DXStorm.Com Inc. — Management Reports 2021

Oct 29, 2021

DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021

(Form 51-102F1)

This management discussion and analysis (“MD&A”) has been prepared based on
information available to DXStorm.com Inc. (the “Company”) as at October 28, 2021. The
MD&A of the operating results and financial condition of the Company for the year
ended June 30, 2021, should be read in conjunction with the Company’s audited
consolidated financial statements, including the related notes thereto, for the years
ended June 30, 2021 and 2020 which are prepared in accordance with International
Financial Reporting Standards (“IFRS”) for audited financial statements, and the
annual MD&A for the year ended June 30, 2020. Additional information relating to the
Company may be found under its profile on SEDAR at www.sedar.com.

The technical information of this MD&A has been reviewed and approved by the Company’s
Board of Directors.

MANAGEMENT’S ASSESSMENT OF INTERNAL CONTROL OVER FINANCIAL REPORTING (“ICFR”)

Management is responsible for establishing and maintaining adequate internal control
over the Company’s financial reporting. The internal control system was designed to
provide reasonable assurance to the Company’s management regarding the preparation and
presentation of the financial statements.

The inherent limitations in all control systems are such that they can provide only
reasonable, not absolute, assurance that all control issues and instances of fraud or
error, if any have been detected. Therefore, no matter how well designed, ICFR has
inherent limitations and can provide only reasonable assurance with respect to
financial statement preparation and may not prevent and detect all misstatements.

As the Company is a Venture Issuer (as defined under National Instrument 52-109
Certification of Disclosure in Issuers' Annual and Interim Filings) (“NI 52-109”), the
Company and Management are not required to include representations relating to the
establishment and/or maintenance of disclosure controls and procedures (“DC&P) and/or
ICFR, as defined in NI 52-109.

FORWARD-LOOKING STATEMENTS

This MD&A may contain forward-looking statements that are based on the Company’s
expectations, estimates and projections regarding its business and the economic
environment in which it operates. These statements speak only as of the date on which
they are made, are not guarantees of future performance and involve risks and
uncertainties that are difficult to control or predict. Examples of some of the
specific risks associated with the operations of the Company are set out below under
“Riskand Uncertainties”. Actual outcomes and results may differ materially from those
expressed in these forward-looking statements and readers should not place undue
reliance on such statements.

OVERALL PERFORMANCE

Nature of Operations and Going Concern

DXStorm.com Inc. (the “Company”) was created on June 16, 2000 as a result of the
reverse takeover of West Park Resources Inc. by DXStorm Inc. and continued under the
laws of Ontario on June 19, 2000 as DXStorm.com Inc.  The Company is a public company
for which the common shares are listed on the TSX Venture Exchange (trading symbol

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021

(Form 51-102F1)

“DXX”) and is located at 824 Winston Churchill Blvd, Oakville ON L6J 7X2. Its
principal business is providing services relating to medical application software
development, e-commerce and internet based solutions to clients in Canada and the
United States of America.

These audited consolidated financial statements have been prepared using International
Financial Reporting Standards (“IFRS”) applicable to a going concern, which assumes
continuity of operations and realization of assets and settlement of liabilities in
the normal course of business for the foreseeable future, which is at least, but not
limited to, one year from June 30, 2021. At June 30, 2021, the Company has an
accumulated deficit of $12,612,465 (June 30, 2020 - deficit of $12,412,614) and has
working capital deficit of $400,807 (June 30, 2020 – deficit of $203,279). The
Company's ability to continue as a going concern is dependent upon its ability to
generate sufficient funds and continue to obtain sufficient capital from investors to
meet its current and future obligations. The Company is subject to risks and
challenges similar to companies in a comparable stage of software development, e-
commerce services and internet based solutions. As a result of these risks, a material
uncertainty exists which costs significant doubt as to the appropriateness of the
going concern assumption. There is no assurance that the Company's funding initiatives
will continue to be successful and these audited consolidated financial statements do
not reflect the adjustments to the carrying values of assets and liabilities and the
reported expenses and consolidated statements of financial position classifications
that would be necessary if the going concern assumption was inappropriate. These
adjustments could be material.

