the CEO and his family trust.

During the reporting year, Tally Central sold 2,724,400 (27,244 pre sub-division) Railsbank shares (30 June 2021 holding: 5,724,400 shares) for a total gross cash consideration of $3,827,638 (£2,746,189) before costs. The price per share achieved on the September 2021 disposal of $1.404947 was 1,112% higher than the original investment cost ($0.1263 post sub-division) in early 2018. The Company still holds 3,000,000 of its original holding of 13,080,000 (post sub-division) shares that, based on the Company's last sale price at a 20% discount, is shown at a current value of £2,107,440.

During the period, Tally Central Ltd entered into an agreement to sell its shareholding in Geomysore Services (India) Pvt Ltd ("Geomysore") to Bombay Stock Exchange-listed Deccan Gold Mines Limited ("Deccan"). However completion did not occur under the initially proposed structure and process. Post year end, Tally Central agreed to sell its shareholding in Geomysore to Deccan for new ordinary shares in Deccan as part of a new transaction and completion is expected to occur within three months of the date of this report. The value of Tally Central Ltd's shares in Geomysore has not been revised in Tally's balance sheet at this stage (see Note 9 for further information).

Tally Central Ltd is in talks with Deccan to acquire its shareholding in Finnish gold exploration company Kalevala Gold Oy and an independent valuation report is currently underway with a view to completing a sale, to be paid for in Deccan shares, within three months of the date of this report.

The Company is continuously monitoring the rate of cash usage to ensure a balance between investment in technology and product development, talent and marketing, and having sufficient working capital to achieve business and corporate objectives.

During the period Tally Central continued development of its proprietary platform technology "Teco" as well as releasing a market leading 1-year fixed rate savings product paying 2% p.a. on the GBP value, for the UK market.

Tally Central's AGM was held on 30 December 2021 with all resolutions unanimously passed, including approval of the change of name from Tally Ltd and adoption of new articles of association suitable for a standard listing of the Company on the Main Market of the London Stock Exchange in 2023.

Investment Assets

Extract from the Tally Central Ltd balance sheet as at 30 June 2022

2022 2021

Railsbank Limited 2,107,440 5,770,181

Geomysore Services India Pvt Ltd (shown as held for sale) 3,298,584 3,297,415

Kalevala Gold Oy (shown as held for sale) 594,251 594,251

6,000,275 9,661,847

Outlook

We believe people should be able to hold their money in an everyday account that maintains its value and remains in their control. This is fundamental to individual financial health and promotes savings and productivity in society.

Since the start of 2022, inflation in the UK has climbed by 1% per month on average and as at the date of this report, sits at around 11% (over five-fold the central bank's 2% target). The Bank of England started raising interest rates in an attempt to curb inflation but only at a velocity of a quarter of rising level of inflation and as at the date of this report the official UK bank rate was 3%. Most banks don't pass on the full interest rate to their customers, but even if they did the real interest rate (the CPI inflation rate less the official bank rate) is negative 8%. This is a detrimental environment for savers. Tally offers a standalone full-reserve monetary system using physical asset-based money, that works seamlessly with the fractional-reserve banking system of debt-based fiat money. Tally is leading the evolution of private sector-designed currencies available through everyday banking accounts that is giving consumers, for the first time, a real choice in the quality of money they can use for their savings and everyday payments.

Tally Central Ltd continues to be funded through investment capital and generating returns on its investments. With the injection of £2.73m from the sale of part of Tally's Railsbank shareholding during the financial year (following the approx. £1.9m sold the previous financial year), as at the date of this report Tally has received in cash over four times its original £1.27m investment (completed in February 2018), and it retains circa one quarter of its original shareholding. Since the year end, Tally Central has successfully raised £694,000 in a pre-IPO round. Tally also holds significant gold exploration assets that are both nearing a sale completion to convert them from non-current assets to listed shares that can be marked-to-market as current assets. Concurrent to this process the Company intends to continue to raise capital pre-IPO, as part of completing a standard listing of the Company on the London Stock Exchange in 2023.

