BON NATURAL LIFE LIMITED AND SUBSIDIARIES

　　CONDENSED CONSOLIDATED BALANCE SHEETS

　　(UNAUDITED)

　　As of

　　March 31, 2021

　　September 30, 2020

　　ASSETS

　　CURRENT ASSETS

　　Cash

　　$

　　1,040,607

　　$

　　53,106

　　Accounts receivable, net

　　8,869,747

　　5,771,008

　　Inventories, net

　　1,446,516

　　1,016,442

　　Advance to suppliers, net

　　1,894,359

　　3,491,145

　　Deferred initial public offering costs

　　984,162

　　510,079

　　Prepaid expenses and other current assets

　　106,786

　　7,434

　　TOTAL CURRENT ASSETS

　　14,342,177

　　10,840,214

　　Property, plant and equipment, net

　　14,590,470

　　14,171,963

　　Intangible assets, net

　　144,126

　　140,993

　　Right-of-use lease assets, net

　　229,532

　　Deferred tax assets, net

　　37,032

　　49,059

　　TOTAL ASSETS

　　$

　　29,343,337

　　$

　　25,202,229

　　LIABILITIES AND SHAREHOLDERS’ EQUITY

　　CURRENT LIABILITIES

　　Short-term loans

　　$

　　1,823,215

　　$

　　1,289,081

　　Current portion of long-term loans

　　2,318,528

　　1,227,346

　　Third party loans

　　-

　　690,327

　　Accounts payable

　　577,311

　　1,288,629

　　Due to related parties

　　1,019,128

　　2,322,990

　　Taxes payable

　　5,688,786

　　4,402,625

　　Accrued expenses and other current liabilities

　　1,275,936

　　442,582

　　Finance lease liabilities, current

　　148,983

　　33,389

　　Operating lease liability, current

　　57,051

　　TOTAL CURRENT LIABILITIES

　　$

　　12,908,938

　　$

　　11,696,969

　　Long-term loans

　　2,106,180

　　2,482,251

　　Finance lease liabilities, noncurrent

　　110,499

　　-

　　Operating lease liability, noncurrent

　　176,701

　　-

　　TOTAL LIABILITIES

　　15,302,318

　　14,179,220

　　COMMITMENTS AND CONTINGENCIES EQUITY

　　Ordinary shares, $0.0001 par value, 500,000,000 shares authorized,
5,800,000 shares issued and outstanding as of March 31, 2021 and
September 30, 2020 *

　　$

　　580

　　$

　　580

　　Additional paid in capital

　　5,567,873

　　5,251,205

　　Statutory reserve

　　579,922

　　579,922

　　Retained earnings

　　7,384,071

　　5,072,672

　　Accumulated other comprehensive income (loss)

　　15,421

　　(388,102)

　　TOTAL BON NATURAL LIFE LIMITED SHAREHOLDERS’ EQUITY

　　13,547,867

　　10,516,277

　　Non-controlling interest

　　493,152

　　506,732

　　Total equity

　　14,041,019

　　11,023,009

　　TOTAL LIABILITIES AND EQUITY

　　$

　　29,343,337

　　$

　　25,202,229

　　*Retrospectively restated for effect of 1-for-3 shares reverse split.

　　BON NATURAL LIFE LIMITED AND SUBSIDIARIES

　　CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME

　　(UNAUDITED)

　　For the six months ended

　　March 31,

　　2021

　　2020

　　REVENUE

　　$

　　11,698,830

　　$

　　7,149,785

　　COST OF REVENUE

　　(8,325,148)

　　(4,597,617)

　　GROSS PROFIT

　　3,373,682

　　2,552,168

　　OPERATING EXPENSES

　　Selling expenses

　　(52,666)

　　(59,765)

　　General and administrative expenses

　　(679,635)

　　(811,799)

　　Research and development expenses

　　(106,998)

　　(128,481)

　　Total operating expenses

　　(839,299)

　　(1,000,045)

　　INCOME FROM OPERATIONS

　　2,534,383

　　1,552,123

　　OTHER INCOME (EXPENSES)

　　Interest income

　　294

　　451

　　Interest expense

　　(197,168)

　　(172,913)

　　Unrealized foreign transaction exchange gain (loss)

　　(65,691)

　　(4,300)

　　Government subsidies

　　446,910

　　332,418

　　Other income

　　41,548

　　136,482

　　Total other income (expenses)

