Financial Data and Key Metrics Changes - The company reported third-quarter net revenue of $4.8 million, a 35% increase compared to the same period in 2024, marking the second-highest quarter ever [4][7] - Gross margins for the quarter were 61%, consistent with the same quarter in 2024, despite increased inventory handling expenses [7][8] - Net income for the quarter was $337,000, compared to $183,000 in the same period last year, indicating the fifth consecutive quarter of profitability [8][10] - Adjusted EBITDA for the quarter was positive $418,000, up from $295,000 during the same period in 2024 [8][10] - For the nine months ending September 30, 2025, sales increased by 37% to $14.1 million from $10.3 million in the prior year [9][10] Business Line Data and Key Metrics Changes - The programmatic business and service revenue showed significant growth, contributing to the overall revenue increase [7][9] - Active customer sites grew to over 1,650 as of September 30, 2025, reflecting strong customer retention [7][8] Market Data and Key Metrics Changes - The company is expanding into new verticals such as municipalities, dialysis centers, and labs with its PFAS removal solution, which is expected to drive future growth [5][6] - The tracking app has expanded its geographical reach, enhancing customer engagement and repeat business [26][27] Company Strategy and Development Direction - The company aims to scale successful initiatives, pursue new opportunities, and maintain a focus on its mission of improving water quality and infection control [6][11] - The introduction of the PFAS removal solution is seen as a strategic move to enter new markets and address emerging regulatory needs [5][16] - The company is focused on operational discipline and strategic focus as it expands into dental, municipal, and government facilities [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's future, citing strong customer retention, a record number of active sites, and a robust innovation pipeline [6][11] - The company is well-positioned to sustain growth and broaden market reach, supported by a strong balance sheet and zero debt [6][10] Other Important Information - Research and development expenses increased to $338,000 in the third quarter of 2025, reflecting higher employee bonuses and increased headcount [7][8] - Sales, general, and administrative expenses rose to $2.2 million, a 30% increase due to higher sales commissions and employee bonuses [8][10] Q&A Session Summary Question: Insights on the new PFAS filtration solution and its revenue impact - Management highlighted that the PFAS solution opens new market opportunities and addresses customer needs beyond traditional patient care settings [13][16] Question: Largest driver of growth for 2026 - The focus remains on growing the core infection control product line while leveraging new products to meet stringent hospital regulations [17][19] Question: Update on the tracking app and its contribution to growth - The tracking app is enhancing customer value and creating more touchpoints, contributing to core programmatic growth [24][26] Question: Market penetration strategies for PFAS and microplastics - The company is exploring direct sales and distribution partnerships to penetrate new markets, focusing on educating customers about water quality needs [32][36] Question: Impact of Legionella disease publicity on the quarter - Increased awareness of Legionella has led to more inquiries, although it is not the most costly issue healthcare networks face [38][40] Question: Growth in newer areas like laboratories and government buildings - The company is seeing success in deploying solutions in various sectors, including correctional facilities and schools, which share similar buying criteria to hospitals [42][44]