FREDERICK, Md. - TOMI Environmental Solutions, Inc. (NASDAQ: TOMZ), a global provider of disinfection and decontamination solutions, announced a significant sale to Enviro-Mist Inc., a division of EMAQ Group.
The transaction, involving the purchase of twenty SteraMist Environment Systems, is valued at approximately $1.2 million and will contribute to TOMI's revenue in the second quarter of 2024.
Enviro-Mist Inc. has also entered into an exclusive partnership with TOMI to serve the pharmaceutical sector in the Western United States, a new territory for the company's disinfection services. This multi-year contract is expected to generate an estimated annual revenue of $60,000 from BIT Solution sales.
The SteraMist iHP technology, which uses ionized Hydrogen Peroxide to produce a non-caustic germ-killing aerosol, is set to expand its presence in the pharmaceutical industry through this partnership. The technology meets the stringent demands of the sector and is part of TOMI's strategy to increase market penetration and secure ongoing revenue growth.
Elissa J. Shane, TOMI's Chief Operating Officer, expressed confidence in the partnership, highlighting the shared commitment to delivering value to customers and anticipating a successful collaboration. Dave Salas, President of EMAQ, also conveyed optimism about the growth opportunities the strategic arrangement will bring to both companies.
InvestingPro Insights
In light of TOMI Environmental Solutions, Inc.'s (NASDAQ: TOMZ) recent sale and exclusive partnership announcement, a glance at the current financial data and analyst insights from InvestingPro offers a deeper understanding of the company's market position. TOMI's market capitalization stands at a modest $14.97 million, reflecting its status as a smaller player in the industry. Despite a challenging revenue growth rate of -9.53% over the last twelve months as of Q1 2024, the company boasts an impressive gross profit margin of 58.36%, indicating strong cost management relative to sales.
InvestingPro Tips suggest that analysts are optimistic about TOMI's sales growth in the current year, which aligns with the company's recent partnership aimed at expanding its presence in the pharmaceutical sector. Additionally, while the company's stock has experienced significant volatility and a 25% decline over the past month, it has managed a strong return of 20.56% over the last three months. These fluctuations underscore the company's high price volatility, which investors should consider when evaluating the stock.
For investors seeking a more comprehensive analysis, there are additional InvestingPro Tips available at https://www.investing.com/pro/TOMZ. These tips provide valuable insights into TOMI's financial health, including its cash burn rate and balance sheet strength. With the use of coupon code PRONEWS24, readers can get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, unlocking access to a full suite of expert financial analysis and tips.
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