Financial Data and Key Metrics Changes - Revenue for the year ended December 31, 2025, was $5.6 million, down from $7.7 million in 2024, primarily due to the timing of customer equipment purchases [13] - Gross margin improved to approximately 55%, up from 46% in 2024, reflecting lower cost of sales and a reduction in inventory reserves [13] - Total operating expenses were $6.9 million, down approximately 10% from 2024, indicating disciplined cost management [14] - The net loss was $3.7 million or $0.19 per share, an improvement from a net loss of $4.5 million or $0.22 per share in 2024 [14] Business Line Data and Key Metrics Changes - The backlog of orders for support services increased by 16%, and BIT Solution orders rose by 24% in the first quarter of 2026 compared to the same period last year, indicating a growing recurring revenue trajectory [9][16] - The SteraMist Integrated System achieved its first commercial installation at a leading CDMO in June 2025, with four fully operational installations by year-end [4] - A signed purchase contract of $500,000 was secured in December 2025 for integration into sterile manufacturing [5] Market Data and Key Metrics Changes - The global ethylene oxide market was valued at $5.29 billion last year, with rising demand for sterilized medical consumables and improved healthcare infrastructure driving growth [10] - The FDA's late 2025 approval of hydrogen peroxide as a direct food additive is a significant regulatory moment, leading to engagement with major partners like Danone and Nestlé [7] Company Strategy and Development Direction - The company is focusing on execution, converting its pipeline into recognized revenue while advancing its technology platform [11] - A shift towards a recurring revenue model is emphasized, moving from episodic revenue to embedded revenue, which is expected to enhance customer dependency on the company's solutions [31][32] - The company is prioritizing open bid solution orders and annual service offerings to drive additional revenue and deeper product adoption [16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that 2025 was a challenging year but expressed optimism about the future, highlighting a strong pipeline and operational momentum entering 2026 [4][10] - The management noted that customer deferrals of capital expenditures due to economic uncertainty are beginning to improve, with signs of customers moving forward with projects [56] - The company anticipates approximately $12 million in revenue for 2026, barring any unknowns, with a strong first quarter performance expected [29] Other Important Information - The company received approvals from the HSE and BPR submissions, strengthening its position in the UK and the Netherlands [9] - The company is preparing to introduce its IHP device to the U.S. market through the FDA 510(k) pre-market notification process [10] Q&A Session Summary Question: Insight into global opportunities - Management expects many EU states to follow suit with registrations, leveraging existing relationships and distributors [40] Question: Operating expenses outlook - Operating expenses are expected to grow as a percentage of revenue but not significantly, indicating leverage in cost management [42] Question: Improvement signs in customer CapEx projects - Management confirmed that there are signs of improvement, with customers beginning to move forward on deferred projects [56] Question: BIT Solution revenue comparisons - There was an increase in BIT Solution usage, with customers moving towards auto shipment and advanced purchasing [58] Question: Military applications for SteraMist - Management acknowledged the potential for military applications and indicated that they are exploring opportunities in that sector [71][75]

Financial Data and Key Metrics Changes - Revenue for the year ended December 31, 2025, was $5.6 million, down from $7.7 million in 2024, primarily due to the timing of customer equipment purchases [13] - Gross margin improved to approximately 55%, up from 46% in 2024, reflecting lower cost of sales and a reduction in inventory reserves [13] - Total operating expenses decreased by approximately 10% to $6.9 million from 2024 [14] - The net loss was $3.7 million or $0.19 per share, an improvement from a net loss of $4.5 million or $0.22 per share in 2024 [14] Business Line Data and Key Metrics Changes - The backlog of orders for support services increased by 16%, and BIT Solution orders rose by 24% in Q1 2026 compared to the same period last year, indicating a growing recurring revenue trajectory [9][16] - The SteraMist Integrated System achieved its first commercial installation at a leading CDMO in June 2025, with four fully operational SIS enclosure installations by year-end [4][5] Market Data and Key Metrics Changes - The global ethylene oxide market was valued at $5.29 billion last year, with rising demand for sterilized medical consumables and improved healthcare infrastructure driving growth [10] - The company is actively pursuing opportunities in the food safety sector, with significant partners like Danone and Nestlé, following the FDA's approval of hydrogen peroxide as a direct food additive [7][8] Company Strategy and Development Direction - The company is focusing on execution and converting its pipeline into recognized revenue while advancing its technology platform [10] - A shift towards a recurring revenue model is emphasized, moving from episodic revenue to embedded revenue, which is expected to enhance customer dependency and long-term growth [31][32] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging year in 2025 due to factors like tariffs and political uncertainty but expressed optimism about future revenue growth, projecting around $12 million for 2026 [25][29] - The company is seeing signs of improvement as customers who deferred capital expenditures are beginning to move forward with projects [56] Other Important Information - The company received approvals from the HSE and BPR submissions, enhancing its market presence in the UK and the Netherlands [9] - The company is preparing to introduce its IHP device to the U.S. market through the FDA 510(k) pre-market notification process [10] Q&A Session Summary Question: Insight into global opportunities mentioned in the quarter - Management expects many EU states to follow suit with registrations, leveraging existing relationships and distributors [40] Question: Thoughts on operating expenses going forward - Operating expenses are expected to grow as a percentage of revenue but not significantly, indicating leverage in cost management [42] Question: Signs of improvement in customer capital expenditure projects - Management confirmed that customers are beginning to move forward with deferred projects [56] Question: Details on BIT Solution revenues for 2025 versus 2024 - There was an increase in BIT Solution usage, with customers moving towards auto shipment and advanced orders [58][60] Question: Potential applications for SteraMist in military settings - Management acknowledged the potential and expressed interest in exploring opportunities with military applications [71][75]

