Company: BOF
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010566
Chunk: 96

Company: BranchOut Food Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 8
Chunk 96
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    Professional services 
     235,034  
     390,666  
     (155,632)
  
    Total operating expenses 
     1,235,055  
     1,308,688  
     (73,633)

    Operating loss 
     (682,540) 
     (1,025,100) 
     (342,560)

    Other income (expense): 

    Interest income 
     5,136  
     2,877  
     2,259 
  
    Interest expense 
     (240,978) 
     (28,744) 
     212,234 
  
    Total other income (expense) 
     (235,842) 
     (25,867) 
     209,975 

    Net loss 
    $(918,382) 
    $(1,050,967) 
    $(132,585)

Net
Revenue

Our
net revenue for the three months ended March 31, 2025 was $3,193,522, compared to $1,467,016 for the three months ended March 31, 2024,
an increase of $1,726,506, or 118%. The increase in revenue was primarily due to increased sales to our two largest customers during
the three months ended March 31, 2025.

Cost
of Goods Sold and Gross Profit

Our
cost of goods sold for the three months ended March 31, 2025 was $2,641,007, compared to $1,183,428 for the three months ended March
31, 2024, an increase of $1,457,579, or 123%. Cost of goods sold increased primarily due to increased sales during the three months
ended March 31, 2025. As a result of the foregoing, we had gross profit of $552,515, representing gross margins of 17%, for the
three months ended March 31, 2025 as compared to a gross profit of $283,588, or gross margins of 19%, for the three months ended
March 31, 2024. Our gross profit margin decreased slightly due primarily to costs incurred transitioning the production of our products to the Peru
Facility. We anticipate that our margins will increase as we ramp up production and utilize more of the
facility’s capacity. Cost of goods sold included depreciation expense for