{"url_path":"/sec/cik-0001566243/10-k/2026/item-8","section_key":"item-8","section_title":"Item 8 FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA**","topic":"sec","document":{"doc_type":"10-K","doc_date":"2026-06-10","source_url":"https://www.sec.gov/Archives/edgar/data/1566243/0001753926-26-000995-index.html","accession_number":"0001753926-26-000995","cik":"0001566243","ticker":null,"issuer_name":"Arax Holdings Corp","edgar_url":"https://www.sec.gov/Archives/edgar/data/1566243/0001753926-26-000995-index.html","primary_entity_key":"0001566243","primary_entity_name":"Arax Holdings Corp"},"word_count":756,"has_tables":true,"body_markdown":"**ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA**\n\n \n\n[Report of Independent Registered Public Accounting Firm](#b001)\nF-2\n\n \n \n\n[Consolidated Balance Sheets as of October 31, 2024 and 2023 (Restated)](#b002)\nF-3\n\n \n \n\n[Consolidated Statements of Operations for the Years Ended October 31, 2024 and 2023(Restated)](#b003)\nF-4\n\n \n \n\n[Consolidated Statements of Changes in Stockholders’ (Deficit) for the Years Ended October 31, 2024 and 2023  (Restated)](#b004)\nF-5\n\n \n \n\n[Consolidated Statements of Cash Flows for the Years Ended October 31, 2024 and 2023 (Restated)](#b005)\nF-7\n\n \n \n\n[Notes to Consolidated Financial Statements](#b006)\nF-8\n\n \n\nF-1\n\n \n\n \n\n**REPORT OF INDEPENDENT REGISTERED PUBLIC\nACCOUNTING FIRM**\n\n \n\nTo the Board of Directors and Shareholders\nof Arax Holdings Corp.\n\n \n\n**Opinion on the Financial Statements**\n\n \n\nWe have audited the accompanying consolidated\nbalance sheets of Arax Holdings Corp. (“the Company”) as of October 31, 2024 and 2023, and the related consolidated\nstatements of operations, changes in stockholder’s (deficit), and cash flows for each of the years in the two-year period\nended October 31, 2024, and the related notes (collectively referred to as the financial statements). In our opinion, the financial\nstatements present fairly, in all material respects, the financial position of the Company as of October 31, 2024, and 2023 and\nthe results of its operations and its cash flows for each of the years in the two-year period ended October 31, 2024, in conformity\nwith accounting principles generally accepted in the United States of America.\n\n \n\n**Going Concern**\n\n \n\nThe accompanying financial statements have\nbeen prepared assuming that the Company will continue as a going concern. As discussed in Note 3 with the financial statements,\nthe Company has a working capital deficit and an accumulated deficit. These factors, among others, raise substantial doubt about\nthe Company’s ability to continue as a going concern. Management’s plans in regard to these matters are also described\nin Note 3. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.\n\n \n\n**Basis for Opinion**\n\n \n\nThese financial statements are the responsibility\nof the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based\non our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB)\nand are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable\nrules and regulations of the Securities and Exchange Commission and the PCAOB.\n\n \n\nWe conducted our audits in accordance with\nthe standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether\nthe financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have,\nnor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required\nto obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the\neffectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.\n\n \n\nOur audits included performing procedures\nto assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures\nthat respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures\nin the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made\nby management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a\nreasonable basis for our opinion.\n\n \n\n**Emphasis of a Matter – Restatement\nof Previously Issued Financial Statements**\n\n \n\nAs discussed in Note 2 to the financial\nstatements, the Company has restated its previously issued financial statements for the year ended October 31, 2023, to correct\nerrors related to accounting for a transaction with a company under common control and the classification of certain software development\ncosts. Our opinion on the financial statements as of October 31, 2023, is not modified with respect to this matter.\n\n \n\n**Critical Audit Matters**\n\n \n\nCritical audit matters are matters arising\nfrom the current period audit of the financial statements that were communicated or required to be communicated to the audit committee\nand that (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging,\nsubjective, or complex judgments. We determined that there were no critical audit matters.\n\n \n\n \n\nFruci & Associates II, PLLC – PCAOB ID #05525\n\nWe have served as the Company’s auditor since 2024.\n\n \n\nSpokane, Washington\n\nJune 10, 2026\n\n \n\nF-2\n\n \n\n \n\n**PART 1 – FINANCIAL INFORMATION**"}