Company: BOF
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021655
Chunk: 128

Company: BranchOut Food Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 2
Chunk 128
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4, an increase of $146,275, or 116%. Advertising and promotions expenses increased for the three months ended September 30, 2025,
mostly due to increased in-store product demos with one of our largest customers.

Other
Income (Expense)

In
the three months ended September 30, 2025, other expense was $145,048 on a net basis, consisting of $148,964 of interest expense, as
partially offset by $3,916 of interest income. For the three months ended September 30, 2024, other expense was $367,650 on a net basis,
consisting of $370,532 of interest expense, as partially offset by $2,882 of interest income. Other expense decreased by $222,602, or
61%, primarily due to the 2024 $150,462 write-off of deferred financing costs and $89,949 of additional interest expense related to the
modification of warrants.

Net
loss

Net
loss for the three months ended September 30, 2025, was $1,572,552, compared to $1,270,805 for the three months ended September 30, 2024,
an increase of $301,747, or 24%. The increased net loss was due to scaling up production at our in-house manufacturing facility. Our
objective is to achieve 100% utilization, which we believe will allow us to leverage fixed costs, improve operating efficiency, and capture
additional gross margin benefits as production volumes grow.

32

Results
of Operations for the Nine Months Ended September 30, 2025, and 2024

The
following table summarizes selected items from the statement of operations for the nine months ended September 30, 2025, and 2024, respectively.

    Nine Months Ended  

    September 30,  
    Increase / 

    2025  
    2024  
    (Decrease) 

    Net revenue 
    $9,713,287  
    $5,011,497  
    $4,701,790 
  
    Cost of goods sold 
     7,984,763  
     4,242,810  
     3,741,953 
  
    Gross profit 
     1,728,524  
     768,687  
     959,837 
  
    Gross margin 
     17.8% 
     15