Company: BOF
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021655
Chunk: 134

Company: BranchOut Food Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 2
Chunk 134
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For
the nine months ended September 30, 2025, the effect of exchange rate changes on cash and cash equivalents primarily reflects the translation
impact from fluctuations in the value of the Peruvian sol relative to the U.S. dollar. During the period, the sol experienced modest
depreciation against the U.S. dollar, resulting in a gain on foreign currency translation of $26,634 compared to a loss of $1,794 in
the comparative period.

CRITICAL
ACCOUNTING POLICIES AND ESTIMATES

Our
financial results are affected by the selection and application of accounting policies and methods. As of April 1, 2025, we changed our
manufacturing cost allocation methodology from kilograms produced, to machine hours used in production, to improve costing as we scale
product mix and invest in research and development. The change resulted in an immaterial impact to the valuation of inventory and resulting
costs of goods sold from our Annual Report on Form 10-K for the year ended December 31, 2024.

CAUTIONARY
NOTICE REGARDING FORWARD-LOOKING STATEMENTS

This
report includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). All statements in this report, other
than statements of historical fact, are “forward-looking statements” for purposes of these provisions, including any projections
of earnings, revenues or other financial items, any statements of the plans and objectives of our management for future operations, any
statements concerning proposed new products or services, any statements regarding the integration, development or commercialization of
the business or any assets acquired from other parties, any statements regarding future economic conditions or performance, and any statements
of assumptions underlying any of the foregoing. In some cases, forward-looking statements can be identified by the use of terminology
such as “may,” “will,” “expects,” “plans,” “anticipates,” “intends,”
“seeks,” “believes,” “estimates,” “potential,” “forecasts,” “continue,”
or other forms of these words or similar words or expressions, or the negative thereof or other comparable terminology. Although we believe
that the expectations reflected in the forward-looking statements contained herein are reasonable, there can be no assurance that such
expectations or any of the forward-looking statements will prove to be correct