Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-33678 NOVABAY PHARMACEUTICALS, INC. (Exact name of registrant as specified in its charter) Delaware 68-045 ...

Core Points - NovaBay Pharmaceuticals has regained compliance with the NYSE American's continued listing standards as of October 20, 2025 [1][4] - The company was previously notified of non-compliance on April 18, 2024, and May 28, 2024, due to insufficient stockholders' equity [2] - NovaBay raised approximately $6.0 million through the issuance of pre-funded warrants and an additional $2.15 million from the sale of Series E non-voting convertible preferred stock, bringing its stockholders' equity above the required $6 million [3] Company Background - NovaBay Pharmaceuticals focuses on the development and sale of scientifically created and clinically proven products in eyecare, wound care, and skin care [5]

Core Insights - NioBay Metals Inc. has announced significant progress in its Crevier niobium and tantalum project, supported by a grant from the Mining Exploration Support Program for Critical and Strategic Minerals [1][5] - The company has successfully completed metallurgical work demonstrating the niobium-tantalum concentration process on a pilot scale, utilizing nearly 10 million tons of ore [2][5] - The results indicate a potential for further improvement in the extraction process, with plans for a second pilot project to process 145 million tons of ore [4][5] Project Details - The Crevier Project is located approximately 50 km north of Girardville, Quebec, and is situated in the ancestral territory of the Pekuakamiulnuatsh First Nation [1][9] - The funded project aimed to test the robustness of the process flowsheet for extracting niobium and tantalum oxides from the Crevier deposit [2] Results and Performance - The pilot project achieved a peak recovery rate of 84.6% Nb2O5, with an average recovery of 65% during the production of 17 kg of concentrate at 32% Nb2O5 [8] - Compared to laboratory tests conducted in 2012, the final Nb2O5 content of the concentrate improved by 56%, increasing from 20.3% to 36% [8] Future Plans - The company is planning a second pilot project to further enhance production capabilities and market additional products [5] - The final report from SGS regarding the current pilot will be filed on SEDAR once available [4] Company Vision - NioBay aims to lead in the development of low-carbon mines and responsible environmental practices, emphasizing the importance of Indigenous community participation [7] - The company holds a 100% interest in the James Bay Niobium project and a 72.5% interest in the Crevier project [9] Industry Context - Niobium is a highly valuable metal used in various applications across mobility, structural, and energy sectors, enhancing material properties and reducing environmental impact [10]

Core Points - NioBay Metals Inc. has received a new exploration permit for the James Bay Niobium Project from the Ontario government, allowing for the resumption of drilling activities [1][2] - The new exploration campaign will address community concerns regarding water management by modifying the drilling pattern [2] - The company emphasizes the importance of involving the local Moose Cree First Nation community in the planning and execution of the exploration work [4][6] Permits and Work - The new exploration permit is valid for three years and will enable the completion of a drilling campaign that was previously suspended [2] - The drilling campaign will require helicopter-borne operations and strict management of water and drilling mud, which were successfully implemented in the last campaign [2] Community Engagement - NioBay acknowledges the James Bay Niobium Project is part of Treaty 9 and respects the rights and interests of the Moose Cree First Nation [3] - The company prioritizes the consent and participation of Indigenous communities in its operations [6] Company Overview - NioBay aims to lead in the development of low-carbon mines and responsible environmental practices [6] - The company holds a 100% interest in the James Bay Niobium project and a 72.5% interest in the Crevier niobium and tantalum project [6] About Niobium - Niobium is a ductile and malleable metal known for its corrosion resistance and is used in various sectors including mobility, structural, and energy [7] - The addition of niobium to materials enhances their efficiency and reduces environmental impact [7]

