Company: BOF
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021655
Chunk: 131

Company: BranchOut Food Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 2
Chunk 131
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 Pisco, Peru production facility. Travel
increased due to the opening of the facility in Peru and sales initiatives to expand production distribution. Commissions increased due
to increased sales.

Salaries
and Wages

Salaries
and wages for the nine months ended September 30, 2025, was $1,172,474, compared to $1,257,316 for the nine months ended September 30,
2024, a decrease of $84,842, or 7%. This decrease was primarily attributable to $408,700 of non-cash, stock-based compensation for the
nine months ended September 30, 2024, compared to $102,289 of non-cash, stock-based compensation related to stock options awarded during
the current period. This decrease is mostly offset by increases in salaries and wages related to the hiring of employees to support production
ramp-up at the Peru facility.

Professional
Fees

Professional
fees for the nine months ended September 30, 2025, was $806,736, compared to $1,064,567 for the nine months ended September 30, 2024,
a decrease of $257,831, or 24%. This decrease was primarily attributable to $290,085 of non-cash, stock-based compensation for the nine
months ended September 30, 2024.

Shipping
and handling

Shipping
and handling for the nine months ended September 30, 2025, was $421,313, compared to $311,073 for the nine months ended September 30,
2024, an increase of $110,240 or 35%. This increase was primarily attributable to an increase in sales volumes.

Advertising
and promotions

Advertising
and promotions for the nine months ended September 30, 2025, was $579,507, compared to $223,801 for the nine months ended September 30,
2024, an increase of $355,706, or 159%. Advertising and promotions expenses increased for the nine months ended September 30, 2025, compared
to the corresponding period in 2024, mostly due to increased in-store product demos with one of our largest customers.

Other
Income (Expense)

In
the nine months ended September 30, 2025, other expense was $638,025 on a net basis, consisting of $653,677 of interest expense, as partially
offset by $15,652 of interest income. For the nine months ended