Company: BOF
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021655
Chunk: 106

Company: BranchOut Food Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 8
Chunk 106
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 allowance has been recorded against the Federal
and state deferred tax assets as of September 30, 2025, and December 31, 2024.

Additionally,
in accordance with ASC 740, the Company has evaluated its tax positions and determined there are no uncertain tax positions.

Note
21 – Subsequent Events

The
Company evaluates events that have occurred after the balance sheet date through the date these financial statements were issued, noting
no reportable event, except as follows:

Stock
Options Grant

On
October 15, 2025 the Company granted options to purchase 50,000 shares of the Company’s common stock having an exercise price of
$2.09 per share, exercisable over a 10-year term, to an employee for services performed. The options vest in 36 equal monthly installments
over the three-year period following the issuance date. The aggregate estimated value using the plain vanilla Black-Scholes Pricing Model,
based on a volatility rate of 45% and a call option value of $1.6343, and an expected term of 6.5 years, was $53,238.

Exercise
of Warrants

On
October 17, 2025 warrants were exercised to purchase an aggregate of 61,381 shares of the Company’s common stock at an exercise
price of $0.96 per share for aggregate cash proceeds of $58,926.

On
various dates in October and November 2025 warrants were exercised to purchase an aggregate 50,000 of common stock at an exercise price of $1.00 per share for aggregate
cash proceeds of $50,000.

29

ITEM
2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

You
should read the following discussion of our financial condition and results of operations in conjunction with the condensed financial
statements and the notes thereto included elsewhere in this Quarterly Report on Form 10-Q and with our audited financial statements included
in our Annual Report on Form 10-K for the year ended December 31, 2024. In addition to historical condensed financial information, the
following discussion contains forward-looking statements that reflect our plans, estimates, and beliefs. Our actual results could differ
materially from those discussed in the forward-looking statements.

Overview

BranchOut
Food Inc., is reimagining how the world eats fruits and vegetables. We are engaged in the development, marketing, sale and distribution
of plant-based, dehydr