Market Overview - U.S. stock futures are showing declines due to uncertainties from the government shutdown, with Dow Jones Industrial Average futures down 322 points (0.69%), S&P 500 futures down 54.50 points (0.81%), and Nasdaq 100 futures down 31 points (0.20%) [1][4][15] - The ongoing government shutdown has created market uncertainty, leading to possible delays in economic data and concerns over fiscal policy [1][16] Major Stock Movements - Major tech stocks such as Apple, Alphabet, Meta, Amazon, and Nvidia experienced small declines, while Nike shares rose approximately 3% after reporting unexpected first-quarter revenue growth [2][15] - Lithium Americas surged 39% following a 5% stake acquisition by the U.S. Department of Energy, indicating strong investor interest in the energy sector [2][7] Investor Sentiment - The market reflects a mix of cautious trading in large-cap tech and sharp rallies in select growth-focused companies, with investors closely monitoring these stocks for potential opportunities amid heightened uncertainty [3][16] - The 10-year U.S. Treasury yield increased to 4.16%, signaling cautious investor sentiment, while gold futures rose 0.5%, trading near $3,894 an ounce, as investors sought safer assets [7][16] Individual Stock Performance - Apple (AAPL) is trading slightly higher at $254.63, with a minimal change of +0.2 (+0.08%) and a market cap of $3.78 trillion [11] - Alphabet (GOOGL) shares are down approximately 0.4%, reflecting broader tech weakness [14] - Meta Platforms (META) shares declined by about 0.5% amid profit-taking [14] - Amazon (AMZN) is facing modest losses of around 0.4% due to risk aversion in tech sectors [14] - Nvidia (NVDA) shares are down approximately 0.5%, pressured by profit-taking and broader tech pullback [15]

Market Overview - U.S. stocks traded lower, with the Dow Jones falling more than 100 points, down 0.26% to 46,195.25, NASDAQ down 0.21% to 22,544.07, and S&P 500 down 0.17% to 6,649.65 [1] - Health care shares increased by 0.8%, while energy stocks decreased by 1.7% [1] Company Performance - Paychex (NASDAQ: PAYX) stock fell around 4% after reporting fiscal Q1 2026 results, with sales growth of 17% year-over-year to $1.540 billion, exceeding analyst estimates of $1.538 billion [2] - Adjusted EPS of $1.22 beat the consensus estimate of $1.21, and the company raised its fiscal 2026 adjusted EPS guidance to $5.43-$5.53, compared to the analyst consensus of $5.45 [2] Commodity Market - Oil prices fell by 1.8% to $62.33, while gold prices rose by 0.5% to $3,875.40 [4] - Silver decreased by 0.4% to $46.825, and copper fell by 0.5% to $4.8680 [4] International Markets - European shares were mostly higher, with the eurozone's STOXX 600 gaining 0.2% and Spain's IBEX 35 Index rising 0.8% [5] - Asian markets closed mixed, with Japan's Nikkei 225 down 0.25% and Hong Kong's Hang Seng up 0.87% [6] Economic Indicators - The Dallas Fed's general business activity index fell 12 points to -5.6 in September [7] - U.S. job openings rose by 19,000 to 7.227 million in August [10] - The Chicago Business Barometer declined to 40.6 in September from 41.5 in the previous month, below market expectations of 43 [10] - The S&P CoreLogic Case-Shiller Home Price Index increased by 1.8% year-over-year in July, while the FHFA house price index declined by 0.1% from the previous month [10] Stock Movements - Zhengye Biotechnology Holding Limited (NASDAQ: ZYBT) shares surged 70% to $3.72, while Beneficient (NASDAQ: BENF) shares rose 62% to $0.5898 after reporting fourth-quarter results [8] - Sunrise New Energy Co., Ltd. (NASDAQ: EPOW) shares increased by 52% to $1.37 following a patent grant [8] - Erayak Power Solution Group Inc. (NASDAQ: RAYA) shares dropped 45% to $4.6888, and NovaBay Pharmaceuticals, Inc. (NYSE: NBY) fell 13% to $1.35 [8]

Core Viewpoint - NioBay Metals Inc. has appointed the first members of its Technical Advisory Committee to enhance its development and credibility in the niobium market [1][2]. Group 1: Advisory Committee Members - Dawn Madahbee Leach serves as an Aboriginal Affairs Advisor with extensive experience in public sector program development and management [3]. - Jonathan Launière, an advisor for Aboriginal Affairs, has a background in geological engineering and experience in energy sector project management [4]. - Caroline Olsen, a metallurgist, brings nearly 30 years of experience in mineral processing and knowledge of critical minerals [5]. - Jean-David Moore, a strategic advisor, has over 20 years of experience in advising mineral exploration and development companies [6]. Group 2: Company Development and Strategy - The establishment of the Technical Advisory Committee is aimed at increasing the company's credibility with the market and potential partners [2]. - The committee will support the company in advancing its current and future projects, leveraging the expertise of its members [8]. - NioBay aims to prioritize environmental responsibility and the inclusion of Indigenous communities in its operations [10]. Group 3: About NioBay Metals Inc. - NioBay holds a 100% interest in the James Bay Niobium project located in Ontario and a 72.5% interest in the Crevier niobium and tantalum project in Quebec [10]. - The company focuses on developing low-carbon mines and responsible management practices [10]. - Niobium is recognized for its properties that enhance materials used in various sectors, contributing to efficiency and reduced environmental impact [11].