On behalf of the Board, I would like to thank shareholders for their ongoing support and patience as we develop Tally Central to be IPO-ready. And I'd like to thank our team at Tally, whose efforts and commitment to our shared mission make Tally's full-reserve monetary system and platform technology a compelling mainstream alternative to fiat currency and the fractional-reserve banking system.

Cameron Parry

Chief Executive Officer

15 December 2022

Board of Directors

Cameron John Parry (aged 48) (Chief Executive Officer)

Cameron Parry is the founder of the tally^® physical gold digital currency and asset-based full-reserve monetary system and platform technology. He is a serial innovator and chief executive of quoted public companies who has built numerous start-ups, private and stock market-listed companies across industries including: financial technology, mining & exploration, life sciences and agribusiness.

Mr Parry was the founder and inaugural CEO of natural resources investing company Metal Tiger PLC (LSE: MTR) and co-founder and inaugural Executive Chairman of Coinsilium Group Ltd (NEX: COIN) - which he led to become the world's first blockchain industry company to list on a recognised investment exchange (Dec 2015). He created the vertically integrated gold company Lionsgold (LSE:LION), that evolved to become Tally Central Ltd and he is Joint-CEO and a major shareholder of 36-year-old London Stockbroking firm, First Equity Limited. First Equity is regulated by the Financial Conduct Authority ("FCA" Licence No. 124394) and Mr Parry is an FCA-approved person for relevant control functions (FCA reference number CJP01234).

Michael Paul Joseph (aged 51) (Non-Executive Director)

Michael Joseph is a highly successful entrepreneur and the CEO of Lucida Group, the parent company of Right Choice Insurance Brokers Ltd ("RCIB") which he founded, growing it to over £100m per year premium income and £10m earnings before tax. Under his leadership, the group has acquired a number of best-in-class businesses and now employs over 600 staff, providing insurance to in excess of 500,000 customers annually.

RCIB's business is underpinned by its own purpose-built data technology platform and the competitive advantage it delivers. In June 2018, Lloyds Bank private equity division ("LDC") invested £28m at a valuation well in excess of £100m. RCIB is regulated by the Financial Conduct Authority ("FCA" reference number 475620) and Mr Joseph is an FCA-approved person for relevant control functions (FCA reference number 01051). Mr Joseph is a member of the Bank of England, Decision Maker Panel.

Alan John Bruce Davies (aged 52) (Non-Executive Director)

Alan Davies is a renowned global executive and CEO of copper mining and natural resources company Moxico Resources PLC and Non-Executive Director of ASX-listed company, ioneer Limited. He is the former Chief Executive of Energy & Minerals at FTSE-100 company, Rio Tinto PLC ("Rio Tinto"), and has more than twenty years' experience in operational and strategic development in the global mining industry, including over ten years of direct project responsibility in India for Rio Tinto.

Mr Davies is a former Non-Executive Director of FTSE-100 company Rolls Royce Holdings PLC and he holds a Bachelor of Business, Bachelor of Laws, a Master of Laws and is a Fellow of the Chartered Accountants in Australia and New Zealand.

Arun Ranganathan (aged 47) (Executive Director)

Arun Ranganathan is a driven platform technology developer. His expertise spans digital transformation, SaaS, mobile, banking, and payments and he has worked in start-ups, scale-ups and large corporates, spending years of his career in each of Bangalore, Dublin and London. He holds a double degree from the prestigious Birla Institute of Technology & Science in India.

Mr Ranganathan was formerly Director of Engineering at WEX and was CIO at the Oxford University incubation project that became Fuel 3D. He was also previously CTO at microfinance firm, Oakam, and CTO and co-founder of a start-up targeting motorcycle enthusiasts, where he built a user platform that leveraged facebook technology. Over his career he has gained a unique understanding of synergies and the potential for connectivity between fintech and social media platform services.

Directors' Report

The Directors present their report together with the consolidated financial statements of the Group comprising Tally Central Ltd (previously Tally Ltd) ("the Company") and its subsidiaries for the year ended 30 June 2022 and the independent auditor's report thereon.

