TOMI Environmental Solutions, Inc. Reports Fourth Quarter and Year End 2024 Financial Results

Core Insights - TOMI Environmental Solutions, Inc. reported a 5% year-over-year increase in annual revenue for 2024, reaching $7.739 million compared to $7.355 million in 2023, while also expanding its customer base and product line [2][8] - The company experienced a GAAP net loss of $4.477 million for the year, compared to a loss of $3.403 million in the previous year, but noted improvements in non-GAAP financials, with a non-GAAP net loss of $2.050 million compared to $2.838 million in 2023 [3][4][8] - Preliminary Q1 2025 revenues are up 42% compared to Q1 2024, indicating a strong start to the year and a robust sales pipeline [2][16] Financial Performance - For the fourth quarter of 2024, net sales were $1.069 million, down from $1.528 million in Q4 2023, with a GAAP gross margin of -49.5% compared to 54.9% in the prior year [3][8] - Non-GAAP gross sales for Q4 2024 were $1.296 million, down from $1.656 million in Q4 2023, with a non-GAAP gross margin of 54.2% compared to 58.4% in the same period last year [4][8] - The total operating loss for the year was $4.105 million, compared to $3.349 million in 2023, while the non-GAAP operating loss improved to $1.678 million from $2.785 million [3][4][8] Business Highlights - SteraMist product-based revenues increased to $6.035 million in 2024 from $5.781 million in 2023, driven by higher demand for mobile and SIS units [8] - Service-based revenue also grew to $1.704 million in 2024 from $1.574 million in 2023, attributed to increased demand for iHP services [8] - International revenue grew by 33% in 2024, with new customers in Canada, South Africa, and India, and the company has established partnerships across various regions [8] Future Outlook - The company anticipates continued improvement in profitability throughout 2025, supported by high gross margins and a reduced expense structure [2][7] - Sales backlog increased to $1.232 million as of March 31, 2025, reflecting a 40% increase from December 31, 2024 [16] - The company is committed to nurturing partnerships with over 30 partners globally to strengthen the SteraMist brand [8]