TLDR
- BOF stock surges 31% after record Q3 results and a bold push toward profit.
- BranchOut hits $16M run rate, trims debt, and eyes expansion in 2026.
- Q3 success fuels BOF’s climb as operations scale and margins improve.
- BranchOut’s production peaks, balance sheet strengthens, stock rallies.
- BOF delivers big in Q3, sets sights on retail growth and higher margins.
BranchOut Food (BOF) surged 31.4% to $2.75 after releasing record third-quarter results signaling a move toward profitability.
BranchOut Food Inc., BOF
The stock peaked near $3.25 before stabilizing, showing intense market activity and strong confidence in the company’s performance. BOF attributed the rally to operational gains, improved margins, and a strengthened balance sheet, setting the stage for accelerated growth in 2026.
Record Output and Operational Milestone
BOF achieved its highest production month in September, surpassing 38,500 kilograms of finished products. The milestone established a $16 million annualized production run rate, marking a significant step toward profitability. The Peru facility expanded output to meet growing demand from warehouse club programs and retail channels.
The company optimized production of its strawberry product, initially a technical challenge, to deliver consistent large-scale results. This success positioned the item among the top sellers in the Los Angeles region’s warehouse clubs. BOF gained national visibility within the club’s retail network.
With most R&D and scale-up efforts completed, the company expects stronger production efficiency and lower costs moving forward. It reached a 17% gross margin in the quarter, but excluding air shipping costs, margins approached 30%. BOF projects higher profitability in 2026 as new orders increase production beyond breakeven levels.
Financial Strength and Balance Sheet Improvement
During the third quarter, BOF generated $3.2 million in revenue, bringing year-to-date revenue to $9.7 million. The growth reflected robust demand and consistent progress toward scaling its product lines. The company also completed its ATM equity program, providing vital growth capital and reducing debt significantly.
Current notes payable dropped from $6.39 million to just $0.5 million, improving financial flexibility. The company expects to clear the remaining balance soon, further strengthening its position. BOF enters 2026 with a leaner balance sheet and renewed operational momentum.
The management emphasized that higher efficiency, combined with reduced debt, will enhance cost performance. The transition from air to ocean freight will continue lowering shipping expenses. BOF is better positioned to scale operations and improve margins sustainably.
Growth Outlook and Leadership Expansion
BOF confirmed plans to purchase another EnWave REV 120kW machine to boost production capacity in early 2026. This investment supports expanding global operations and meeting rising product demand. The company secured exclusive global rights to produce dragon fruit using EnWave’s REV technology.
The new capability positions BOF within a fast-growing healthy snack segment. It is already pursuing several large commercial opportunities centered on dragon fruit-based products. Discussions with major U.S. retailers continue, setting the stage for broader market penetration next year.
To support its expanding retail and digital strategy, the company appointed Jesse Thomas as Chief Marketing Officer. Thomas brings extensive CPG and e-commerce expertise, strengthening BranchOut’s direct-to-consumer presence. With these initiatives, BOF aims to accelerate profitability and solidify its leadership in dehydrated fruit and vegetable snacks.