Opsens Inc. — Interim / Quarterly Report 2023

Jul 13, 2023

Condensed Consolidated Interim Financial Statements

OpSens Inc.

Nine-month periods ended May 31, 2023 and 2022 (unaudited)

OpSens Inc.

Nine-month periods ended May 31, 2023 and 2022

Table of contents

Condensed Consolidated Interim Statements of Loss and Comprehensive Loss ................................................ 1 Condensed Consolidated Interim Statements of Changes in Equity ................................................................. 2-3 Condensed Consolidated Interim Statements of Financial Position ..................................................................... 4 Condensed Consolidated Interim Statements of Cash Flows ............................................................................... 5 Notes to the Condensed Consolidated Interim Financial Statements .............................................................. 6-16

OpSens Inc.

Condensed Consolidated Interim Statements of Loss and Comprehensive Loss

(in Canadian dollars) (unaudited)

	Three-month periods ended May 31, Nine-month periods ended May 31,
	2023 2022 2023 2022
Revenues Sales Other	$ $ $ $ 13,196,638 10,044,441 33,821,353 26,074,571 (42,007 ) 31,833 335,690 196,875
Cost ofsales	13,154,631 10,076,274 34,157,043 26,271,446 5,421,165 4,938,567 14,405,957 12,846,127
Grossmargin	7,733,466 5,137,707 19,751,086 13,425,319
Operating expenses Administrative Sales and marketing Research and development	2,544,324 1,885,939 7,574,029 5,949,769 5,694,570 3,638,560 14,713,084 8,237,030 3,514,748 2,322,175 8,468,564 6,113,891
Financial expenses (income) Loss (gain) on foreign currency	11,753,642 7,846,674 30,755,677 20,300,690 12,039 75,132 (27,906 ) 311,117 35,903 63,161 (321,928 ) 120,097
Loss before income taxes	(4,068,118 ) (2,847,260 ) (10,654,757 ) (7,306,585 )
Current income tax expense	87,651 9,066 116,366 43,362
Net loss	(4,155,769) (2,856,326) (10,771,123) (7,349,947)
Other comprehensive income (loss) Item that may be reclassified subsequently to net income (loss) Net changes in unrealized gain (loss) on translation of foreign operations	12,593 (20,359 ) (14,749) (21,879 )
Comprehensive loss	(4,143,176) (2,876,685) (10,785,872) (7,371,826)
Basic and diluted net lossper share(Note 6)	(0.04) (0.03) (0.10) (0.07)

The accompanying notes are an integral part of the condensed consolidated interim financial statements.

1

OpSens Inc. Condensed Consolidated Interim Statements of Changes in Equity Nine-month period ended May 31, 2023

(in Canadian dollars) (unaudited)

				Accumulated
				other
				comprehensive
				income (loss) –
				Foreign
			Reserve – Stock	operations
	Common shares	Share capital	optionplan	translation	Deficit	Total
	(number)	$	$	$	$	$
Balance as at August 31, 2022	108,835,039	85,943,567	4,090,989	(2,135 )	(55,773,679 )	34,258,742
Common shares issued in connection with a
public bought deal offering (Note 5a)	6,052,632	10,306,188	-	-	-	10,306,188
Common shares issued pursuant to the stock
option plan (Note 5a)	450,937	620,043	(194,137 )	-	-	425,906
Stock-based compensation costs	-	-	923,008	-	-	923,008
Other comprehensive income (loss) – Net
changes in unrealized gain (loss) on
translation of foreign operations	-	-	-	(14,749 )	-	(14,749 )
Net loss	-	-	-	-	(10,771,123)	(10,771,123)
Balance as at May 31, 2023	115,338,608	96,869,798	4,819,860	(16,884 )	(66,544,802 )	35,127,972

The accompanying notes are an integral part of the condensed consolidated interim financial statements.