Financial Data and Key Metrics Changes - Revenue for the year ended December 31, 2025, was $5.6 million, down from $7.7 million in 2024, primarily due to the timing of customer equipment purchases [13] - Gross margin improved to approximately 55%, up from 46% in 2024, reflecting lower cost of sales and a reduction in inventory reserves [13] - Total operating expenses decreased by approximately 10% to $6.9 million from 2024 [14] - The net loss improved to $3.7 million or $0.19 per share, compared to a net loss of $4.5 million or $0.22 per share in 2024 [14] Business Line Data and Key Metrics Changes - The backlog of orders for support services increased by 16%, and BIT Solution orders rose by 24% in Q1 2026 compared to the same period last year, indicating a growing recurring revenue trajectory [10][16] - The SteraMist Integrated System achieved its first commercial installation at a leading CDMO in June 2025, with four fully operational installations by year-end [4] - A signed purchase contract of $500,000 was secured in December 2025 for integration into sterile manufacturing [5] Market Data and Key Metrics Changes - The FDA's late 2025 approval of hydrogen peroxide as a direct food additive is a significant regulatory moment, leading to engagements with major partners like Danone and Nestlé [8] - The global ethylene oxide market was valued at $5.29 billion last year, with rising demand for sterilized medical consumables driving growth [11] Company Strategy and Development Direction - The company is focusing on execution and converting its pipeline into recognized revenue while advancing its technology platform [12] - A shift towards a recurring revenue model is emphasized, moving from episodic revenue to embedded revenue, which is expected to enhance customer dependency on the company's solutions [32][33] - The company is prioritizing open bid solution orders and annual service offerings to drive additional revenue and deeper product adoption [16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that 2025 was a challenging year but expressed optimism about the future, highlighting operational momentum and a growing customer base [4][11] - The management noted that customers are beginning to move forward with deferred capital expenditure projects, indicating signs of improvement in the economic environment [58] Other Important Information - The company received approvals from the HSE and BPR submissions, enhancing its recognition in the UK and the Netherlands [10] - The company is preparing to introduce its IHP device to the U.S. market through the FDA 510(k) pre-market notification process [11] Q&A Session Summary Question: Insights into global opportunities mentioned in the quarter - Management expects many EU states to follow suit with registrations, leveraging existing relationships and distributors [41] Question: Thoughts on operating expenses going forward - Operating expenses are expected to slightly decrease as a percentage of revenue growth, with leverage already in place [43] Question: Signs of improvement in customer CapEx projects - Management confirmed that they are seeing customers who deferred projects beginning to move forward [58] Question: Details on BIT Solution revenues for 2025 versus 2024 - There was an increase in BIT Solution usage, with customers moving towards auto shipment and advanced orders [62] Question: Potential military applications for SteraMist - Management acknowledged the idea and indicated they would explore opportunities with the military, particularly in light of recent health concerns [75]

