Company: BRID
Filing Date: 2025-08-22
Form Type: 10-Q
Source: 0001493152-25-012266
Chunk: 115

Company: BRIDGFORD FOODS CORP
Filing Date: 2025-08-22
Form: 10-Q
Item: Part I, Item 2
Chunk 115
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 costs, have and may continue to fluctuate due to both political and economic conditions, including the
ongoing conflicts between Ukraine and Russia, and Israel and Palestine, as well as increased tariffs. Despite these higher commodity costs, we may not be able to increase
our product prices in a timely manner or sufficiently to offset such increased commodity or other costs due to consumer price sensitivity,
pricing in relation to competitors and the reluctance of retailers to accept the price increase. Instances of higher interest rates,
general price inflation or deflation, higher raw materials costs, labor shortages or supply chain issues could adversely affect the Company’s
financial results and its liquidity. Higher product prices could potentially lower demand for our products and decrease volume. Management
believes there are various options available to generate additional liquidity to repay debt or fund operations such as mortgaging real
estate, should that be necessary. Our ability to increase liquidity will depend upon, among other things, our business plans, the performance
of operating divisions, and the economic conditions of capital markets. If we are unable to increase liquidity through mortgaging real
estate or additional borrowing, or generate positive cash flow necessary to fund operations, we may not be able to compete successfully,
which could negatively impact our business, operations, and financial condition. With the cash expected to be generated from the Company’s
operations, we anticipate that we will maintain sufficient liquidity to operate our business for at least the next twelve months. We
will continue to monitor the impact of inflation and interest rate volatility on our liquidity and, if necessary, take action to preserve
liquidity and ensure that our business can operate during these uncertain times.

Cash
flows from operating activities for the thirty-six weeks ended:

    July
    11, 2025  
    July
    12, 2024 
  
    Net loss 
    $(6,610) 
    $(2,730)

    Adjustments to reconcile net loss to net cash
    (used in) provided by operating activities: 

    Depreciation and amortization 
     4,459  
     4,489 
  
    Provision for credit losses on accounts receivable 
     313  
     215 
  
    Decrease in promotional allowances 
     (589) 
     (1,449)
  
    (Gain) loss on sale of property, plant, and
    equipment 
     (167) 
     161 
  
    Changes in operating working
    capital