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgent need for energy to support its growth [1][2][3] - A specific company is highlighted as a key player in the AI energy sector, owning critical energy infrastructure assets that are essential for meeting the increasing energy demands of AI technologies [3][7][8] Investment Landscape - Wall Street is investing hundreds of billions into AI, but there is a looming question regarding the energy supply needed to sustain this growth [2] - AI data centers, such as those powering large language models, consume energy equivalent to that of a small city, indicating a significant strain on global power grids [2] - The company in focus is positioned to benefit from the surge in demand for electricity driven by AI, making it a unique investment opportunity [3][6] Company Profile - The company is described as a "toll booth" operator in the AI energy boom, collecting fees from energy exports and benefiting from the onshoring trend due to tariffs [5][6] - It possesses critical nuclear energy infrastructure assets, making it integral to America's future power strategy [7] - The company is noted for its ability to execute large-scale engineering, procurement, and construction projects across various energy sectors, including oil, gas, and renewables [7] Financial Position - The company is completely debt-free and has a significant cash reserve, amounting to nearly one-third of its market capitalization, which positions it favorably compared to other energy firms burdened by debt [8] - It also holds a substantial equity stake in another AI-related company, providing indirect exposure to multiple growth engines in the AI sector [9] Market Sentiment - There is a growing interest from hedge funds in this company, which is considered undervalued and off-the-radar, trading at less than 7 times earnings excluding cash and investments [10][9] - The company is recognized for delivering real cash flows and owning critical infrastructure, making it a compelling investment choice in the context of the AI revolution [11][12]

Core Points - NovaBay Pharmaceuticals, Inc. announced a one-time special cash dividend of $0.80 per share for its common stock, payable on September 29, 2025, to stockholders of record as of September 15, 2025 [1] - The special dividend represents more than 25% of the stock price, leading to trading with "due bills" from the record date through the payment date [2] - Stockholders selling during the Dividend Right Period will forfeit their right to the special dividend, with due bills obligating sellers to deliver the dividend to buyers [3] - The CEO assured stockholders that the dividend payout will not hinder the company's ability to pursue strategic transactions, with an annual meeting scheduled for October 16, 2025 [4] - A preliminary proxy statement was filed with the SEC on September 10, 2025, with plans for a definitive proxy statement to be filed by the end of September [6] Company Actions - The company intends to hold its 2025 Annual Meeting of Stockholders on October 16, 2025, for stockholders of record on September 22, 2025 [4] - Stockholders are encouraged to read the definitive proxy statement and other relevant documents once available, as they will contain important information regarding the Investment Transaction [6][7] - The company and certain directors may be deemed participants in the solicitation of proxies related to the Investment Transaction, with details available in the preliminary and definitive proxy statements [8]

Core Insights - NioBay Metals Inc. has announced the initial results from its 2025 summer drill campaign at the Crevier niobium and tantalum project, confirming the presence of mineralized zones over a strike length of more than 6 km [1][2][13] - The campaign, consisting of 15 drill holes covering 3,324 meters, was supported by the Government of Québec and aimed at verifying mineralization continuity [2][3] - The results from the first eight drill holes indicate significant mineralization, which will contribute to an updated resource estimate for the project [2][13] Company Overview - NioBay Metals Inc. holds a 72.5% interest in the Crevier Project, located in Québec, and aims to focus on producing niobium oxide for battery manufacturers [1][13] - The company is committed to responsible mining practices, prioritizing environmental sustainability and the involvement of Indigenous communities [15] Drill Results - The initial drill results show various intersections of niobium (Nb2O5) and tantalum (Ta2O5) with notable percentages, including: - Drill hole 1532-25-01: Nb2O5 at 0.2991% over 4.00 m [4] - Drill hole 1532-25-02: Nb2O5 at 0.3281% over 4.05 m [4] - Drill hole 1532-25-04: Nb2O5 at 0.3541% over 1.00 m [4] - The campaign also revealed the presence of rare earth elements and strontium in the mineralized zones [13] Future Plans - The company plans to conduct a second pilot test using the mineralized material recovered from this campaign, which is expected to be more than ten times the volume of the first pilot test [3] - A bulk sample collection is scheduled for early fall to ensure representative material for the next pilot [3]