BranchOut Food Expects Record Q2 Revenue on Production Ramp, Major Retail Launches

BranchOut Food Inc. (NASDAQ: BOF) provided a business update on May 14, 2026, highlighting record production levels and major customer deliveries that position the company for what it expects to be a record revenue quarter in Q2 2026. The company achieved record production of approximately 46,000 kg per month in March and April, the highest levels in its history, driven by preparation for its largest order to date and expanding ingredient and retail channels.

While Q1 2026 revenue was below the record Q4 2025 results, the company attributed this to shipment timing, as Q1 served as a production and inventory build quarter. During Q1, BranchOut built substantial inventory to support large committed customer deliveries scheduled for Q2. The production ramp included preparation for the company’s largest order to the nation’s second largest warehouse club retailer, continued industrial ingredient growth, and ongoing shipments to the nation’s largest warehouse club retailer.

BranchOut delivered its largest order in company history to the nation’s second largest warehouse club retailer, launching Crunchy Fruit Chips nationwide in over 600 locations. Early sales data indicates the product is performing exceptionally well and exceeding the retailer’s internal thresholds for potential everyday placement. BranchOut estimates that an everyday program for this item could represent approximately $15 million in annual recurring revenue.

The company is also in final negotiations for a potential large-scale tolling partnership with a major household name brand. Under the proposed structure, the customer would supply raw materials while BranchOut provides drying and manufacturing services. Management estimates the program could generate approximately $6–7 million in annual revenue once fully ramped in the second half of 2026, with significantly higher gross margins due to minimal raw material cost.

BranchOut continues expanding its partnership with the nation’s largest warehouse club retailer through additional regional programs and new product launches. During Q2, the retailer placed another large Pineapple Chips order for the Southeast region and committed to a larger follow-on order for Q4. The company also secured its first regional launch of Mango Chips into the Bay Area market, which management believes has the potential to outperform the current top-selling Pineapple Chips.

In addition, BranchOut conducted a major innovation meeting with the world’s largest retailer, showcasing more than 35 product concepts across multiple categories, including crunchy dried cheese products, shelf-stable cheesecake bites, and chocolate-covered fruit. Management noted strong interest across multiple product lines and several potential SKU opportunities, though initial launches are now expected to progress into early 2027.

The ingredient and bulk supply channel continues to expand rapidly, with BranchOut now expecting this channel to generate approximately $6–7 million in revenue during 2026, compared to nearly $2 million in 2025. The company is also expanding into the European private label market through a partnership with a German-based private label snack company, with an initial commercial order of approximately $500,000 expected in May 2026.

Kaufman Capital has provided approximately $2.25 million in new capital through non-dilutive working capital loans and warrant exercise to support the company’s accelerating growth. The terms of Kaufman Capital’s convertible note were amended to extend maturity and reduce the interest rate from 12% to 8%. Management believes this continued support reflects strong alignment between the company’s largest investor and its growth strategy.

For more information, visit www.branchoutfood.com or follow the company’s newsroom at https://tinyurl.com/bofnewsroom.