Company: BOF
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001641172-25-023605
Chunk: 114

Company: BranchOut Food Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Item 8
Chunk 114
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due to interest on the Kaufman Convertible Note and Notes Payable with related parties.

Net
loss

Net
loss for the six months ended June 30, 2025, was $2,521,538, compared to $1,993,521 for the six months ended June 30, 2024, an increase
of $528,017, or 26%. 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

Liquidity
and Capital Resources

The
following table summarizes our total current assets, liabilities and working capital as of June 30, 2025 and December 31, 2024.

    June 30,  
    December 31, 

    2025  
    2024 
  
    Current Assets 
    $5,201,109  
    $4,916,614 

    Current Liabilities 
    $4,538,892  
    $8,813,996 

    Working Capital 
    $662,217  
    $(3,897,382)

As
of June 30, 2025, we had working capital of $662,217. We have incurred net losses since our inception and we anticipate net losses and
negative operating cash flows for the near future, and we may not be profitable or realize growth in the value of our assets. To date,
our primary sources of capital have been cash generated from the sales of our products, common stock sales, and debt and equity financing.
As of June 30, 2025, we had cash of $641,129, total liabilities of $9,608,777, and an accumulated deficit of $20,083,595. As of December
31, 2024, we had cash of $2,329,452, total liabilities of $10,514,292, and an accumulated deficit of $17,562,057.

Cash
Flow

Comparison
of the Six Months Ended June 30, 2025, and the Six Months Ended June 30, 2024

The
following table sets forth the primary sources and uses of cash for the periods presented below:

    Six Months Ended 

    June 30, 

    2025