TOMI Environmental Solutions, Inc. (NASDAQ:TOMZ) Q3 2022 Earnings Conference Call November 10, 2022 4:30 PM ET Company Participants John Nesbett - IMS Investor Relations Halden Shane - Chairman and CEO Conference Call Participants Sameer Joshi - H.C. Wainwright Operator Good day, everyone, and welcome to today's TOMI Environmental Solutions, Inc. Third Quarter 2022 Financial Results Conference Call. [Operator Instructions] It is now my pleasure to turn the conference over to John Nesbett of IMS Investor Rel ...

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, 2022 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: 000-09908 TOMI ENVIRONMENTAL SOLUTIONS, INC. (Exact name of registrant as specified in its charter) (State or other ...

Financial Data and Key Metrics Changes - In Q2 2022, TOMI Environmental Solutions closed $5.6 million in orders, representing a 35% growth in sales orders compared to the same period last year [9] - Revenue for the first half of 2022 grew by 6%, with mobile equipment demand increasing by 11% and 13% for the 3 and 6 months ended June 30, 2022 [10] - Operating expenses were reduced by 16% and 21% for the 3 and 6 months ended June 30, 2022, respectively, compared to the same prior year period [11] - Cash used in operations decreased by 82% for the first half of 2022 compared to the same prior year period [11] Business Line Data and Key Metrics Changes - The SteraMist product line saw robust interest, with $4.9 million of overall orders attributable to SteraMist product revenues [12] - The Custom Engineered System (CES) is a primary driver for growth, with ongoing orders and installations expected [8][25] - The company anticipates over $12 million in revenue for 2022, supported by a strong sales pipeline and new product developments [10][40] Market Data and Key Metrics Changes - The global disinfectant spray market is projected to reach USD 18.6 billion by 2030, expanding at a CAGR of 8.2% from 2022 to 2030 [13] - Demand for HAI control products is expected to rise significantly in ambulatory surgical care centers [13] - The company has expanded its customer base to 709 customers in 2022, up from 308 in 2019, indicating substantial growth [33] Company Strategy and Development Direction - TOMI is focusing on expanding its presence in the food safety industry, which is a multibillion-dollar market, and is actively pursuing registrations for direct food applications [17][47] - The company is developing new products and applications to enhance its competitive advantages in the decontamination industry [14][31] - There is a strong emphasis on increasing customer service and sales personnel to support growth and market penetration [66] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving and potentially exceeding the $12 million revenue target for 2022 due to a strong pipeline and product demand [40][41] - The company is optimistic about its competitive position, noting that it does not see competitors winning significant projects [45] - Management highlighted the importance of educating potential customers about the technology to drive adoption and standardization in the market [66] Other Important Information - The company has improved its balance sheet significantly since 2019, with cash balance increasing to $4.8 million from $1.6 million [34] - TOMI has added over 10 new SteraMist products and expanded its IP portfolio with 28 new patents and 115 trademarks since 2019 [33] Q&A Session Summary Question: What gives confidence in achieving the $12 million annual outlook? - Management indicated that they are waiting for purchase orders on 3 and have 8 others in the final approval stages, with expectations for most to be fulfilled in the next two quarters [39][40] Question: Are the pending orders from repeat customers or new customers? - Many orders are from repeat large Fortune 500 pharmaceutical companies, indicating strong customer loyalty and satisfaction [43] Question: What is the outlook for expenses in the next 6 months? - Management noted that while there may be some increase in expenses due to growth, they expect revenue growth to outweigh the additional costs [42] Question: Any updates on the SHIELD study? - The SHIELD study is ongoing, with data being reviewed by independent researchers, and management is awaiting updates [58] Question: Has the relationship with ServiceMaster expanded? - Management indicated that they would need to research the specifics of the ServiceMaster relationship and would provide updates in future calls [60] Question: What plans are in place to increase awareness of the product? - Management is focused on hiring more customer service and sales personnel to enhance outreach and education about the technology [66]

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 June 30, 2022 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: 000-09908 TOMI ENVIRONMENTAL SOLUTIONS, INC. (Exact name of registrant as specified in its charter) Florida 59-1947988 ( ...

TOMI Environmental Solutions, Inc. (NASDAQ:TOMZ) Q1 2022 Earnings Conference Call May 5, 2022 4:30 PM ET Company Participants John Nesbett - IMS Investor Relations Halden Shane - Chief Executive Officer and Chairman of Board Nick Jennings - Chief Financial Officer Conference Call Participants Sameer Joshi - H.C. Wainwright John Nelson - Individual Investor Operator Welcome to the TOMI Environmental Solutions, Inc. First Quarter 2022 Financial Results. I will now turn it over to John Nesbett of IMS Investor ...

