BARFRESH FOOD GROUP INC.
For the period ended Sep 30, 2025. Filed Nov 6, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 6, 2025
BRFH$0.46+0.7%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-08-13.
0001641172-25-023503
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-11-06.
0001493152-25-021070
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 55 previous paragraphs and 54 current paragraphs.
24 unchanged; 14 reworded; 16 added; 14 removed; 3 previous and 0 current paragraphs rearranged.
Tables are not compared: 4 previous and 4 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (16)
Current report
Revenue increased $594,000, or 16%, to $4,231,000 in 2025 as compared to $3,637,000 in 2024.
Current report
Cost of revenue increased $302,000, or 13%, to $2,679,000 in 2025 as compared to $2,377,000 in 2024. Cost of revenue increased at a lower rate compared to revenue due to the non-recurrence in 2025 of manufacturing relocation expenses incurred in 2024, partially offset by inventory costs.
Current report
Selling, marketing and distribution expense decreased approximately $49,000 (5%) from approximately $990,000 in 2024 to $941,000 in 2025.
Current report
Storage and outbound freight expense increased approximately $11,000 (2%) from approximately $480,000 in 2024 to $491,000 in 2025, a slower pace than the 16% increase in revenue, primarily due to efficiencies resulting from larger average shipments.
Current report
General and administrative expenses increased approximately $139,000 (20%) from approximately $705,000 in 2024 to $844,000 in 2025.
Current report
Legal, professional and consulting fees increased by approximately $86,000 (239%) from $36,000 in 2024 to $122,000 in 2025 due to costs incurred in association with the Arps acquisition.
Current report
Research and development decreased by approximately $19,000 (37%) from $52,000 in 2024 to $33,000 in 2025 due to a decrease in development activities following the introduction of our Pop & Go product, and a decrease in co-manufacturer development activities in anticipation of our acquisition of Arps.
Current report
Other general and administrative expenses increased by approximately $129,000 (102%) due to costs incurred in association with the acquisition of Arps.
Current report
We had net losses of approximately $290,000 and $513,000 for the three-month periods ending September 30, 2025 and 2024, respectively. The decrease in net loss of approximately $223,000 was primarily due to the increase in revenue and gross margin, and the reduction in operating expense exclusive of Arps acquisition expenses.
Current report
Revenue increased $857,000, or 11%, to $8,786,000 in 2025 as compared to $7,929,000 in 2024.
Current report
Selling, marketing and distribution expense increased approximately $132,000 (6%) from approximately $2,267,000 in 2024 to $2,399,000 in 2025.
Current report
Storage and outbound freight expense increased approximately $96,000 (9%) from approximately $1,061,000 in 2024 to $1,157,000 in 2025, primarily because of the 11% increase in revenue, offset by shipping efficiencies.
Current report
General and administrative expenses decreased approximately $159,000 (7%) from approximately $2,423,000 in 2024 to $2,264,000 in 2025.
Current report
Personnel cost increased by approximately $20,000 (2%) from approximately $916,000 in 2024 to $936,000 in 2025.
Current report
Research and development decreased by approximately $17,000 (17%) from $99,000 in 2024 to $82,000 in 2025 due to a decrease in development activities following the introduction of our Pop & Go product, and a decrease in co-manufacturer development activities in anticipation of our acquisition of Arps.
Current report
We had net losses of approximately $1,931,000 and $1,973,000 for the nine-month periods ended September 30, 2025 and 2024, respectively, an improvement of $42,000. While revenue increased 11% and operating expenses were reduced by $63,000, these improvements were partially offset by the 3.4 percentage point decrease in gross margin and a $41,000 increase in interest expense.
Removed paragraphs (14)
Previous report
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Previous report
Revenue increased $161,000, or 11%, to $1,625,000 in 2025 as compared to $1,464,000 in 2024.
Previous report
Our operations were primarily directed towards increasing sales and expanding our distribution network.
Previous report
Our operations in 2025 were primarily directed towards increasing sales and expanding our distribution network.
Previous report
Selling, marketing and distribution expense increased approximately $51,000 (9%) from approximately $583,000 in 2024 to $634,000 in 2025.
Previous report
Storage and outbound freight expense increased approximately $59,000 (27%) from approximately $217,000 in 2024 to $276,000 in 2025, primarily because our product mix was more heavily weighted toward categories with less concentrated distribution.
Previous report
General and administrative expenses decreased approximately $192,000 (22%) from approximately $865,000 in 2024 to $673,000 in 2025.
Previous report
We had net losses of approximately $880,000 and $1,011,000 for the three-month periods ended June 30, 2025 and 2024, respectively. The decrease in net loss of approximately $131,000 was primarily due to the reduction in general and administrative expense, partially offset by increased storage and freight costs. Gross profit was relatively flat, as the 3.6 percentage point reduction in gross margin offset the increase in revenue. We expect our gross margin to normalize in the second half of 2025 as new co-manufacturers are operating at full capacity and capability, improving our supply and cost structure.
Previous report
Revenue increased $262,000, or 6%, to $4,555,000 in 2025 as compared to $4,293,000 in 2024.