Performance review

The Group made a total comprehensive loss of (£3,398,447) during the year ended 30 June 2022 (2021: total comprehensive profit of £1,292,524).

Principal activities and future developments

The Group's principal activity is the provision of an asset-based full-reserve monetary system and platform technology with a physical gold digital currency (tally^®). The platform enables the monetary ecosystem to instantly and seamlessly operate with the government-issued fractional-reserve fiat currency through mainstream banking infrastructure and point-of-sale merchant facilities and ATMs. Tally Central Ltd is a global currency provider and the currency tally^® is designed for distribution as a B2B2C product as well as offering its own retail everyday accounts operated via the Company's smartphone app and Mastercard^®debit card.

Subsequent events

Post year end, Tally Ltd raised an additional £694,000 in a current pre-IPO funding round, at 3p per share, increasing the total shares on issue to 760,127,312 at the date of this report, representing a company valuation based on 3p per share of £22.8m.

A memorandum of understanding was entered into with BSE-listed Deccan Gold Mines Ltd on the 19^th of October 2022, whereby Tally has agreed to sell its 810 shares in Kalevala Gold OY to Deccan Gold Mines Ltd, to be paid for by the issuance of new fully paid ordinary shares in Deccan at a value to be confirmed following completion of an independent valuation report. Although there can be no guarantee of a successful completion, the sale is expected to complete by the end of February 2023.

The Company holds 3,000,000 shares in Railsbank Technology Ltd, a UK-based Banking-as-a-Service provider. Post year end, Railsbank completed a Series C equity round with existing shareholders at a discount to their Series B round in 2021, and the carrying value of the Tally's shareholding in Railsbank has been impaired in the financials for the year ended 30 June 2022.

The board of BSE-listed Deccan Gold Mines Ltd has agreed to buy Tally's 260,648 shares in Geomysore Services (India) Pvt Ltd at 1,607 rupees each (a 24% uplift on cost price), to be paid for by the issuance of 12,666,388 new fully paid ordinary shares in Deccan. The transaction is subject to Deccan shareholder approval at an EGM to be held on 23 December 2022 and therefore the value in the balance sheet is unchanged as at the year end.

As part of plans to consolidate the group structure and remove redundant entities, the wholly owned subsidiary of TallyMoney Ltd, The Real Asset Co. Limited, was dissolved on the 9^th of August 2022.

No further subsequent events took place which require disclosure in these consolidated financial statements.

Principal risks and uncertainties

The Group is exposed to a variety of financial risks including foreign exchange risk, market risk, liquidity risk, tax risk and credit risk. These risks are discussed in detail in Note 2.

Financial instruments and associated risks

The Board of Directors is committed to effective risk management and is responsible for ensuring that the Group has an appropriate framework in place to identify and effectively manage business risks and to monitor business performance and the Group's financial position. The Board is also responsible for overseeing compliance with regulatory, prudential, legal and ethical standards. These risks are discussed in detail in Note 16.

Directors' Report (Cont'd)

Accounting policies

The accounting policies of the Group as set out on pages 18 to 27 have been applied consistently during the year.

Dividends

No dividends have been paid and the Directors do not recommend the declaration of a dividend for the year ended 30 June 2022 (2021: nil).

Directors' remuneration and interests

2022	Remuneration			Interests
Director	Cash-based payments	Share-based payments	Totals	Shares	Options
	£	£	£	No.	No.
Cameron Parry* (Chief Executive Officer)	172,939	-	172,939	100,545,988	10,000,000
Michael Joseph**	-	-	-	53,525,000	-
Alan Davies***	-	-	-	14,600,000
Arun Ranganathan	149,243	20,000	169,243	566,087	-
	322,182	20,000	342,182	169,237,075	10,000,000

Refer to section 13 for warrants held by Directors.

