BranchOut Food Achieves Record First Quarter
Leading food technology company, BranchOut Food Inc. (Nasdaq: BOF), has reported record financial results for the first quarter ending March 31, 2024. The company achieved revenue growth of 1,407%, year over year, reaching $1.47 million. Additionally, BranchOut Food achieved a gross margin of 19% in Q1 2024, a significant improvement from -3% in Q1 2023.
The company has achieved significant growth over the last 12 months, including repeat orders from the nation’s largest warehouse club and the nation’s largest retailer, among other retailers across the country. BranchOut Food has secured an additional $8 million in recurring revenue plus $1.1 million in rotational retailer commitments for 2024.
Commenting on the news, Eric Healy, CEO of BranchOut Food, said, “This quarter’s exceptional performance confirms the strong momentum of our growth strategy. We now have contracts totaling about $8 million in annualized revenue that will continue to layer on throughout the year. Additionally, we have commitments for approximately $1.1 million in rotation orders from the nation’s largest warehouse club retailer expected in Q3 and Q4.”
Earlier this month, the company announced it had secured a long term lease for a large-scale production facility in Peru, capable of $40 million in production capacity. Under the terms of the agreement, BranchOut Food has the first right to purchase the 50,000 square foot facility at a fixed price at any point during the 10-year term.
“The gross margin of 19% this quarter marks a tremendous improvement from past performances, largely due to strategic adjustments in our cost management and enhanced supply chain consistency and management. This is expected to increase to 40-50% with our new production facility in Peru. This strategic move into a region abundant with low cost fruits and vegetables enhances our control over production and significantly boosts operational efficiency. Looking ahead, the Company anticipates growing momentum in the overall business and remains focused on achieving profitability while executing on additional value-enhancing strategic initiatives.”
Demonstrating its commitment to innovation and meeting the needs of its growing customer base, BranchOut Food has expanded its product range with the launch of salad toppers and kids’ snack packs. The move broadens the company’s offering beyond traditional snacking categories.
About BranchOut Food Inc.
BranchOut Food is an international food-tech company delivering truly great natural snacks and real superfood ingredients enabled by its licensed dehydration technology. The company’s GentleDry Technology is the next generation in dehydration technology, preserving up to 95% of the original nutrition of fresh fruits and vegetables. BranchOut’s technology is protected by more than 17 patents. BranchOut Food is proud to be a leading provider of high-quality dehydrated fruit and vegetable-based products and its commitment to quality and innovation sets it apart as a trusted brand and private label supplier. For more information about BranchOut Food Inc. and its products, please visit www.branchoutfood.com and follow us on LinkedIn and Twitter.
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