2

OpSens Inc. Condensed Consolidated Interim Statements of Changes in Equity Nine-month period ended May 31, 2022

(in Canadian dollars) (unaudited)

				Accumulated
				other
				comprehensive
				income (loss) –
				Foreign
			Reserve – Stock	operations
	Common shares	Share capital	optionplan	translation	Deficit	Total
	(number)	$	$	$	$	$
Balance as at August 31, 2021	107,157,039	82,894,802	3,821,980	8,662	(44,395,449 )	42,329,995
Common shares issued pursuant to the stock
option plan (Note 5a)	1,370,000	2,456,365	(682,726 )	-	-	1,773,639
Stock-based compensation costs (Note 5b)	-	-	912,016	-	-	912,016
Other comprehensive income (loss) – Net
changes in unrealized loss on translation of
foreign operations	-	-	-	(21,879 )	-	(21,879 )
Net loss	-	-	-	-	(7,349,947)	(7,349,947)
Balance as at May 31, 2022	108,527,039	85,351,167	4,051,270	(13,217 )	(51,745,396 )	37,643,824

The accompanying notes are an integral part of the condensed consolidated interim financial statements.

3

OpSens Inc.

Condensed Consolidated Interim Statements of Financial Position

(in Canadian dollars) (unaudited)

	As at	As at
	May 31,	August 31,
	2023	2022
	$	$
Assets
Current
Cash and cash equivalents (Note 7)	20,471,741	23,816,490
Trade and other receivables	7,880,357	5,855,295
Government assistance receivable	222,576	264,695
Tax credits receivable	334,301	655,418
Inventories	11,267,218	6,672,179
Prepaid expenses	1,431,391	1,751,567
	41,607,584	39,015,644
Property, plant and equipment	3,373,689	2,683,077
Intangible assets	1,687,084	1,786,491
Right-of-use assets (Note4)	7,500,884	5,026,079
	54,169,241	48,511,291
Liabilities
Current
Accounts payable and accrued liabilities	8,303,950	7,300,262
Warranty provision (Note 8)	49,404	52,419
Deferred revenues	245,326	204,283
Current income taxes payable	64,594	10,979
Current portion of long-term debt (Note 3)	513,466	470,516
Current portionof leaseliabilities (Note4)	747,171	562,484
	9,923,911	8,600,943
Long-term debt (Note 3)	1,436,897	639,560
Leaseliabilities (Note4)	7,680,461	5,012,046
	19,041,269	14,252,549
Shareholders’ equity
Share capital (Note 5a)	96,869,798	85,943,567
Reserve – Stock option plan (Note 5b)	4,819,860	4,090,989
Accumulated other comprehensive income (loss)	(16,884 )	(2,135	)
Deficit	(66,544,802)	(55,773,679	)
	35,127,972	34,258,742
	54,169,241	48,511,291

The accompanying notes are an integral part of the condensed consolidated interim financial statements.

Approved by the Board

Signed [Jean Lavigueur] , director

Signed [Louis Laflamme] , director

4

OpSens Inc.

Condensed Consolidated Interim Statements of Cash Flows

(in Canadian dollars) (unaudited)