* Cameron Parry invested cash of £5,000 during the financial year for 250,000 new ordinary shares and 250,000 IPO warrants (2021: cash invested £30,000). In addition, Yarramen Corp Limited, a company owned by the family trust of Cameron Parry, invested £1.3m at 2p per share, which investment was funded by a loan from Tally, for the sole purpose of participating in the placing of 65 million shares and 65 million warrants. The loan is repayable by 31 October 2025 and interest is charged on the outstanding amount at 2% p.a. and paid monthly.

** Michael Joseph is to be paid £110,000 (including the £80,000 recorded at year end June 2021) in shares for the 44-month period to end of June 2022 that he acted as NED, contingent upon, and only in the event of, the Company relisting on a recognised investment exchange, calculated at the IPO price per share.

*** Alan Davies is to be paid £40,000 (including the £10,000 recorded at year end June 2021) in shares for the 16-month period to end of June 2022 that he acted as NED, contingent upon, and only in the event of, the Company relisting on a recognised investment exchange, calculated at the IPO price per share.

2021	Remuneration			Interests
Director	Cash-based payments	Share-based payments	Totals	Shares	Options
	£	£	£	No.	No.
Cameron Parry* (Chief Executive Officer)	124,000	-	124,000	35,295,988	10,000,000
Ralph Hazell**	21,333	-	21,333	35,043,836	-
Michael Joseph***	-	-	-	53,525,000	-
Alan Davies****	-	-	-	14,600,000	-
	145,333	-	145,333	138,464,824	10,000,000

* Cameron Parry invested cash of £30,000 during the financial year for 1,500,000 new ordinary shares and 1,500,000 IPO warrants (2020: cash invested £50,000).

** Shares held in the name of Ralph Hazell's wife were transferred during the period into Ralph Hazell's name.

*** Michael Joseph is to be paid £80,000 (including the £35,000 to Dec 2019 recorded at year end June 2020) in shares for the 32-month period to end of June 2021 that he acted as NED, contingent upon, and only in the event of, the Company relisting on a recognised investment exchange, calculated at the IPO price per share.

**** Alan Davies is to be paid £10,000 in shares for the 4-month period to end of June 2021 that he acted as NED, contingent upon, and only in the event of, the Company relisting on a recognised investment exchange, calculated at the IPO price per share.

No new options were issued during the year (2021: nil). No options were exercised during the year (2021: nil). Refer to section 13 for new warrants subscribed for by Directors.

Directors' Report (Cont'd)

The above remuneration relates to Tally Central Ltd Directors only. The Key Management Personnel remuneration disclosed in Note 19 to the financial statements includes payments to other Key Management Personnel.

Results for the year and financial position as at 30 June 2022

The Consolidated Statement of Comprehensive Income and the Consolidated Statement of Financial Position are set out on pages 12 and 13 of the financial statements.

Accounting records

The Directors believe that they have complied with the requirements of Section 244 of the Companies (Guernsey) Law 2008, as amended with regards to the financial statements by employing appropriate expertise and providing adequate resources to the financial function within the Group.

Statement of Directors' responsibilities

The Directors are responsible for preparing the Directors' Report and the financial statements in accordance with applicable law and regulations.

Companies (Guernsey) Law 2008, as amended require the Directors to prepare financial statements for each financial year. Under that law they have elected to prepare the financial statements in accordance with International Financial Reporting Standards as adopted by the EU and applicable law.

The financial statements are required by law to give a true and fair view of the state of affairs of the Group and of the profit or loss of the Group for the year.

In preparing these financial statements, the Directors are required to:

■ select suitable accounting policies and then apply them consistently;

■ make judgements and estimates that are reasonable and prudent;

■ state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

■ prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group will continue in business.

The Directors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Group and to enable them to ensure that the financial statements comply with the Companies (Guernsey) Law 2008, as amended. They have general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the Group and to prevent and detect fraud and other irregularities.

The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company's website. Legislation in the United Kingdom governing the preparation and dissemination of the financial statements may differ from legislation in other jurisdictions.