Core Insights - TOMI Environmental Solutions, Inc. reported financial results for the year ended December 31, 2025, highlighting strategic initiatives aimed at long-term growth [1] Financial Results - Sales for 2025 were $5,636,000, a decrease from $7,739,000 in 2024, attributed to customers deferring capital expenditures due to economic uncertainties [5] - Gross profit margin remained strong at approximately 55%, indicating operational efficiency [5] - Operating loss was ($3,854,000) for 2025, compared to a loss of ($4,105,000) in 2024 [5] - Net loss for 2025 was $(3,749,000) or $(0.19) per share, an improvement from a net loss of $(4,477,000) or $(0.22) per share in 2024 [5][25] - Cash and cash equivalents as of December 31, 2025, were $88,000, with working capital of $1.0 million [8] Recent Business Highlights - The company strengthened government relationships, notably being selected by NASA for a biosecurity operation [5] - New customer acquisitions included global CDMOs and prestigious university research groups [5] - Regulatory developments in the food market have expanded applications for SteraMist iHP, particularly in food safety [5] - International revenue increased to approximately 29% of total revenue, up from 21% in the previous year [5] Operational Efficiencies - Total operating expenses were reduced by approximately 10% in 2025 [5] - The company is exploring AI-related technologies to enhance operational efficiency [5] Product Innovation - Continued investment in R&D to expand SteraMist® applications across various sectors, resulting in a more comprehensive product portfolio [5] - SteraMist was recognized as the Disinfection and Decontamination Products Company of the Year 2025 by MedTech Outlook [5] Strategic Validation - A USDA study confirmed the efficacy of BIT against deformed wing virus for agricultural biosecurity in honeybees [5] Liquidity and Capital Access - The company completed a $535,000 convertible note financing to support growth initiatives [8] - An equity line of credit allows the company to sell up to $20,000,000 in common stock over a 24-month period [8] Market Opportunities - The food safety market is projected to grow from $28 million in 2025 to $31 million in 2026 [9] - The global medical device sterilization market is valued at $5.29 billion [10] - The company aims to penetrate the biofuel market and enhance domestic energy security [10] Looking Ahead - The company enters 2026 with strong operational momentum and a sales pipeline valued at $16 million for integration projects and $20 million for SteraMist iHP [11] - Focus on clean manufacturing, AI-enabled automation, and biosecurity to drive sustainable long-term growth [11]

Core Insights - TOMI Environmental Solutions, Inc. has secured a partnership with a leading Mexican dairy manufacturer for ongoing SteraMist iHP services to enhance facility sanitation [1][2] Company Overview - TOMI is a global leader in disinfection and decontamination solutions, specializing in environmental solutions for indoor surface disinfection through its Binary Ionization Technology (BIT) platform [5][6] - The BIT solution utilizes a low percentage of Hydrogen Peroxide to create a fog of ionized Hydrogen Peroxide (iHP), which effectively kills germs [5] Industry Context - The Food Processing Market in Mexico is projected to grow from USD 3.16 billion in 2024 to USD 5.75 billion by 2033, reflecting a compound annual growth rate (CAGR) of 6.89% [4] Partnership Details - DisinfectCare, a service provider, will deploy the SteraMist Environment System daily, with an annual purchase of approximately USD 128,000 for BIT Solution [3] - The partnership allows for the potential integration of SteraMist Hybrid Systems into the dairy manufacturer's infrastructure to support comprehensive facility-wide disinfection [3] Efficacy and Testing - Efficacy studies conducted by DisinfectCare demonstrated significant reductions in key pathogens, including Staphylococcus aureus and Escherichia coli, with notable improvements in cheese preservation [2]

Core Insights - TOMI Environmental Solutions, Inc. is expanding its presence in Canada through strategic placements of its SteraMist iHP technology in major healthcare and research facilities, indicating a growing adoption of advanced disinfection solutions in critical environments [1][2][4] Group 1: Company Expansion - The integration of SteraMist technology into Canada's largest health research organization marks a significant milestone for TOMI, enhancing biosafety standards in national health research [2] - Successful deployments of SteraMist technology have occurred at a prominent trauma center in Nova Scotia and a research university, showcasing its effectiveness in rapid-response scenarios [2][4] - TOMI's Canadian distribution partner has increased equipment inventory to support direct-to-customer sales, aligning with a pipeline of competitive bids for potential purchases in the current fiscal year [3] Group 2: Technology and Solutions - SteraMist iHP technology is positioned as the gold standard for pathogen control in regulated healthcare and research environments, reinforcing TOMI's commitment to advanced decontamination solutions [4] - The technology utilizes a low percentage of Hydrogen Peroxide to create a fog of ionized Hydrogen Peroxide (iHP), which effectively kills germs without being caustic [5] Group 3: Market and Industry Context - TOMI's products are designed for a wide range of commercial structures, including hospitals, schools, and military facilities, indicating a broad market application for its disinfection solutions [6] - The company is actively involved in developing training programs and application protocols, ensuring that clients are well-equipped to utilize its technology effectively [7]

