Milestone Medical : Quarterly report of Milestone Medical, 1st quarter 2022

Consolidated report of

MILESTONE MEDICAL INC. and its SUBSIDIARY

1st quarter (January 1, 2022 to March 31, 2022)

Report includes:

1. General information about Milestone Medical, Inc. ("Issuer") and Milestone Medical Poland Sp. Z o.o. (the Subsidiary), collectively the Company or Milestone Medical.
2. Consolidated financial statements prepared according to the accounting rules applicable to the Issuer together with information on accounting rules (policy) applied to the preparation of report.
3. Information on the rules applied to the preparation of the report, including information on changes to the applied accounting rules (policies).
4. Brief description of the most important achievements or failures of the Issuer and its Subsidiary during the period of the report as well as a description of the most important factors and events, atypical ones, which affect the achieved results.
5. A description of the status of implementation of activities and investments of the Issuer and its Subsidiary and the timetable of their implementation.
6. If the Issuer and its Subsidiary took initiatives to develop, its activities aimed to implement innovative solutions at the enterprise during the period of the report - information on such activities.
7. Description of the organization of the group indicating consolidated entities.

New Jersey, May 16, 2022

Milestone Medical, Inc.

Condensed Consolidated Quarterly Report for 1Q 2022

1. General information

Table 1 General Information about the Issuer

THE ISSUER	MILESTONE MEDICAL INC.
	(Earlier: Milestone Scientific Research and Development, Inc.)
Registered office/Office:	425 Eagle Rock Avenue, Roseland, NJ 07068, USA
Telephone number:	011-973-535-2717
Facsimile number:	011-973-535-2829
E-mail:	[e-mail]
Main website address:	www.medicalmilestone.com
Source: The Issuer
1.1 Shareholding structure

In the table below shares issued are outstanding for computing the ownership percentage of shareholders holding at least 5% of votes at the General Meeting of Shareholders, applicable percentages are based on 22,000,000 shares outstanding on the date of this annual report preparation. All percentages are rounded.

Table 2 Shareholder structure with specification of shareholders holding at least 5% of votes at the General Meeting of Shareholders at the date of the report.

Name of Shareholder	Number of owned	Shareholding/votes at General
shares/votes	Meeting of Shareholders [%]
MILESTONE SCIENTIFIC, INC.	21,633,084	98.33%
OTHERS (<5%)	366,916	1.67%
TOTAL	22,000,000	100.00%
Source: The Issuer

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1.2. Board of Directors

Table 3 Board of Directors

	NAME OF DIRECTOR		CURRENT		DIRECTOR		END OF TERM
		AGE		SINCE
	Zhu Yun		56		Aug -18		Next Annual Meeting of Shareholders
	Martin S. Siegel	77		Aug -18		Next Annual Meeting of Shareholders

Source: The Issuer

On August 18, 2021 the Annual General Meeting of Shareholders adopted the resolution on the appointment of two directors: Zhu Yun and Martin S. Siegel to the Board of Directors for new term of office. The resolution has been entered into force on the date of adoption. The Directors to the Board have been elected to serve until the next Annual Meeting of Shareholders or until their respective successors have been elected and qualified.

1.3. Information on the number of persons employed by the Issuer converted into FTEs.

As of March 31, 2022, the Issuer employed nine (11) full time employees and nine (9) persons allocated from the parent company (Milestone Scientific, Inc.) converted into full-time equivalents ("FTEs"). The Company expanded its medical sales team in 2021 and 1Q 2022 and will continue to promote direct marketing support to hospitals and pain clinics throughout the world during 2022.

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2. Condensed Consolidated quarterly financial statements

Condensed Consolidated quarterly financial statements prepared according to the accounting rules applicable to the Issuer and its Subsidiary together with information on accounting rules (policy) applied to the preparation of report.

Milestone Medical, Inc. and Subsidiary Condensed Consolidated Financial Statements As of March 31, 2022 and December 31, 2021, andfor the three months ended March 31, 2022 and 2021

Table of Contents	Page
Condensed Consolidated Financial Statements:
Condensed Consolidated Balance Sheets	5
Condensed Consolidated Statements of Operations	6
Condensed Consolidated Statement of Changes in Stockholders' Deficit	7
Condensed Consolidated Statements of Cash Flows	8
Notes to Condensed Consolidated Financial Statements	9-16

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Milestone Medical, Inc. and Subsidiary

Condensed Consolidated Balance Sheets

(unaudited)

ASSETS	March 31, 2022		December 31, 2021
Cash	$	20,241	$	35,448
Accounts receivable		6,389			14,650
Inventories, net		1,094,049			1,122,029
Advances to contractors		34,383			34,383
Prepaid expenses and other current assets		140,382			159,543
Total current assets		1,295,444			1,366,053
Equipment, net		6,439			7,458
Total assets	$	1,301,883	$	1,373,511
LIABILITIES AND STOCKHOLDERS' DEFICIT
Accounts payable	$	93,731	$	180,536
Accrued expenses and other payables		385,598			269,301
Accrued interest payable- related party		607,573			585,135
Advances from related party		19,598,749			18,520,251
Due to related party		2,800,000			2,800,000
Total current liabilities	$	23,485,651	$	22,355,223
Commitments
Stockholders' deficit
Common stock, par value $.0001; authorized 50,000,000
shares; 22,000,000 shares issued and outstanding at
March 31, 2022, and December 31, 2021.		2,200			2,200
Additional paid-in capital
	7,560,284			7,502,363
Accumulated deficit		(29,746,252)			(28,486,275)
Total stockholders' deficit		(22,183,768)			(20,981,712)
Total liabilities and stockholders' deficit	$	1,301,883	$	1,373,511
See Notes to Condensed Consolidated Financial Statements

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