Directors' confirmation

The Directors confirm that they have complied with the requirements in preparation of the financial statements as at the date of approval of this report. So far as the Directors who held office at the date of approval of this Directors' Report are aware, there is no relevant audit information of which the Group's auditor is unaware, having taken all the steps the Directors ought to have taken to make themselves aware of any relevant audit information and to establish that the Group's auditor is aware of that information.

Directors' Report (Cont'd)

Going concern

These financial statements have been prepared on the basis of accounting principles applicable to a going concern. The Directors consider that the Group will have access to adequate resources, as set out below, to meet operational requirements for at least 12 months from the date of approval of these financial statements as well as the Group's remaining commitments to investments. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

The Group's source of operating cash inflows for the financial year are account keeping and joining/activation fees, margin revenue, mastercard interchange revenue and interest income. The Group has incurred net operating cash outflows for the year ended 30 June 2022 of £2,067,839 (2021: outflow of £1,108,753). At 30 June 2022, the Group had cash of £175,800 (2021: £200,680), gold holdings of £137,183 (2021: £52,884) and net current assets (current assets, including cash, less current liabilities) of £3,914,734 (2021: net current assets of £445,714).

Tally Central Ltd conducted a pre-IPO capital raise of £694,000 and is concurrently finalising terms on the sale of two of its non-core non-current assets, being equity interests in gold exploration companies in India and Finland, for shares in a listed entity that can be marked-to-market as current assets and accessed to support working capital requirements if needed. Although there can be no guarantee of a sale being completed or that the Company will be able to raise sufficient capital pre-IPO, the Company has historically generated sufficient working capital periodically through equity capital raises and/or selling assets held for sale, to fund ongoing operations.

On behalf of the Board

_____________________________________

Cameron Parry - Director

15 December 2022

Tally Central Ltd and its controlled entities

Consolidated Statement of Comprehensive Income

for the year ended 30 June 2022

		Group
	Note	2022 £	2021 £
Continuing operations
Revenue	10	125,203	59,685
Administrative expenses		(2,817,398)	(1,649,767)
Loss from operating activities		(2,692,195)	(1,590,082)

Finance income		13,037	195
Finance costs	4	(30,463)	(71,093)
Net financing costs		(17,426)	(70,898)

Share of loss of associate	8	(13,826)	(30,219)
Fair value adjustment on assets held for sale	8	-	(4,183)
Net (loss)/ gain on investments	8	(930,287)	3,089,935
Gain/(loss) on financial assets at fair value through profit or loss	9	101,407	(30,807)
Impairment of goodwill		-	(178,719)
Profit/(loss) before tax		(3,552,327)	1,185,027
Income tax	5	154,459	108,522
Profit/(loss) for the year		(3,397,868)	1,293,549
Other comprehensive loss Items that may be reclassified subsequently to profit or loss Foreign exchange translation		(579)	(1,025)
Total comprehensive profit/(loss) for the year		(3,398,447)	1,292,524
Basic earnings/(loss) per share (p)	15	(0.48)	0.20
Diluted earnings/(loss) per share (p)	15	(0.48)	0.18

The notes on pages 18 to 48 are an integral part of the consolidated financial statements.

Tally Central Ltd and its controlled entities

Consolidated Statement of Financial Position

as at 30 June 2022

		Group
	Note	2022 £	2021 £
Non-current assets
Intangible assets	6	1,303,105	1,125,621
Tangible assets	7	25,037	20,637
Right of use asset	17	143,583	59,287
Other receivables	11	1,722,500	-
Investment in associates	8	-	3,297,415
Investments at fair value through profit or loss	8	2,107,440	5,770,181
Total non-current assets		5,301,665	10,273,141

Current assets
Assets classified as held for sale	8	3,892,835	594,251
Financial assets at fair value through profit or loss	9	137,183	52,884
Trade and other receivables	11	525,356	63,802
Cash and cash equivalents		175,800	200,680
Total current assets		4,731,174	911,617

Total assets		10,032,839	11,184,758

Current liabilities
Trade and other payables	12	719,057	425,569
Lease liabilities	17	97,383	40,334
Total current liabilities		816,440	465,903