	Three-month periods ended May 31, 2023 2022	Nine-month periods ended May 31,
		2023 2022
$ $ Operating activities Net loss for the period (4,155,769 ) (2,856,326 ) Adjustments for: Depreciation of property, plant and equipment and right-of-use assets 444,832 397,080 Amortisation of intangible assets 73,543 66,033 Loss on disposal of property, plant and equipment - 25,813 Stock-based compensation costs (Note 5b) 350,361 212,865 Interest (income) expense (11,111 ) 33,028 Unrealized foreign exchange (gain) loss (12,119 ) 13,347 Changesin non-cashoperatingworking capital items (Note7) 947,635 (374,497)		$ $ (10,771,123 ) (7,349,947 ) 1,408,549 1,171,256 211,680 193,437 5,010 113,042 923,008 912,016 (98,336 ) 149,631 (179,350 ) 14,452 (4,728,150 ) 59,150
(2,362,628 ) (2,482,657)		(13,228,712) (4,736,963 )
Investing activities Acquisition of property, plant and equipment (251,663 ) (273,633 ) Additions to intangible assets (70,369 ) (166,692 ) Interestreceived 165,152 50,820		(1,441,652 ) (554,266 ) (161,315 ) (302,615 ) 528,282 128,044
(156,880 ) (389,505 )		(1,074,685 ) (728,837)
Financing activities Increase in long-term debt, net of transaction costs 1,192,200 - Reimbursement of long-term debt (115,671 ) (145,387 ) Payment of lease liabilities (Note 4) (238,778 ) (116,509 ) Proceeds from issuance of shares (Note 5a) 208,311 333,562 Transaction costs attributable to the issuance of common shares (Note 5a) - - Interest paid (14,679 ) (83,557)		1,192,200 - (350,108 ) (6,188,414 ) (727,813 ) (369,847 ) 11,925,906 1,773,639 (1,193,812 ) - (50,012) (246,499 )
1,031,383 (11,891)		10,796,361 (5,031,121)
Effect of foreign exchange rate changes on cash and cash equivalents 24,917 (33,454)		162,287 (36,356 )
Decrease in cash and cash equivalents (1,463,208 ) (2,917,507 ) Cashand cashequivalents– Beginning ofperiod 21,934,949 30,947,501		(3,344,749 ) (10,533,277 ) 23,816,490 38,563,271
Cash and cash equivalents – End ofperiod 20,471,741 28,029,994		20,471,741 28,029,994

Additional information on the condensed consolidated interim statements of cash flows is presented in Note 7.

The accompanying notes are an integral part of the condensed consolidated interim financial statements.

5

OpSens Inc. Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

1. Incorporation and Description of Business

OpSens Inc. (“OpSens” or the “Company”) is incorporated under the Business Corporations Act (Quebec). OpSens focuses mainly on physiological measurement such as Fractional Flow Reserve (FFR) and Diastolic Pressure Ratio (dPR) in the coronary artery disease market and on transcatheter aortic valve replacement (TAVR) in the structural heart market. The Company supplies an advanced optical-based pressure guidewire (OptoWire), a guidewire used in the TAVR procedure (SavvyWire) and a wide range of miniature optical sensors to measure pressure and temperature to be used in a wide range of applications that can be integrated in other medical devices. OpSens is also involved in industrial activities through its wholly-owned subsidiary OpSens Solutions Inc. (“Solutions”). Solutions develops, manufactures and installs innovative fibre optic sensing solutions for critical and demanding industrial applications. The Company’s head office is located at 750, du ParcTechnologique Blvd., Québec, Québec, Canada, G1P 4S3.

2. Basis of Preparation

Statement of Compliance

These condensed consolidated interim financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”), as issued by the International Accounting Standards Board (“IASB”) applicable to the preparation of interim financial statements, including International Accounting Standards (“IAS”) 34, Interim Financial Reporting and using the same accounting policies and methods of computation as the most recent annual financial statements. These condensed consolidated interim financial statements should be read in conjunction with the annual financial statements for the year ended August 31, 2022, which have been prepared in accordance with IFRS as issued by the IASB.

Changes in Accounting Policies

The accounting policies and basis of measurement applied in these condensed consolidated interim financial statements are the same as those applied by the Company in its consolidated financial statements for the year ended August 31, 2022.

6

OpSens Inc.

Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

3. Long-term Debt

Long-term Debt
	As at	As at
	May 31,	August 31,
	2023	2022
	$	$
Contributions repayable to Canada Economic Development (CED), without
interest (effective rate of 12.00%), repayable in 59 equal and consecutive
monthly instalments of $3,333 and a final payment of $3,353, maturing in
July 2024 without payment from April to December 2020 inclusive due to
a nine month moratorium.
Debt balance	46,682	76,679
Imputedinterest	(1,919 )	(5,101)
	44,763	71,578
Term loan, bearing interest at prime rate plus 0.25%, secured by a movable
hypothec on the universality of the Company’s present and future
property, plant and equipment and intangible assets, maturing in June
2024 without principal payment for a 12-month period following the receipt
of the first tranche of the loan in October 2019. The second and last
tranche of the loan for $242,180 has been received in January 2021. The
principal is payable in 44 monthly instalments of $10,938 and a final
payment of $10,386. Amounts received are net of transaction costs of
$5,250.	**141,362 **	239,300
Term loan bearing interest at 6.75% payable in 111 monthly instalments of
$10,830,maturinginSeptember 2025.	280,146	361,361
Term loan bearing interest at 6.75% maturing in August 2035 without
principal payment for a 7-month period following the receipt of the loan in
May 2023. The principal is payable in 140 monthly instalments of
$11,798.	1,192,200	-
Term loan, bearing interest at prime rate plus 1.00%, secured by a movable
hypothec on the universality of the Company’s present and future
property, plant and equipment and intangible assets, maturing in
November 2024 without principal payment for a 12-month period following
the receipt of the loan in November 2020. The principal is payable in 37
monthly instalments of $16,216.	291,892	437,837
	1,950,363	1,110,076
Current portion	513,466	470,516
	1,436,897	639,560

7

OpSens Inc. Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022 (in Canadian dollars) (unaudited)

4. Leases

Right-of-Use Assets

The following tables present changes in right-of-use assets for the Company as at May 31, 2023 and 2022:

	As at May 31, 2023
	Buildings Hosting servers **Total **
Balance as at August 31, 2022 New leases / leases modifications Depreciation of right-of-use assets Effect of foreign exchange differences	$ $ $ 5,000,519 25,560 5,026,079 3,197,020 - 3,197,020 (700,761 ) (25,560 ) (726,321 ) 4,106 - 4,106
Balance as at May 31, 2023	7,500,884 - 7,500,884

	As at May 31, 2022
	Buildings Hosting servers Total
Balance as at August 31, 2021 New leases / leases modifications Depreciation of right-of-use assets Effect of foreign exchange differences	$ $ $ 4,307,220 14,388 4,321,608 1,308,305 51,121 1,359,426 (457,407 ) (27,169 ) (484,576 ) 310 - 310
Balance as at May 31, 2022	5,158,428 38,340 5,196,767

Lease Liabilities

The following tables present changes in lease liabilities for the Company as at May 31, 2023 and 2022:

	As at May 31, 2023
	Buildings Hosting servers **Total **
Balance as at August 31, 2022 New leases / leases modifications Payment of lease liabilities Interest expense on lease liabilities Effect of foreign exchange differences	$ $ $ 5,545,948 28,582 5,574,530 3,197,020 - 3,197,020 (698,913 ) (28,900 ) (727,813 ) 378,348 318 378,666 5,229 - 5,229
Balance as at May 31, 2023 Current portion	8,427,632 - 8,427,632 747,171 - 747,171
Long-term lease liabilities as at May 31, 2023	7,680,461 - 7,680,461

8

OpSens Inc.

Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

4. Leases (continued)

Leases (continued)
	As at May 31, 2022
	Buildings Hosting servers Total
Balance as at August 31, 2021 New leases / leases modifications Payment of lease liabilities Interest expense on lease liabilities Effect of foreign exchange differences	$ $ $ 4,702,589 15,725 4,718,314 1,308,306 51,121 1,359,427 (535,615 ) (26,654 ) (562,269 ) 191,684 738 192,422 304 - 304
Balance as at May 31, 2022 Current portion	5,667,268 40,930 5,708,198 520,966 40,930 561,896
Long-term lease liabilities as at May31,2022	5,146,302 - 5,146,302

5. Shareholders’ equity

a) Share Capital

On December 22, 2022, the Company completed a public bought deal offering for aggregate gross proceeds of $11,500,000. In connection with the offering, the Company issued a total of 6,052,632 common shares at a price of $1.90 per common share. Transaction costs of the offering include underwriting fees of $690,000 and other professional fees and miscellaneous fees of $504,000 for total transactions costs of $1,193,812.