Selected Annual Information

The following table sets forth a summary of the financial results for the years ended
June 30, 2021, 2020 and 2019:

Years ended June 30(CDN $)	2021	2020	2019
Total Revenues	146,423	372,997	503,268
(Loss)Income and Comprehensive (Loss) Income
for the year	(199,851)	(180,664)	(127,604)
(Loss) Income Basic, Diluted share	(0.010)	(0.009)	(0.006)
Total Assets	77,269	142,927	162,407
Dividends Declared	Nil	Nil	Nil

Loss per share is calculated on the basis of net loss divided by the weighted average
number of common shares outstanding for the year. Diluted loss per share is calculated
using the treasury stock method, giving effect to the exercise of all dilutive
instruments. The weighted average number of common shares was 20,729,508.

RESULTS OF OPERATIONS

For the year ended June 30, 2021, the Company incurred a net loss of $199,851,
compared to a net loss of $180,664 for the year ended June 30, 2020.

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021

(Form 51-102F1)

The Company routinely monitors its operations and costs associated with those operations, in order to better plan and implement its activities, taking into consideration the current economic climate and industry outlook. For the year ended June 30, 2021, the Company reported total operating expenses of $366,274 compared to $553,661 for the year ended June 30, 2020. This included general and administrative expenses (“G&A”) $271,395 compared to $480,949 for the year ended June 30, 2020. The following schedule describes the main components of G&A for the years ended June 30, 2021 and 2020 :

years ended June 30, 2021 and 20	20:
	2021	2020
Years ended June	$	$
30(CDN$)
Administrative	111,878	133,126
Management	33,970	221,610
expenses
Rent	120,000	120,000
Foreign exchange	810	(459)
loss(gain)
Amortization	2,323	2,802
Bad debts	2,414	3,870
expense(recovery)
	271,395	480,949

Overall general and administrative expenses decreased $209,554 compared to the year
ended June 30, 2020.

FOURTH QUARTER RESULTS

For the fourth quarter ended June 30, 2021, the Company recorded net loss of $37,887,
compared to a net loss of $28,074 for the same quarter the previous year.

Expenses incurred during the period consist of:

• Administrative $21,556(2020 – $21,529) representing insurance, repair and maintenance, utilities, audit and legal fees, professional fees, telephone and office supplies.

• Research and development ($24,948)(2020 – ($46,761)) representing programming development expenses, contractors, internet connection, software purchases, hardware purchases.

• Management expenses $1,711(2020 – $22,780) representing the costs for providing comprehensive suite of services.

• Bad debts expense $2,414(2020 – $3,870).

• Rent $30,000(2020 - $30,000).

• Amortization of property, plant and equipment $581(2020 – $761).

• Foreign exchange (gain) loss $76(2020 – ($270)).

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021

(Form 51-102F1)

The total amounts of expenses for current period were $31,390 compared to $31,909 over
the same period ended last year.

SELECTED QUARTERLY INFORMATION

		Quarter Ended
	Jun 30,	Mar 31,	Dec 31,	Sep 30,
	2021	2021	2020	2020
Total Assets	$77,269	$114,998	$116,026	$150,376
Capital Assets	5,305	5,886	6,467	7,047
Working Capital	(400,807)	(343,501)	(309,793)	(252,237)
Shareholders’ Equity	(435,502)	(397,615)	(343,326)	(285,190)
Revenue	(26,497)	47,056	62,772	63,092
Net (Loss)	(37,887)	(54,288)	(58,137)	(49,539)
(Loss)/share	(0.002)	(0.003)	(0.003)	(0.002)
______________________________________________________________________________________
		Quarter Ended
	Jun 30,	Mar 31,	Dec 31,	Sep 30,
	2020	2020	2019	2019
Total Assets	$142,927	$128,160	$145,985	$159,885
Capital Assets	7,628	8,389	8,989	9,590
Working Capital	(203,279)	(215,966)	(168,079)	(101,762)
Shareholders’ Equity	(235,651)	(207,577)	(159,090)	(92,172)
(Loss) Revenue	3,835	86,261	131,019	151,882
Net (Loss)	(28,074)	(48,488)	(66,917)	(37,185)
(Loss)/share	(0.002)	(0.002)	(0.003)	(0.002)

Earnings per share vary with the volume of client-specific work and custom
programming.  Therefore, earnings per share will continue to fluctuate in the future.

LIQUIDITY AND RESOURCES

The Company had a working capital deficit of $400,807 (June 30, 2020 – deficit of
$203,279) and cash balance of $6,999 (June 30, 2020 - $46,666).

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021
(Form 51-102F1)

SHARE CAPITAL

Issued and outstanding: June 30, 2021 – 20,729,508;
Issued and outstanding: October 28, 2021 – 20,729,508;

Warrants outstanding: June 30, 2021 – NIL;
Warrants outstanding: October 28, 2021 – NIL;

Options outstanding: June 30, 2021 – NIL;
Options outstanding: October 28, 2021 – NIL.