Previous report
Selling, marketing and distribution expense increased approximately $179,000 (14%) from approximately $1,279,000 in 2024 to $1,458,000 in 2025.
Previous report
Storage and outbound freight expense increased approximately $86,000 (15%) from approximately $581,000 in 2024 to $667,000 in 2025, primarily because our product mix was more heavily weighted toward categories with less concentrated distribution. Additionally, shortages of Twist & Go bottles resulted in freight inefficiencies in an effort to mitigate late deliveries to the extent possible.
Previous report
General and administrative expenses decreased approximately $297,000 (17%) from approximately $1,717,000 in 2024 to $1,420,000 in 2025.
Previous report
Personnel cost increased by approximately $62,000 (10%) from approximately $603,000 in 2024 to $665,000 in 2025. The increase in personnel cost resulted from increased head count, and the non-recurrence of settling paid time off obligations in stock in 2024.
Previous report
We had net losses of approximately $1,641,000 and $1,460,000 for the six-month periods ended June 30, 2025 and 2024, respectively. While revenue increased 6%, the increase in net loss of approximately $181,000 was primarily the result of an 8.2 percentage point decrease in gross margin and a 14% increase in selling, marketing and distribution cost, partially offset by lower general and administrative costs. We expect our gross margin to normalize in the second half of 2025 as new co-manufacturers are operating at full capacity and capability, improving our supply and cost structure.
Reworded paragraphs (14)
Previous wording
We have been able to expand our capacity on a limited basis at our existing smoothie bottle manufacturer and have been developing an additional manufacturer relationship since the fourth quarter of 2024, after the candidate we contracted with in July 2024 was unable to produce product due to insufficient labor and inadequate equipment, and a second candidate was in production trials and only able to package product made at other locations until new equipment that had been ordered arrived and was installed. We expect expanded capacity to become available in the second half of 2025, subject to the risks and uncertainties associated with early-stage production activities, which, along with other contracting and investing activities, including additional capacity from new bottling equipment installed at an existing manufacturer of smoothie cartons, are expected to offset the loss of our existing manufacturer in February 2026
Current wording
Revenue increased as a result of growth in our Twist & Go products and the introduction of Pop & Go in the fourth quarter of 2024. We have been able to expand our capacity on a limited basis at our existing smoothie bottle manufacturer and have been developing an additional manufacturer relationship since the fourth quarter of 2024. With the acquisition of Arps, we expect expanded capacity to become available in the fourth quarter of 2025, subject to the risks and uncertainties associated with early-stage production activities.
Previous wording
Our gross profit was $1,406,000 (30.9%) and $1,679,000 (39.1%) for 2025 and 2024, respectively. Excluding production relocation costs, our gross profit was $1,729,000 in 2024 (40.3%). The reduction in gross margin is a result of product mix and new manufacturer trial and development costs.
Current wording
Our gross profit was $1,552,000 (37%) and $1,260,000 (35%) for 2025 and 2024, respectively. Excluding production relocation costs, our gross profit was $1,386,000 in 2024 (38%). The reduction in gross margin is a result of product mix and inventory costs, partially offset by the non-recurrence of manufacturing relocation costs.
Previous wording
Sales and marketing expense decreased approximately $8,000 (2%) from approximately $366,000 in 2024 to $358,000 in 2025.
Current wording
Sales and marketing expense decreased approximately $60,000 (12%) from approximately $510,000 in 2024 to $450,000 in 2025.
Previous wording
Personnel cost represents the cost of employees including salaries, bonuses, employee benefits and employment taxes. Personnel cost decreased by approximately $49,000 (14%) from approximately $341,000 in 2024 to $292,000 in 2025. The decrease in personnel cost resulted from a decreased head count.
Current wording
Personnel cost represents the cost of employees including salaries, bonuses, employee benefits and employment taxes. Personnel cost decreased by approximately $41,000 (13%) from approximately $312,000 in 2024 to $271,000 in 2025. The decrease in personnel cost resulted from a decreased head count.
Previous wording
Stock-based compensation decreased by approximately $220,000 from $517,000 in 2024 to $297,000 in 2025 as a result of lower expected attainment under our performance stock unit program and a reduction in the size of our board of directors.
Current wording
Stock-based compensation decreased by approximately $16,000 from $179,000 in 2024 to $163,000 in 2025 as a result of a reduction in the size of our board of directors.
Previous wording
Results of Operation for the Six Months Ended June 30, 2025 as Compared to the Six Months Ended June 30, 2024
Current wording
Results of Operation for the Nine months Ended September 30, 2025 as Compared to the Nine months Ended September 30, 2024
Previous wording
Cost of revenue increased $164,000, or 17%, to $1,119,000 in 2025 as compared to $955,000 in 2024. Cost of revenue increased at a higher rate compared to revenue due to trial costs at our new manufacturer and elevated costs to supply product in a sub-optimal manner while the production process at a new manufacturer is under development.
Current wording
Cost of revenue increased $837,000, or 17%, to $5,828,000 in 2025 as compared to $4,991,000 in 2024. Cost of revenue increased at a higher rate compared to revenue due to trial costs at our new manufacturer and elevated costs to supply product in a sub-optimal manner while the production process at a new manufacturer is under development.