PART I: FINANCIAL INFORMATION [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for Q1 2022, including balance sheets, statements of operations, shareholders' equity, and cash flows, with detailed notes Condensed Consolidated Balance Sheet Highlights (Unaudited) | Account | March 31, 2022 | December 31, 2021 | | :--- | :--- | :--- | | **Total Current Assets** | $13.87 million | $12.89 million | | **Total Assets** | **$17.19 million** | **$16.27 million** | | **Total Current Liabilities** | $3.07 million | $1.82 million | | **Total Liabilities** | **$3.91 million** | **$2.68 million** | | **Total Shareholders' Equity** | **$13.29 million** | **$13.60 million** | Condensed Consolidated Statements of Operations (Unaudited) | Metric | Three Months Ended Mar 31, 2022 | Three Months Ended Mar 31, 2021 | | :--- | :--- | :--- | | **Sales, net** | $2.31 million | $2.07 million | | **Gross Profit** | $1.42 million | $1.24 million | | **Loss from Operations** | ($0.66 million) | ($1.51 million) | | **Net loss** | **($0.66 million)** | **($1.51 million)** | | **Net loss Per Common Share (Basic & Diluted)** | ($0.03) | ($0.09) | Condensed Consolidated Statements of Cash Flows (Unaudited) | Cash Flow Activity | Three Months Ended Mar 31, 2022 | Three Months Ended Mar 31, 2021 | | :--- | :--- | :--- | | **Net Cash Provided by (Used in) Operating Activities** | $27 thousand | ($1.22 million) | | **Net Cash (Used in) Investing Activities** | ($14 thousand) | ($28 thousand) | | **Net Cash From Financing Activities** | $0 | $0 | | **Increase (Decrease) In Cash** | $13 thousand | ($1.25 million) | - The company is a global provider of disinfection and decontamination solutions through its SteraMist® brand of products, utilizing Binary Ionization Technology® (BIT™), organized into five divisions: Healthcare, Life Sciences, TOMI Service Network, Food Safety, and Commercial[24](index=24&type=chunk) - For the three months ended March 31, 2022, three customers accounted for **41% of net revenue** and one customer accounted for **14% of accounts receivable** as of March 31, 2022[126](index=126&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2022 performance, highlighting 11% revenue growth, 24% operating expense reduction, positive operating cash flow, and reduced net loss, covering business updates, product development, and liquidity [2.1 Business Update and Product Development](index=21&type=section&id=2.1%20Business%20Update%20and%20Product%20Development) Q1 2022 saw 11% sales growth, 24% operating expense reduction, positive operating cash flow, $3.5 million in new orders, and new product development for broader market penetration - Q1 2022 revenue grew **11% year-over-year** and **15% sequentially** over Q4 2021, with a **24% reduction in operating expenses**[132](index=132&type=chunk) - The company reported **positive cash flow from operations** in Q1 2022, the first since Q2 2020, aided by customer deposits and lower operating expenses[133](index=133&type=chunk) - Approximately **$3.5 million in orders** were received in Q1 2022, with **$3.2 million expected to be recognized as revenue** within the calendar year, driven by demand for Custom Engineered Systems (CES)[134](index=134&type=chunk) - New product development focuses on the lower-cost SteraPak backpack system, the hybrid Select Plus unit, and the iHP SteraMist Transport System for vehicles like ambulances[141](index=141&type=chunk)[143](index=143&type=chunk) [2.2 Results of Operations](index=28&type=section&id=2.2%20Results%20of%20Operations) Q1 2022 revenue increased 11% to $2.31 million, driven by product and international sales, with gross profit up 15% and operating expenses down 24%, significantly narrowing net loss Q1 2022 vs Q1 2021 Performance | Metric | Q1 2022 | Q1 2021 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | **Revenue, Net** | $2.31 million | $2.07 million | $236 thousand | 11% | | **Gross Profit** | $1.42 million | $1.24 million | $186 thousand | 15% | | **Total Operating Expenses** | $2.08 million | $2.75 million | ($664 thousand) | -24% | | **Net Loss** | ($660 thousand) | ($1.51 million) | $851 thousand | -56% | Revenue by Source (Q1 2022 vs Q1 2021) | Revenue Source | Q1 2022 | Q1 2021 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | SteraMist Product | $1.89 million | $1.66 million | $225 thousand | 14% | | Service and Training | $423 thousand | $412 thousand | $11 thousand | 3% | Revenue by Geographic Region (Q1 2022 vs Q1 2021) | Region | Q1 2022 | Q1 2021 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | United States | $1.88 million | $1.80 million | $75 thousand | 4% | | International | $430 thousand | $269 thousand | $161 thousand | 60% | - Operating expenses decreased across several categories year-over-year: Selling Expenses (**-28%**), Research and Development (**-81%**), Consulting Fees (**-41%**), and General and Administrative (**-20%**)[214](index=214&type=chunk)[215](index=215&type=chunk)[216](index=216&type=chunk)[217](index=217&type=chunk) [2.3 Liquidity and Capital Resources](index=31&type=section&id=2.3%20Liquidity%20and%20Capital%20Resources) As of March 31, 2022, the company held $5.33 million in cash and $10.80 million in working capital, generating $27 thousand in operating cash flow for Q1 2022, sufficient for the next twelve months Key Liquidity Metrics | Metric | March 31, 2022 | | :--- | :--- | | Cash and cash equivalents | $5.33 million | | Working Capital | $10.80 million | - Cash provided by operating activities was **$27 thousand** for the three months ended March 31, 2022, compared to cash used in operations of **$1.23 million** for the same period in 2021[222](index=222&type=chunk)[224](index=224&type=chunk) - Management believes that the existing cash balance and cash generated from operations will be sufficient to meet working capital and capital expenditure requirements for the next twelve months[228](index=228&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=42&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section is listed in the table of contents but contains no substantive information, typical for smaller reporting companies - The report does not contain substantive information for this item, despite its listing in the table of contents[7](index=7&type=chunk) [Item 4. Controls and Procedures](index=43&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded disclosure controls were ineffective due to a material weakness in bad debt reserve accounting, specifically review processes and segregation of duties, with a remediation plan underway - Management identified a **material weakness** in internal control over financial reporting related to the preparation, review, and disclosure of bad debt reserves[269](index=269&type=chunk) - The control deficiencies included an **ineffective review process** for bad debt assessment and a **lack of segregation of duties** for its authorization and accounting[270](index=270&type=chunk) - A **remediation plan is underway** to revise the bad debt reserve policy and improve review, approval, and segregation of duties[271](index=271&type=chunk) PART II: OTHER INFORMATION [Item 1. Legal Proceedings](index=44&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently involved in any legal proceedings that would materially impact its financial condition or operations - As of the report date, the company is not involved in any material litigation[276](index=276&type=chunk) [Item 1A. Risk Factors](index=44&type=section&id=Item%201A.%20Risk%20Factors) A new material risk involves non-compliance with Nasdaq's minimum bid price, with a deficiency notice received April 14, 2022, requiring compliance by October 11, 2022, to avoid delisting - On April 14, 2022, the company received a deficiency letter from Nasdaq for failing to maintain a **minimum closing bid price of $1.00** for its common stock[279](index=279&type=chunk) - The company has until **October 11, 2022**, to regain compliance with the minimum bid price requirement, or it may face delisting from the Nasdaq Capital Market[280](index=280&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=44&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No unregistered sales of equity securities occurred during the reporting period - None[282](index=282&type=chunk) [Item 3. Defaults Upon Senior Securities](index=44&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) No defaults upon senior securities occurred during the reporting period - None[283](index=283&type=chunk) [Item 4. Mine Safety Disclosures](index=44&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company's operations - Not applicable[284](index=284&type=chunk) [Item 5. Other Information](index=44&type=section&id=Item%205.%20Other%20Information) No other information is reported for the period - None[285](index=285&type=chunk) [Item 6. Exhibits](index=44&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including executive agreements, CEO/CFO certifications, and XBRL data files - The exhibits filed with this report are listed, including management certifications and XBRL documents[286](index=286&type=chunk)[290](index=290&type=chunk)