Additional information related to the Company is available for view on SEDAR at
www.sedar.com.

OFF-BALANCE SHEET TRANSACTIONS

The Company does not have any off-balance sheet arrangements.

COMPENSATION

No any compensation arrangements made directly or indirectly with Directors and
Officers of the Company during the period.

RELATED PARTY TRANSACTIONS

All transactions with related parties have occurred in the normal course of operations
and are measured at the exchange amount, which is the amount of consideration
established and agreed to by the related parties:

During the year ended June 30, 2021, the Company incurred transactions with related
parties:

• a. The Company incurred the following transactions with a corporation controlled by an officer and director:

2021 2020

Rent     $  120,000        $  120,000

• b. For another corporation controlled by an officer and director, the Company has entered into a “Comprehensive Technology Services Agreement” to provide a comprehensive suite of services. The agreement calls for a monthly fee subject to variation based upon the actual level of monthly services rendered. Included in revenue from management services is $35,669 earned under this agreement for the current year (2020 - $232,691).

      In the current year management expenses incurred under this agreement are
      $33,970 (2020 - $221,610).

Included in accounts receivables is an amount of $58,875 receivable to the
      Company (2020 - $59,553).

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021

(Form 51-102F1)

• c. The Company paid consulting fees to a company owned by a director in the amount of $7,804 (2020 - $5,286).

• d. A loan in the amount of $10,000 (2020 - $10,000) is due to a director and is non-interest bearing and has no terms of repayment.

ACCOUNTING POLICIES AND CRITICAL ACCOUNTING ESTIMATES

These audited consolidated financial statements have been prepared in accordance with
IFRS using accounting policies consistent with the International Financial Reporting
Standards (“IFRS”) issued by the International Accounting Standards Board (“IASB”) and
Interpretations of the International Financial Reporting Interpretations Committee
(“IFRIC”).

The Company operates in one segment defined as the cash generating unit (“CGU”) which
is North America. These financial statements were authorized for issue by the Board of
Directors on October 28, 2021.

The principal accounting policies applied in the preparation of the Company’s audited
consolidated financial statements are set out below:

(a) Basis of measurement

The Company’s audited consolidated financial statements have been prepared on a
historical cost basis (except for the revaluation of financial instruments to fair
value), in accordance with International Financial Reporting Standards (IFRS”), as
issued by the International Accounting Standards Board that are published at the time
of preparation and are effective on June 30, 2021.

(b) Significant accounting judgments and estimates

The preparation of the audited consolidated financial statements requires management
to make certain estimates, judgments and assumptions that affect the reported amounts
of assets and liabilities at the date of the consolidated financial statements and
reported amounts of expenses during the reporting period. Actual outcomes could differ
from these estimates. These consolidated financial statements include estimates which,
by their nature, are uncertain. The impacts of such estimates are pervasive throughout
the consolidated financial statements, and may require accounting adjustments based on
future occurrences. Revisions to accounting estimates are recognized in the period in
which the estimate is revised and future periods if the revision affects both current
and future periods. These estimates are based on historical experience, current and
future economic conditions and other factors, including expectations of future event
that are believed to be reasonable under the circumstances.

Critical accounting estimates

Significant assumptions about the future and other sources of estimation uncertainty
that management has made at the financial position reporting date, that could result

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021

(Form 51-102F1)

in a material adjustment to the carrying amounts of assets and liabilities, in the
event that actual results differ from assumptions made, relate to, but are not
limited to, the following:

• the estimated fair value of non-financial assets which are included in the statement of financial position which are based on numerous assumptions may differ from actual fair values. These differences may have a material impact in the Companys financial position;`

• the estimated fair value for accounts receivable that is determined by estimating the uncollectable amount which is recorded in the allowance for doubtful accounts based on the financial condition of its customers, the aging of the receivables, the current business environment and historical experience.

• the estimated useful lives and residual value of equipment which are included in the consolidated statement of financial position and the related depreciation included in profit or loss;

• the inputs used in accounting for share based payment transactions in profit or loss;

FINANCIAL INSTRUMENTS

The Company's financial instruments consist of cash, accounts receivable, accounts
payable and accrued liabilities, and deferred revenue.  Unless otherwise noted, it is
management's opinion that the Company is not exposed to significant interest or credit
risks arising from these financial instruments. The fair values of these instruments
approximate their carrying values, unless otherwise noted.