During the nine-month period ended May 31, 2023, following the exercise of stock options, the Company issued 450,937 common shares (1,370,000 common shares for the nine-month period ended May 31, 2022) for a cash consideration of $425,906 ($1,773,639 for the nine-month period ended May 31, 2022). As a result, an amount of $194,137 was reallocated from Reserve – Stock option plan to Share capital in shareholders’ equity ($682,726 for the nine-month period ended May 31, 2022).

9

OpSens Inc.

Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

5. Shareholders’ equity (continued)

b) Stock Options

The changes in the number of stock options granted by the Company and their weighted-average exercise prices, for the nine-month periods ended May 31, 2023 and 2022, are as follows:

	Nine-month period ended May 31, 2023 Weighted average exercise price Number of options	Nine-month period ended May 31, 2022
		Weighted average exercise price Number of options
Balance – Beginning of period Options granted Options exercised Options expired Options cancelled	$ 7,646,125 1.62 1,717,500 1.92 (450,937 ) 0.95 (41,875 ) 2.50 (902,813 ) **2.59 **	$ 7,140,250 1.20 1,815,750 2.41 (1,370,000 ) 1.30 (86,000 ) 1.55 (488,875 ) 1.38
Balance – End ofperiod	7,968,000 1.61	7,011,125 1.48

The fair value of the options granted issued was estimated using the Black-Scholes option pricing model using the following assumptions:

Risk-free interest rate Volatility Dividend yield on shares Expected life Weighted share price Weighted fair value per option at the grant date	Nine-month period ended May 31, 2023 Nine-month period ended May 31, 2022 Between 3.28% and 3.90% Between 0.38% and 2.49% Between 64.21% and 73.79% Between 58.29% and 75.48% Nil Nil 0 to 5 years 0 to 5 years $1.92 $2.41 $0.94 $1.07

Option valuation models require the input of highly subjective assumptions, including the expected stock price volatility. Any changes in the subjective input assumptions can affect the fair value estimate.

10

OpSens Inc. Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

6. Net Loss per Share

The table below presents a reconciliation between the basic net loss and the diluted net loss per share:

	Three-month periods ended May 31, 2023 2022	Nine-month periods ended May 31,
		2023 2022
Net loss attributable to shareholders Basic and diluted	$ $ (4,155,769 ) (2,856,326 )	$ $ (10,771,123 ) (7,349,947
Number of shares Basic weighted average number of shares outstanding Diluted weighted average number of shares outstanding	115,218,028 108,376,373 115,218,028 108,376,373	112,547,934 108,036,232 112,547,934 108,036,232
Amount per share Basic and diluted net lossper share	(0.04) (0.03)	(0.10) (0.07

Stock options are excluded from the calculation of the diluted weighted average number of shares outstanding when their exercise price is greater than the average market price of common shares or when their effect is antidilutive. The number of stock options excluded from the calculation because their exercise price is greater than the average market price of common shares is presented below:

	Three-month periods ended May 31, 2023 2022	Nine-month periods ended May 31,
		2023 2022
Stockoptions	4,451,125 1,934,250	589,500 765,750

For the three-month and the nine-month periods ended May 31, 2023 and 2022, the diluted amount per share was the same amount as the basic amount per share, since the dilutive effect of stock options was not included in the calculation; otherwise, the effect would have been antidilutive. Accordingly, the diluted amount per share for these periods was calculated using the basic weighted average number of shares outstanding.

