Company: SWAGW
Filing Date: 2025-03-07
Form Type: 10-Q
Source: 0001213900-25-021742
Chunk: 199

Company: Stran & Company, Inc.
Filing Date: 2025-03-07
Form: 10-Q
Item: Part I, Item 2
Chunk 199
---
 margin for the Stran segment to 31.8% for the three months ended September 30, 2024 compared
to 32.5% for the three months ended September 30, 2023 was primarily due to increases in product costs from vendors. For the SLS segment,
the increase in the dollar amount was due to the acquisition of the Gander Group Assets in August 2024.

36

Operating
Expenses

Operating expenses by segment and in total were
as follows:

    Three Months Ended
    September 30,  
       
    Three Months Ended
    September 30,  
       
    Increase / (Decrease) 

    2024  
    % of Total  
    2023  
    % of Total  
    $  
    % 

    Stran 
    $7,319  
     90.0% 
    $5,732  
     100.0% 
    $1,587  
     27.7%
  
    SLS 
     817  
     10.0% 
     —  
     —% 
     817  
     100.0%
  
    Total operating expenses 
    $8,136  
     100.0% 
    $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),