Company: TOMZ
Filing Date: 2025-09-30
Form Type: ARS
Source: 0001654954-25-011264
Chunk: 102

Company: TOMI Environmental Solutions, Inc.
Filing Date: 2025-09-30
Form: ARS
Chunk 102
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 $ | 5,781,000 |     | $      | 254,000 |
| Service and Training |     |                                  | 1,704,000 |     |      | 1,574,000 |     |        | 130,000 |
| Total                |     |                                $ | 7,739,000 |     |    $ | 7,355,000 |     | $      | 384,000 |

Revenue by Geographic Region

|               |     | For The Years Ended December 31, |           |     |      |           |     | Change |         |   |
|:--------------|:----|---------------------------------:|----------:|:----|-----:|----------:|:----|:-------|--------:|:--|
|               |     |                             2024 |           |     | 2023 |           |     | $      |         |   |
| United States |     |                                $ | 6,098,000 |     |    $ | 6,125,000 |     | $      | (27,000 | ) |
| International |     |                                  | 1,641,000 |     |      | 1,230,000 |     |        | 411,000 |   |
| Total         |     |                                $ | 7,739,000 |     |    $ | 7,355,000 |     | $      | 384,000 |   |

| F-14 |

Product revenue includes sales from our standard and customized equipment, solution and accessories sold with our equipment. Revenue is recognized upon transfer of control of promised products to customers in an amount that reflects the consideration we expect to receive in exchange for those products.

Service and training revenue include sales from our high-level decontamination and service engagements, validation of our equipment and technology and customer training. Service revenue is recognized as the agreed upon services are rendered to our customers in an amount that reflects the consideration we expect to receive in exchange for those services.

Estimated allowances for sales returns are recorded as sales are recognized. We use a specific identification method based on subsequent product return activity and historical average calculations to estimate the allowance for sales returns. For the years ended December 31, 2024 and 2023, we recorded an allowance of $227,000 and $128,390, respectively.

Costs to Obtain a Contract with a Customer

We apply a practical expedient to expense costs as incurred for costs to