11

OpSens Inc. Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

7. Additional Information on the Condensed Consolidated Interim Statements of Cash Flows

	Three-month periods ended May 31, 2023 2022	Nine-month periods ended May 31,
		2023 2022
Changes in non-cash operating working capital items Trade and other receivables Government assistance receivable Tax credits receivable Inventories Prepaid expenses Accounts payable and accrued liabilities Warranty provision Deferred revenues Current income taxespayable	$ $ (973,225 ) (973,513 ) 81,022 (89,330 ) 369,805 (129,119 ) (556,708 ) 38,572 (116,951 ) (440,706 ) 2,030,296 1,253,955 1,240 (6,262 ) 66,770 (34,898 ) 45,386 6,804	$ $ (2,025,062 ) (1,131,866 ) 42,119 (235,370 ) 321,117 (246,959 ) (4,595,039 ) 491,309 320,176 (662,529 ) 1,116,896 1,776,242 (3,015 ) (30,897 ) 41,043 101,535 53,615 (2,315)
	947,635 (374,497)	(4,728,150) 59,150
Supplementary information Unpaid acquisition of property, plant and equipment Unpaid additions to intangible assets	109,608 63,096 - 49,037	109,608 63,096 - 49,037
	As at May 31, 2023 As at August 31, 2022
Cash and cash equivalents Cash Cashequivalents	$ $ 6,760,872 2,622,426 13,710,869 21,194,064
	20,471,741 23,816,490

12

OpSens Inc. Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

8. Warranty provision

During the normal course of business, the Company replaces defective parts under warranty provision offered at the sale of the products. The term of the warranty is generally 12 months. The following table summarizes changes in warranty provision:

changes in warranty provision:
	Nine-month periods ended May 31,
	2023 2022
Balance – Beginning of period Additional provision recognized Unused amount reversed during the period Amount used during the period Effect of foreignexchange differences	$ $ 52,149 83,803 32,998 26,922 - (12,497 ) (35,923 ) (45,353 ) 180 31
Balance – End ofperiod	49,404 52,906

This provision estimate is based on past experience. The actual costs that the Company may incur, as well as the moment when the parts should be replaced, can differ from the estimated amount.

13

OpSens Inc. Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

9. Segmented Information

Segmented Information

The Company is organized into two segments: Medical and Industrial.

Medical segment: in this segment, OpSens focuses mainly on physiological measurement such as FFR and dPR in the coronary artery disease market and on the TAVR procedure in the structural heart market. The Company also supplies a wide range of miniature optical sensors to measure pressure and temperature to be used in a wide range of applications that can be integrated in other medical devices. This also includes other revenues related to its optical sensor technology.

Industrial segment: in this segment, OpSens develops, manufactures and installs innovative fibre optic sensing solutions for critical and demanding industrial applications.

The principal factors employed in the identification of the two segments reflected in this note include the Company’s organizational structure, the nature of the reporting lines to the President and Chief Executive Officer and the structure of internal reporting documentation such as management accounts and budgets.

The same accounting policies are used for both reportable segments. Operations are carried out in the normal course of business and are measured at the exchange amount, which approximates prevailing prices in the markets.

External sales Internal sales Gross margin Depreciation of property, plant and equipment and right-of-use assets Amortisation of intangible assets Financial (income) expenses Loss (gain) on foreign currency translation Current income tax expense Net income (loss) Acquisition of property, plant and equipment Additions to intangible assets Segment assets Segment liabilities	Three-month period ended May 31, 2023 Medical Industrial Total	Three-month period ended May31,2022 Medical Industrial Total $ $ $ 9,202,825 873,449 10,076,274 42,041 73,947 115,988 4,553,428 584,279 5,137,707 346,455 50,625 397,080 61,392 4,641 66,033 317 74,815 75,132 43,192 19,969 63,161 9,066 - 9,066 (2,928,571 ) 72,245 (2,856,326 ) 315,987 5,413 321,400 130,940 47,078 178,018 47,971,368 2,586,281 50,557,649 12,053,847 859,978 12,913,825
	$ $ $ 12,474,496 680,135 13,154,631 (2,497 ) 63,229 60,732 7,342,649 390,817 7,733,466 394,751 50,081 444,832 65,470 8,073 73,543 (62,752 ) 74,791 12,039 34,566 1,337 35,903 87,651 - 87,651 (4,008,263 ) (147,506 ) (4,155,769 ) 330,084 1,192 331,276 57,483 14,240 71,723 50,868,089 3,301,152 54,169,241 18,348,478 692,791 19,041,269

14

OpSens Inc.

Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

9. Segmented Information (continued)

External sales Internal sales Gross margin Depreciation of property, plant and equipment and right-of-use assets Amortisation of intangible assets Financial (income) expenses Loss (gain) on foreign currency translation Current income tax expense Net income (loss) Acquisition of property, plant and equipment Additions to intangible assets Segment assets Segment liabilities	Nine-month period ended May 31, 2023 Medical Industrial Total	Nine-month period ended May31,2022 Medical Industrial Total $ $ $ 23,675,936 2,595,510 26,271,446 78,765 195,656 274,421 11,786,472 1,638,847 13,425,319 1,010,739 160,517 1,171,256 181,404 12,033 193,437 88,474 222,643 311,117 101,747 18,350 120,097 43,362 - 43,362 (7,518,230 ) 168,283 (7,349,947 ) 571,509 13,426 584,935 267,733 58,416 326,149 47,971,368 2,586,281 50,557,649 12,053,847 859,978 12,913,825
	$ $ $ 31,566,321 2,590,722 34,157,043 - 152,019 152,019 18,023,614 1,727,472 19,751,086 1,257,990 150,559 1,408,549 189,123 22,557 211,680 (248,896 ) 220,990 (27,906 ) (265,945 ) (55,983 ) (321,928 ) 116,366 - 116,366 (10,996,440 ) 225,317 (10,771,123 ) 1,358,984 18,499 1,377,483 97,670 14,606 112,276 50,868,089 3,301,152 54,169,241 18,348,478 692,791 19,041,269

Information by geographic segment

	Three-month periods ended May 31, 2023 2022	Nine-month periods ended May 31,
		2023 2022
Revenue by geographic segment United States Japan Canada Other*	$ $ 7,005,645 4,161,505 1,492,843 2,200,817 1,155,107 890,196 3,501,036 2,823,756	$ $ 17,564,154 10,936,497 3,467,763 4,363,470 3,049,579 2,512,836 10,075,547 8,458,643
	13,154,631 10,076,274	34,157,043 26,271,446

• Comprised of revenues generated in countries for which amounts are individually not significant.

Revenues are attributed to the geographic segment based on the clients’ location. Non-current assets, which include property, plant and equipment, intangible assets and right-of-use assets, are mainly located in Canada. Non-current assets located in other countries are not significant.

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OpSens Inc. Notes to the Condensed Consolidated Interim Financial Statements Nine-month periods ended May 31, 2023 and 2022

(in Canadian dollars) (unaudited)

9. Segmented Information (continued)

During the three-month period ended May 31, 2023, revenues from two clients from the Medical reportable segment represented individually more than 10% of the total revenues of the Company, i.e. 33% and 11% (22% and 21% from two clients for the three-month period ended May 31, 2022).

During the nine-month period ended May 31, 2023, revenues from one client from the Medical reportable segment represented individually more than 10% of the total revenues of the Company, i.e. 31% (24% and 16% from two clients for the nine-month period ended May 31, 2022).

10. Related Party Transactions

Key management personnel, having authority and responsibility for planning, directing and controlling the activities of the Company, comprise the Executive Chairman, the Chief Executive Officer, the Chief Financial Officer, the Chief Commercial Officer and the President of OpSens Solutions Inc. Compensation of key management personnel and directors during the three-month and the nine-month periods ended May 31, 2023 and 2022 were as follows:

	Three-month periods ended May 31, 2023 2022	Nine-month periods ended May 31,
		2023 2022
$ $ Short-term salaries and other benefits 506,441 553,109 Option-based awards 69,229 26,265		$ $ 1,292,101 1,204,887 168,084 389,840
575,670 579,374		1,460,185 1,594,727

The compensation of key executives is determined by the Human Resources and Compensation Committee, taking into consideration individual performance and market trends.

11. Approval of Condensed Consolidated Interim Financial Statements

The condensed consolidated interim financial statements were approved by the Board of Directors and authorized for issue on July 12, 2023.

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