BranchOut Food (BOF) investor relations material

Executive summary

• Net revenue for Q2 2025 rose 142% year-over-year to $3.3M, driven by increased sales and the transition to in-house manufacturing at the new Peru facility.

• Achieved record monthly revenue of $1.7M in June with a 27% gross margin, nearing breakeven EBITDA, reflecting operational milestones and surging demand.

• Year-to-date revenue grew 129% for the first six months of 2025 versus 2024, driven by strong retail and ingredient channel demand.

• Gross margin improved to 18.4% in Q2 2025 from 10.9% year-over-year, reflecting efficiency gains from insourcing production.

• Net loss widened to $1.6M for Q2 2025, up 70% year-over-year, due to higher operating expenses and interest costs associated with scaling production.

Financial highlights

• Q2 2025 net revenue: $3.3M (up 142% year-over-year); six months ended June 30, 2025: $6.5M (up 129%).

• June revenue reached $1.7M, the highest monthly figure to date, with a 27% gross margin.

• Q2 2025 gross profit: $606K (gross margin 18.4%); six months: $1.16M (gross margin 17.8%).

• Q2 2025 operating loss: $1.35M; net loss: $1.6M (EPS: -$0.17); six months net loss: $2.52M (EPS: -$0.27).

• Current liability debt reduced by 67% in Q2, from $6.39M to $2.16M.

Outlook and guidance

• Management expects further margin expansion as production at the Peru facility scales and fixed costs are leveraged.

• Anticipates gross margin improvement of 3-4% as air freight is replaced by ocean freight and as factory utilization increases.

• Ongoing focus on expanding product mix, customer base, and raising additional capital to support operations.

• Substantial doubt remains about the ability to continue as a going concern without additional funding.

• Strong sell-through in warehouse clubs and national retailers, with additional growth expected from ingredient sales and favorable tariff environment.