Company: SWAGW
Filing Date: 2025-03-07
Form Type: 10-Q
Source: 0001213900-25-021742
Chunk: 148

Company: Stran & Company, Inc.
Filing Date: 2025-03-07
Form: 10-Q
Item: Part I, Item 1
Chunk 148
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% 
    $5,732  
     100.0% 
    $2,404  
     41.9%

Operating
expenses consist of general and administrative expenses. Our operating expenses increased 41.9% to
approximately $8.1 million for the three months ended September 30, 2024,
from approximately $5.7 million for the three months ended September 30, 2023.
As a percentage of sales, operating expenses increased to 40.4% for the three months ended September 30, 2024,
from 29.1% for the three months ended September 30, 2023. For the Stran segment, the increase
in the dollar amount of operating expenses was primarily due to expenses related to Stran’s NetSuite enterprise resource planning system
implementation, acquisition and integration of the Gander Group Assets, and legal and accounting expenses related to the re-audit of historical
financial statements. For the SLS segment, the increase was due to the acquisition the Gander Group Assets in August 2024.

Other
Income

Other income
consists of other income (expense), interest income, and realized gain on investments. Our other expense was approximately $22
thousand for the three months ended September 30, 2024,
compared to other income of approximately $202 thousand for the three months ended September 30, 2023.
This change was primarily due to noncash accretion expense related to certain installment payment liabilities. Our
interest income was approximately $64 thousand for the three months ended September
30, 2024, compared to approximately $183 thousand for
the three months ended September 30, 2023. This change was primarily due to a decrease in interest
generated from investments. Our realized gain on investments was approximately $103 thousand for the three months ended September
30, 2024, compared to approximately $77 thousand for the three months ended September 30,
2023. This change was primarily due to the sale of investments above their initial value.

Income Tax Provision

Income tax provision reflects statutory tax rates
in the jurisdictions in which we operate adjusted for permanent book/tax differences.

Income tax provision for the three months ended
September 30, 2024 was approximately $(1) thousand compared to income tax provision of approximately $(0.1) million for the three months
ended September 30, 2023. Income tax provision for the three months ended September 30,