Summary by Moomoo AI
BranchOut Food Inc. reported Q3 2024 net revenue of $2.18 million, up 141% from $907,000 in Q3 2023, driven by increased sales to its largest customer. Gross profit improved to $336,340 with 15% margins compared to a gross loss in the prior year, benefiting from cost savings through bulk shipping arrangements.Operating expenses increased to $1.24 million from $671,383 last year due to higher marketing costs, rent and travel expenses related to the new Peru facility development. The company recognized $518,233 in interest expenses for the nine months, up from $406,000, as it took on additional debt to fund expansion. Net loss widened to $1.27 million from $706,000 in Q3 2023.The company commenced operations at its new 50,000 square-foot Peru production facility in October 2024, marking a significant expansion milestone. However, with an accumulated deficit of $16.1 million and working capital of $702,541 as of September 30, management noted substantial doubt about the company's ability to continue as a going concern without additional funding.
