Company: BRID
Filing Date: 2025-08-22
Form Type: 10-Q
Source: 0001493152-25-012266
Chunk: 37

Company: BRIDGFORD FOODS CORP
Filing Date: 2025-08-22
Form: 10-Q
Item: Part I, Item 1
Chunk 37
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 store products before shipment to the directly store delivery warehouses and customers. Wages and bonus
increased due to increases in hourly wages. Travel expenses increased due to participation in food shows and in-person business
meetings. Product advertising decreased mainly due to renegotiation of commission percentages with brokers in the Frozen Food
Products segment and decreased fees paid under brand licensing agreements in the Snack Food Products segment during the thirty-six
weeks ended July 11, 2025. None of the changes individually or as a group of expenses in “Other SG&A” were
significant enough to merit separate disclosure. The major components comprising the increase of “Other SG&A”
expenses were higher provisions for bad debt and; higher shipping expense, offset by lower insurance and fuel costs.

Selling,
General and Administrative Expenses-Frozen Food Products Segment

SG&A
expenses in the Frozen Food Products segment decreased by $328 (3.4%) to $9,401 in the thirty-six-week period of fiscal year 2025 compared
to the same thirty-six-week period in the prior fiscal year. The overall decrease in SG&A expenses was due to lower product advertising,
including broker commissions, partially offset by higher travel expenses.

Selling,
General and Administrative Expenses-Snack Food Products Segment

SG&A
expenses in the Snack Food Products segment increased by $688 (2.0%) to $34,405 in the thirty-six-week period of fiscal year 2025 compared
to the same thirty-six-week period in the prior fiscal year. Most of the increase was due to higher healthcare costs, higher provision
for bad debt and higher travel expenses partially offset by lower vehicle repairs.

Income
Taxes-Consolidated

Income
tax for the thirty-six weeks ended July 11, 2025, and July 12, 2024, respectively, was as follows:

    July
    11, 2025  
    July
    12, 2024 
  
    Benefit
    on income taxes 
    $(2,283) 
    $(1,119)

    Effective tax rate 
     25.7% 
     29.1%

We
recorded a benefit on income taxes of $2,283 for the thirty-six-week period ended July 11, 2025, and a benefit on income taxes of $1,119
for the thirty-six-week period ended July 12, 2024, related to federal and state taxes, based on the Company’s expected annual
effective