Company: VPLM
Filing Date: 2025-12-23
Form Type: 10-K
Source: 0001493152-25-029094
Chunk: 272

Company: Voip-pal.com Inc
Filing Date: 2025-12-23
Form: 10-K
Item: Item 5
Chunk 272
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 be appropriate, further adjustments to carrying values
of assets and liabilities may be required. There can be no assurance that capital will be available as necessary to meet these continued
developments and operating costs or, if the capital is available, that it will be on terms acceptable to the Company. The issuances of
additional stock by the Company may result in a significant dilution in the equity interests of its current shareholders. Obtaining commercial
loans, assuming those loans would be available, will increase the Company’s liabilities and future cash commitments. If the Company
is unable to obtain financing in the amounts and on terms deemed acceptable, its business and future success may be adversely affected.

Additionally,
as the Company’s stated objective is to monetize its patent suite through the licensing or sale of its intellectual property (“IP”),
the Company being forced to litigate or to defend its IP claims through litigation casts substantial doubt on its future to continue
as a going concern. IP litigation is generally a costly process, and in the absence of revenue the Company must raise capital to continue
its own defense and to validate its claims – in the event of a failure to defend its patent claims, either because of lack of funding,
a court ruling against the Company or because of a protracted litigation process, there can be no assurance that the Company will be
able to raise additional capital to pay for an appeals process or a lengthy trial. The outcome of any litigation process may have a significant
adverse effect on the Company’s ability to continue as a going concern.

NOTE
2. BASIS OF PRESENTATION

The
accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the
United States of America (“US GAAP”).

    22

VOIP-PAL.COM
INC.

Notes
to the Consolidated Financial Statements

(Expressed
in United States Dollars)

September
30, 2025

NOTE
3. SIGNIFICANT ACCOUNTING POLICIES

Principles
of Consolidation

These
consolidated financial statements have been prepared on a consolidated basis and include the accounts of the Company and its wholly owned
subsidiary, Digifonica. All intercompany transactions and balances have been eliminated. As at September 30, 2025, Digifonica had no
activities.

Use
of Estimates

The
preparation of these consolidated financial statements required management to make estimates and assumptions that affect the reported
amounts of assets and liabilities at the date of the financial