Core Viewpoint - TOMI Environmental Solutions (TOMZ) has entered into a strategic partnership with Total Clean Air (TCA), designating TCA as its Preferred European Partner for the SteraMist iHP decontamination technology, aimed at addressing the growing demand for infection control in various sectors [1] Group 1: Partnership Details - TCA will be the primary partner for sales, service, and technical support for TOMZ's SteraMist iHP technology across the United Kingdom and the European Union [1] - This partnership aims to create a streamlined infrastructure to meet the increasing demand for aseptic processing and high-level decontamination in the life sciences, pharmaceutical, and controlled environment sectors [1] Group 2: Market Potential - The market for infection control in the UK is projected to exceed $6 billion by 2031, indicating significant growth potential in this sector [1] - TCA will manage the full customer lifecycle for SteraMist iHP, from initial demonstrations to long-term maintenance, enhancing customer engagement and service delivery [1]

Core Insights - TOMI Environmental Solutions, Inc. has formed a strategic partnership with Total Clean Air, designating TCA as its Preferred European Partner for SteraMist iHP decontamination technology [1][2] Company Overview - TOMI is a global leader in disinfection and decontamination solutions, utilizing its Binary Ionization Technology (BIT) platform to produce a germ-killing aerosol [6] - TCA specializes in cleanroom design, build, and validation, operating across pharmaceutical, life sciences, and healthcare sectors [9] Partnership Details - TCA will handle sales, service, and technical support for TOMI's SteraMist iHP across the UK and EU, addressing the growing demand for aseptic processing and high-level decontamination [2][3] - The UK infection control market is projected to exceed $6 billion by 2031, indicating significant growth potential for both companies [2] Market Dynamics - The UK sterility testing market is expected to grow at a 14% CAGR through 2035, driven by regulatory requirements and a shift towards rapid testing methods [3] - The partnership aims to enhance compliance with EU GMP Annex 1, providing in-region technical support and validation [3] Service Infrastructure - TCA will maintain consignment stock of SteraMist iHP equipment and consumables, offering annual calibration and routine inspections to ensure high-quality service [4] - A demonstration and trial program will be established at TCA's UK showroom, allowing hands-on evaluation of SteraMist equipment [5]

Core Insights - TOMI Environmental Solutions, Inc. has announced the sale of a Custom Engineered System (CES) to a pharmaceutical manufacturing organization in the UK, marking a significant step in its international growth strategy [1][5]. Group 1: Company Overview - TOMI Environmental Solutions, Inc. is a global leader in disinfection and decontamination solutions, utilizing its Binary Ionization Technology® (BIT™) platform to provide environmental solutions for indoor surface disinfection [7]. - The company's SteraMist® brand produces a germ-killing aerosol using a low percentage of Hydrogen Peroxide as its active ingredient, which is recognized for its effectiveness in various commercial structures [8]. Group 2: Partnership and Technology Integration - The CES being delivered is part of a bespoke, modular cleanroom platform designed by Total Clean Air Limited (TCA), integrating SteraMist iHP technology into TCA's cleanroom architecture, which is the first deployment of this technology within TCA's modular platform [2][4]. - This collaboration aims to create a scalable pathway for future system deployments, enhancing patient safety and operational confidence while ensuring compliance with regulatory frameworks [5][6]. Group 3: Regulatory Compliance and Market Position - TCA's modular solution aligns with UK MHRA and EMA expectations, embedding decontamination capabilities throughout the cleanroom lifecycle, which ensures long-term facility performance and operational resilience for pharmaceutical operators [3]. - The partnership reinforces TCA's position as a trusted cleanroom delivery partner, providing fully integrated solutions that span cleanroom design, containment, and validation [4].

Core Insights - TOMI Environmental Solutions, Inc. has made a strategic move by purchasing SteraMist iHP equipment and BIT Solution worth $175,000 through T.A.C.T. franchises, marking a significant step in its commercial growth strategy [1][2][3] Group 1: Company Developments - The phased rollout of SteraMist technology by T.A.C.T. franchises indicates their confidence in its effectiveness, with initial purchases leading to widespread adoption across all participating franchises [2][3] - The integration of SteraMist iHP technology into T.A.C.T.'s operations has been seamless, supported by TOMI's customer service and educational initiatives [3][5] - The partnership with T.A.C.T. is expected to create recurring revenue opportunities for TOMI, particularly through the BIT Solution [6] Group 2: Market Opportunities - There is a growing market opportunity in addressing mycotoxin contamination, which has reportedly increased by 20-30% in the U.S. over the past decade due to various environmental factors [5] - Mycotoxins pose significant health risks and can lead to costly consequences for businesses, making SteraMist iHP technology a valuable solution for remediation [5][6] - TOMI's SteraMist technology is positioned to tackle critical challenges in public health, particularly in commercial settings where mold and mycotoxin contamination are prevalent [6]