Aura Smart Air Ltd

Annual / Quarterly Financial Statement • Mar 29, 2023

Aura Smart Air Ltd.

(the "Company")

This is an English translation of a Hebrew report of the company, that was published on March 27, 2023 (reference No. 2023-01-032781) at the ISA reporting website (magna.isa.gov.il) (hereafter: "The Hebrew Version"). The English version is only for convenience purposes. This is not an official translation and has no binding force. The translation in any case cannot perfectly reflect the Hebrew Version. In the event of any discrepancy between the Hebrew Version and this translation, the Hebrew Version shall prevail.

March 29, 2023

Attn: Attn: www.isa.gov.il www.tase.co.il

The Securities Authority The Tel Aviv Stock Exchange Ltd.

Aura Smart Air Ltd.

Consolidated Financial Statements as of December 31, 2022

Aura Smart Air Ltd. Consolidated Statements of Balance Sheet

		As of December 31
		2022	2021
	Note	USD Thousands	USD Thousands
Current Assets
Cash and cash equivalents	4	2,589	8,387
Short-term deposits	14 (1)	66	62
Customers	5	2,648	3,325
Receivables	6	1,338 3,202	959 2,130
Inventory	7	9,843	14,863
Total current assets
Non-current Assets
Right-of-use assets	8	74	196
Fixed assets, net	9	1,019	1,230
Intangible Assets	10	2,207	362
Deferred tax assets	16	–	568
Total non-current assets		3,300	2,356
Total assets		13,143	17,219
Current liabilities
Short-term loans	12	1,933	1,532
Suppliers and subcontractors		787	807
Current maturities of lease liabilities	8	56	111
Payables	11	1,290	881
Grants liabilitiy	13	262	600
Fixed assets liability	9	260	927
Employee benefit liabilities		25	33
Related parties		33	38
Total current liabilities		4,646	4,929
Non-current liabilities
Deferred tax liabilities	16	47	–
Long-term loans	12	2,447	–
Fixed assets liability	9	305	–
Lease liability	8	5	80
Grants liabilitiy	13	170	–
Total non-current liabilities		2,974	80
Equity
Share Capital	17,18	–	–
Shares premium		20,138	19,569
Capital reserves		1,392	959
Accumulated loss		(16,007)	(8,318)
Total equity		5,523	12,210
Total Liabilities and equity		13,143	17,219
			March 27, 2023
Ofer Blumenfeld Aviad Shneiderman Chief Financial Officer Chief Executive Officer	Yuval Bronstein Chairman of the Board of Directors	Date of approval of the financial statements

Aura Smart Air Ltd. Consolidated Statements of Profit and Loss

		For the year ended on December 31
		2022	2021	2020
	Note		USD thousands
Revenues		5,570	11,517	3,780
Cost of revenues	21	(4,288)	(8,843)	(2,950)
Gross profit		1,282	2,674	830
Research and Development Costs	22	(656)	(1,355)	(928)
Sales and marketing expenses	23	(3,664)	(2,946)	(498)
Administrative and General Expenses	24	(3,734)	(2,834)	(748)
Listing expenses for trading on the stock exchange		–	(287)
Operating loss		(6,772)	(4,748)	(1,344)
Financing income	25 (1)	16	78	127
Financing expenses	25(2)	(318)	(1,407)	(65)
Loss before taxes		(7,074)	(6,077)	(1,282)
Tax revenue (expenses)	16	(615)	205	363
Loss for the Year		(7,689)	(5,872)	(919)
Comprehensive loss		(7,689)	(5,872)	(919)
Loss per ordinary share of \$0.00 par value Basic and diluted (USD)	27	(0.32)	(0.29)	(0.07)
Weighted average of share capital used in calculation of the loss per basic share		24,085,371	20,425,959	12,642,840

(*) Retroactively adjusted for an issue of bonus shares

The notes to the financial statements constitute an integral part thereof.