Iran War Escalation Drives US Inflation to 3.3%: Rising inflation can increase operating costs for BAB, Inc.'s franchisees (e.g., ingredients, labor, utilities), potentially impacting their profitability and thus the royalty revenues for BAB, Inc. Consumers might also reduce discretionary spending on items like bagels and muffins due to higher prices.

Central Banks Shift to 'Higher for Longer' Rates Amid Inflation: Elevated interest rates make borrowing more expensive. This could hinder potential new franchisees from securing loans for opening new units, slowing BAB, Inc.'s franchise expansion. Existing franchisees might also face higher costs for working capital, impacting their financial health.

Q1 2026 Earnings Season Kicks Off with Major US Banks: While BAB, Inc. is a micro-cap company, the overall sentiment and performance of the broader market during earnings season, particularly from other consumer-oriented companies, can influence investor perception and capital availability for smaller firms.