DIVIDEND POLICY

No dividends have been paid on any shares of the Company since the date of its
incorporation, and it is not contemplated that any dividends will be paid in the
immediate or foreseeable future.

DISCLOSURE OF INTERNAL CONTROLS

Management has established processes, which are in place to provide them sufficient
knowledge to support management representations that they have exercised reasonable
diligence that (i) the consolidated financial statements do not contain any untrue
statement of material fact or omit to state a material fact required to be stated or
that is necessary to make a statement not misleading in light of the circumstances
under which it is made, as of the date of and for the months presented by the
consolidated financial statements, and (ii) the consolidated financial statements
fairly present in all material respects the financial condition, results of operations
and cash flows of the Company, as of the date of and for the months presented by the
consolidated financial statements.

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021

(Form 51-102F1)

In contrast to the certificate required under Multilateral Instrument 52-109
Certification of Disclosure in Issuers' Annual and Interim Filings (MI 52-109); the
Company utilizes the Venture Issuer Basic Certificate, which does not include
representations relating to the establishment and maintenance of disclosure controls
and procedures (DC&P) and internal control over financial reporting (ICFR), as defined
in MI 52-109. In particular, the certifying officers filing the Certificate are not
making any representations relating to the establishment and maintenance of:

 (i) controls and other procedures designed to provide reasonable assurance that
information required to be disclosed by the issuer in its annual filings, interim
filings or other reports filed or submitted under securities legislation is recorded,
processed, summarized and reported within the time periods specified in securities
legislation; and

 (ii) a process to provide reasonable assurance regarding the reliability of financial
reporting and the preparation of financial statements for external purposes in
accordance with the issuer's GAAP. The Company’s certifying officers are responsible
for ensuring that processes are in place to provide them with sufficient knowledge to
support the representations they are making in this certificate.

Investors should be aware that inherent limitations on the ability of certifying
officers of a venture issuer to design and implement on a cost effective basis DC&P
and ICFR as defined in MI 52-109 may result in additional risks to the quality,
reliability, transparency and timeliness of interim and annual filings and other
reports provided under securities legislation.

CONFLICTS OF INTEREST

There are potential conflicts of interest to which the directors and officers of the
Company will be subject in connection with the operations of the Company. Some of the
directors and officers have been and will continue to be engaged in the identification
and evaluation, with a view to potential acquisition of interests in businesses and
corporations on their own behalf and on behalf of other corporations and situations
may arise where the directors and officers will be in direct competition with the
Company. Conflicts, if any, will be subject to the procedures and remedies under the
Business Corporations Act (Ontario).

RISKS AND UNCERTAINTIES

The Company is selling and developing products and services for new and emerging
markets and as a result faces a number of risks, some of which are outlined below.

Competition - it is possible that new competitors will enter the marketplace.  Such
competitors may be able to expand their services more quickly, adapt more swiftly to
new or emerging technologies and changes in customer requirements.  Accordingly, the
entry of new competitors could have a material adverse effect on our business,
financial conditions, and overall results of operations.

Emerging Markets and Technology - The market for the Company's products is still
emerging and continued growth and demand for and acceptance of these products remains
uncertain.  In addition, other emerging technology and markets may impact the

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DXSTORM.COM INC.

Management Discussion and Analysis

For the Year Ended June 30, 2021
(Form 51-102F1)

viability of the market for the Company's products.  The Company's continued success
will depend upon its ability to keep pace with technological and marketplace change
and to introduce on a timely and cost effective basis, new and enhanced products that
satisfy changing customer requirements and achieve market acceptance.

Statements in this report that are not historical facts are forward-looking statements
involving known and unknown risks and uncertainties, which could cause actual results
to vary from these statements.

FUNDING REQUIREMNTS

In order to move forward with its activities, the Company may require additional
funding. There can be no guarantee that such funds will be available as and when
required or, if available, be accessible on reasonable commercial terms.

The Company may issue shares in order to provide financing to existing projects,
finance other projects, or provide working capital.

RELIANCE ON MANAGEMENT

The Company anticipates that it will be heavily reliant upon the experience and
expertise of management with respect to the further development of digital medical
software solutions and the business of providing online shopping carts. The loss of
any one of their services or their inability to devote the time required to
effectively manage the affairs of the Company could adversely affect the Company.

AUDITORS, TRANSFER AGENT AND REGISTRAR

The auditors of the Company are S&W LLP, Chartered Professional Accountants of
Toronto, Ontario. The Transfer Agent and Registrar for the Common Shares of the
Company is Computershare Investor Services Inc. of Vancouver, BC.

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