TOMI Environmental Solutions, Inc. (NASDAQ:TOMZ) Q4 2021 Earnings Conference Call March 29, 2022 4:30 PM ET CompanyParticipants John Nesbett - Investor Relations Halden Shane - Chairman & Chief Executive Officer Nick Jennings - Chief Financial Officer Conference Call Participants Amit Dayal - H.C. Wainwright Operator Good day, ladies and gentlemen and welcome to the TOMI Environmental Solutions, Inc. Fourth Quarter and Year-End 2021 Financial Earnings. At this time, all participants have been placed on a li ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 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 000-09908 TOMI ENVIRONMENTAL SOLUTIONS, INC. (Exact name of registrant as specified in its charter) Florida 59-1947988 (State ...

TOMI Environmental Solutions, Inc. (NASDAQ:TOMZ) Q3 2021 Results Conference Call November 12, 2021 4:30 PM ET Company Participants John Nesbett - IR Halden Shane - Chairman, CEO Nick Jennings - CFO Conference Call Participants Todd Felte - Advisory Group Equity Services Operator Good afternoon. Welcome to the TOMI Environmental Solutions Third Quarter 2021 Financial Results Conference Call. At this time, all participants are in a listen-only mode and the floor will open up questions and comments following t ...

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, 2021 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: 000-09908 TOMI ENVIRONMENTAL SOLUTIONS, INC. (Exact name of registrant as specified in its charter) Florida 59-1947 ...