　　225,893

　　292,138

　　INCOME BEFORE INCOME TAX PROVISION

　　2,760,276

　　1,844,261

　　INCOME TAX PROVISION

　　(465,077)

　　(249,766)

　　NET INCOME

　　2,295,199

　　1,594,495

　　Less: net income (loss) attributable to non-controlling interest

　　(16,200)

　　61,317

　　NET INCOME ATTRIBUTABLE TO BON NATURAL LIFE LIMITED

　　2,311,399

　　1,533,178

　　OTHER COMPREHENSIVE INCOME (LOSS)

　　Total foreign currency translation adjustment

　　406,143

　　32,468

　　TOTAL COMPREHENSIVE INCOME

　　2,701,342

　　1,626,963

　　Less: comprehensive income (loss) attributable to non-controlling
interest

　　(13,580)

　　59,939

　　COMPREHENSIVE INCOME ATTRIBUTABLE TO BON
NATURAL LIFE
LIMITED

　　$

　　2,714,922

　　$

　　1,567,024

　　EARNINGS PER SHARE

　　Basic and diluted

　　$

　　0.40

　　$

　　0.30

　　WEIGHTED AVERAGE NUMBER OF SHARES
OUTSTANDING

　　Basic and diluted*

　　5,800,000

　　5,166,667

　　BON NATURAL LIFE LIMITED AND SUBSIDIARIES

　　CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

　　(UNAUDITED)

　　For the six months ended

　　March 31,

　　2021

　　2020

　　Cash flows from operating activities

　　Net income

　　$

　　2,295,199

　　$

　　1,594,495

　　Adjustments to reconcile net income to cash provided by operating
activities

　　Allowance for doubtful accounts

　　6,323

　　23,316

　　Depreciation and amortization

　　117,888

　　134,457

　　Deferred income tax

　　13,879

　　(19,459)

　　Amortization of operating lease right-of-use assets

　　26,195

　　-

　　Unrealized foreign currency exchange loss

　　65,691

　　4,300

　　Changes in operating assets and liabilities:

　　Accounts receivable

　　(2,898,493)

　　(410,656)

　　Inventories

　　(391,958)

　　482,914

　　Advance to suppliers

　　1,738,442

　　(1,787,999)

　　Prepaid expenses and other current assets

　　(99,108)

　　17,251

　　Accounts payable

　　(760,103)

　　(809,818)

　　Operating lease liabilities

　　(21,975)

　　-

　　Taxes payable

　　1,120,847

　　905,514

　　Accrued expenses and other current liabilities

　　786,942

　　412,845

　　Net cash provided by operating activities

　　1,999,769

　　547,160

　　Cash flows from investing activities

　　Purchase of property and equipment

　　(715)

　　(26,957)

　　Capital expenditures on construction-in-progress

　　-

　　(403,911)

　　Net cash used in investing activities

　　(715)

　　(430,868)

　　Cash flows from financing activities

　　Proceeds from short-term loans

　　943,517

　　601,833

　　Proceeds from long-term loans

　　685,067

　　41,001

　　Repayment of short-term loans

　　(457,729)

　　(1,211,475)

　　Repayment of long-term loans

　　(109,382)

　　-

　　Proceeds from (repayment of) borrowings from related parties

　　(1,391,813)

　　393,367

　　Proceeds from (repayment of) third party loans

　　(716,574)

　　76,797

　　Principal payment from (repayment of) finance lease

　　254,970

　　(195,863)

　　Payment for deferred initial public offering costs

　　(155,557)

　　(42,705)

　　Net cash used in financing activities

　　(947,501)

　　(337,045)

　　Effect of changes of foreign exchange rates on cash

　　(64,052)

　　15,605

　　Net increase (decrease) in cash

　　987,501

　　(205,148)

　　Cash, beginning of year

　　53,106

　　293,771

　　Cash, end of year

　　$

　　1,040,607

　　$

　　88,623

　　Supplemental disclosure of cash flow information

　　Cash paid for interest expense

　　$

　　215,268

　　$

　　172,913

　　Cash paid for income tax

　　$

　　1,424

　　$

　　-

　　Supplemental disclosure of non-cash investing and financing activities

　　Amortization of share-based compensation for initial public offering
services

　　$

　　316,668

　　$

　　-

　　Right-of-use assets obtained in exchange for operating lease
obligations

　　255,811

　　-