Previous wording
Our gross profit was $506,000 (31.1%) and $509,000 (34.8%) for 2025 and 2024, respectively. Excluding production relocation costs, our gross profit was $514,000 in 2024 (35.1%). The reduction in gross margin is a result of product mix and new manufacturer trial and development costs.
Current wording
Our gross profit was $2,958,000 (34%) and $2,938,000 (37%) for 2025 and 2024, respectively. Excluding production relocation costs, our gross profit was $3,114,000 in 2024 (39%). The reduction in gross margin is a result of product mix and new manufacturer trial and development costs.
Previous wording
Sales and marketing expense increased approximately $93,000 (13%) from approximately $698,000 in 2024 to $791,000 in 2025. The increase is a result of personnel costs and broker commissions. Additionally, sample expense increased as a result of the launch of our Pop & Go product.
Current wording
Sales and marketing expense increased approximately $36,000 (3%) from approximately $1,206,000 in 2024 to $1,242,000 in 2025. The increase is a result of broker commissions on increased revenue. Additionally, sample expense increased as a result of the launch of our Pop & Go product.
Previous wording
Stock-based compensation decreased by approximately $75,000 from $214,000 in 2024 to $139,000 in 2025 as a result of lower expected attainment under our performance stock unit program and a reduction in the size of our board of directors.
Current wording
Stock-based compensation decreased by approximately $235,000 from $696,000 in 2024 to $461,000 in 2025 as a result of lower expected attainment under our performance stock unit program and a reduction in the size of our board of directors.
Previous wording
Legal, professional and consulting fees decreased by approximately $29,000 (49%) from $59,000 in 2024 to $30,000 in 2025 due to funding the Schrieber litigation through non-recourse litigation funding starting in Q3, 2024.
Current wording
Legal, professional and consulting fees decreased by approximately $17,000 (7%) from $250,000 in 2024 to $233,000 in 2025 due to funding the Schrieber litigation through non-recourse litigation funding starting in Q3 2024, partially offset by Arps acquisition costs incurred in Q3 2025.
Previous wording
Other general and administrative expenses decreased by approximately $37,000 (11%) due to due to the non-recurrence of recruitment costs incurred in the second quarter of 2024, partially offset by $46,000 in business development costs.
Current wording
Other general and administrative expenses increased by approximately $90,000 (19%) due to costs associated with the acquisition of Arps, partially offset by the non-recurrence of recruitment costs incurred in the second quarter of 2024.
Previous wording
During the six months ended June 30, 2025, we used $1,575,000 in operations. Our net loss adjusted for non-cash operating expenses was a loss of $1,184,000, while changes in current assets and liabilities used $391,000 primarily because of an investment of $342,000 in inventory and decreases of $364,000 in accounts payable and accrued expenses, partially offset by an decrease in accounts receivable of $278,000. The changes reflect the build of inventory in an effort to minimize the impact of production capacity constraints and the collection of receivables from higher revenue volume at the education channel’s seasonal low point.
Current wording
During the nine months ended September 30, 2025, we used $2,173,000 in operations. Our net loss adjusted for non-cash operating expenses was a loss of $1,297,000, while changes in current assets and liabilities used $876,000. The increase in revenue resulted in a $1,660,000 increase in accounts receivable, while we reduced our investment in inventory by $426,000. The changes reflect the education channel’s seasonal revenue peak, and the draw down of inventory built over the summer school break to minimize the impact of production capacity constraints. Additionally, accounts payable increased by $529,000 due to timing of material purchases and amounts due for Arps acquisition costs incurred.
Previous wording
As of June 30, 2025, we had working capital of $2,101,000 compared with $606,000 at December 31, 2024, both excluding disputed accounts payable of $499,000 resulting from our dispute with the Manufacturer. The increase in working capital is primarily due to capital raised in the six months ended June 30, 2025 through the sale of common stock, partially offset by losses incurred in the six months ended June 30, 2025.
Current wording
As of September 30, 2025, we had working capital of $1,626,000 compared with $606,000 at December 31, 2024, both excluding disputed accounts payable of $499,000 resulting from our dispute with the Manufacturer. The increase in working capital is primarily due to capital raised in the nine months ended September 30, 2025 through the sale of common stock, partially offset by losses incurred in the nine months ended September 30, 2025.
Rearranged previous paragraphs (3)
Previous report — wording carried elsewhere
Other general and administrative expenses decreased by approximately $53,000 (23%) due to the non-recurrence of recruitment costs incurred in the second quarter of 2024.
Previous report — wording carried elsewhere
Cost of revenue increased $535,000, or 20%, to $3,149,000 in 2025 as compared to $2,614,000 in 2024. Cost of revenue increased at a higher rate compared to revenue due to trial costs at our new manufacturer and elevated costs to supply product in a sub-optimal manner while the production process at a new manufacturer is under development.
Previous report — wording carried elsewhere
Legal, professional and consulting fees decreased by approximately $104,000 (48%) from $215,000 in 2024 to $111,000 in 2025 due to funding the Schrieber litigation through non-recourse litigation funding starting in Q3, 2024.