Non-current liabilities
Deferred Income	12	475,202	-
Lease liabilities	17	50,177	20,880
Total non-current liabilities		525,379	20,880

Total net assets		8,691,020	10,697,975

Equity
Share capital	14	-	-
Share premium	14	32,074,279	30,699,730
Reserves	14	21,901	22,480
Share Based Payment Reserve	14	68,295	51,352
Accumulated losses		(23,473,455)	(20,075,587)
Total equity		8,691,020	10,697,975

These financial statements were approved by the Board of Directors on the 15 December 2022 and were signed on its behalf by:

Cameron Parry

Director

The notes on pages 18 to 48 are an integral part of the consolidated financial statements.

Tally Central Ltd and its controlled entities

Consolidated Statement of Changes in Equity

for year ended 30 June 2022

	Share capital	Share premium	Share based payment reserve	Foreign exchange translation reserve	Shares to be issued reserve	Accumulated losses	Total equity
	£	£	£	£	£	£	£

Balance at 30 June 2021	-	30,699,730	51,352	22,480	-	(20,075,587)		10,697,975

Loss for the year	-	-	-	-	-	(3,397,868)		(3,397,868)
Other comprehensive loss - foreign exchange translation	-	-	-	(579)	-	-		(579)

Total comprehensive income for the year	-	-	-	(579)	-	(3,397,868)		(3,398,447)

Issue of shares	-	1,378,592	-	-	-	-		1,378,592
Cost of issue	-	(3,300)	-	-	-	-		(3,300)
Issue of warrants	-	(743)	16,943	-	-	-		16,200


Total contributions by and distributions to owners	-	1,374,549	16,943	-	-	-		1,391,492

Balance at 30 June 2022	-	32,074,279	68,295	21,901	-	(23,473,455)		8,691,020

The notes on pages 18 to 48 are an integral part of the consolidated financial statements.

Tally Central Ltd and its controlled entities

Consolidated Statement of Changes in Equity

for year ended 30 June 2021

	Share capital	Share premium	Share based payment reserve	Foreign exchange translation reserve	Shares to be issued reserve	Accumulated losses	Total equity
	£	£	£	£	£	£	£

Balance at 30 June 2020	-	30,017,276	-	23,505	-	(21,369,136)		8,671,645

Profit for the year	-	-	-	-	-	1,293,549		1,293,549
Other comprehensive loss - foreign exchange translation	-	-	-	(1,025)	-	-		(1,025)

Total comprehensive income for the year	-	-	-	(1,025)	-	1,293,549		1,292,524

Issue of shares	-	714,133	-	-	-	-		714,133
Cost of issue	-	(25,200)	-	-	-	-		(25,200)
Issue of warrants	-	(6,479)	51,352	-	-	-		44,873


Total contributions by and distributions to owners	-	682,454	51,352	-	-	-		733,806

Balance at 30 June 2021	-	30,699,730	51,352	22,480	-	(20,075,587)		10,697,975

The notes on pages 18 to 48 are an integral part of the consolidated financial statements.

Tally Central Ltd and its controlled entities

Consolidated Statement of Cash Flows

For the year ended 30 June 2022

	Note	2022	2021
		£	£
Cash flows from operating activities
Profit/(loss) for the year		(3,397,868)	1,293,549
Adjustments for:
Depreciation	7,17	104,524	44,698
Amortisation	6	465,116	289,540
Share of loss of associate	8	13,826	30,219

Fair value adjustment	8	-	4,183
Fair value movement on investments and financial assets	8,9	828,880	(3,059,128)
Share based payments to consultants / employee	13	16,200	49,873
Net financing charge	4	17,426	70,898
Impairment of goodwill		-	178,719
Foreign exchange variances		(579)	(1,025)

Operating loss before changes in working capital and provisions		(1,952,475)	(1,098,474)
Change in trade and other receivables	11	(884,054)	9,014
Change in trade and other payables	12	768,690	(19,293)
Net cash used in operating activities		(2,067,839)	(1,108,753)

Cash flows from investing activities
Net financing charge		(17,426)	(70,898)
Acquisition of intangible assets	6	(642,600)	(500,929)
Acquisition of tangible assets	7	(13,203)	(14,624)
Acquisition of financial assets at fair value	9	17,108	(23,104)
Investments in assets classified as held for sale / associates	8	(14,995)	(35,100)
Exceptional costs	8	(13,735)	(28,859)
Disposal of investments at fair value	8	2,746,189	1,923,927
Net cash from investing activities		2,061,338	1,250,413

Cash flows from financing activities
Proceeds from the issue of shares	14	78,592	573,041
Cost of issue	14	(3,300)	(25,200)
Repayment of loan facility		-	(506,250)
Repayment of lease liabilities	17	(93,671)	(38,507)
Net cash from financing activities		(18,379)	3,084
Net increase/(decrease) in cash and cash equivalents		(24,880)	144,744
Cash and cash equivalents at 1 July		200,680	55,936
Cash and cash equivalents at 30 June		175,800	200,680

Significant non-cash transactions

Yarramen Corp Limited, a company owned by the family trust of Cameron Parry, invested £1.3m at 2p per share, which investment was funded by a loan from Tally and secured by the CEO's total share and warrant holdings in the company, along with his entire holding of Railsbank shares, for the sole purpose of participating in the placing of 65 million shares and 65 million warrants.

The notes on pages 18 to 48 are an integral part of the consolidated financial statements.

The notes to the financial statements are available to view in the Company's annual report, which is available to view on the Company's website www.tallymoney.com/investors/reports

For further information or to register for the Company's online monthly shareholder Q&A events, please contact our office via [email protected]

Enquiries:

Cameron Parry (Chief Executive Officer)

Tel: +44 (0)20 3490 6210

[email protected]

www.tallymoney.com

About TALLY

· Tally Central Ltd is the monetary authority and innovator behind the full-reserve payments platform and physical-asset digital money, tally®, that operates seamlessly with government-issued fiat currency (e.g. pounds, euros, dollars) and the fractional-reserve banking network.

· Each unit of tally® = 1 milligram of LBMA-accredited gold vaulted in Switzerland with Brinks® on behalf of the customer and utilised by the customer via their Tally Account with individual IBAN (International Bank Account Number) and contactless Tally debit Mastercard®.

· tally® is not a fiat currency and tally® is not a cryptocurrency.

· Tally's platform technology enables customers to use physical gold as spendable money and save, send and spend physical asset value in real time.

· Tally's wholly owned UK subsidiary company, TallyMoney Ltd, is a recognised E-Money Directive Agent (FCA Ref. No. 902059) under Financial Conduct Authority-licensed E-Money Institution, PayrNet Limited (FCA Ref No. 900594).

· The Tally App is available on iPhone and Android by searching TallyMoney on the Apple App Store or Google Play Store.

· Tally Central Ltd currently holds shares as investment assets in UK-based Banking-as-a-Service fintech Railsbank Technology Ltd, India's leading private gold exploration company Geomysore Services (India) Pvt Ltd and Finland gold exploration joint venture company Kalevala Gold Oy.

Performance review

Principal activities and future developments

Financial instruments and associated risks

Accounting policies

Dividends

2022

Remuneration

Interests

Director

Cash-based payments

Share-based payments

Totals

Shares

Options

£

£

£

No.

No.

Cameron Parry* (Chief Executive Officer)

172,939

-

172,939

100,545,988

10,000,000

Michael Joseph**

-

-

-

53,525,000

-

Alan Davies***

-

-

-

14,600,000

Arun Ranganathan

149,243

20,000

169,243

566,087

-

322,182

20,000

342,182

169,237,075

10,000,000

2021

Remuneration

Interests

Director

Cash-based payments

Share-based payments

Totals

Shares

Options

£

£

£

No.

No.

Cameron Parry* (Chief Executive Officer)

124,000

-

124,000

35,295,988

10,000,000

Ralph Hazell**

21,333

-

21,333

35,043,836

-

Michael Joseph***

-

-

-

53,525,000

-

Alan Davies****