Company: TOMZ
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001654954-25-013088
Chunk: 50

Company: TOMI Environmental Solutions, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 50
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 30, 2025 and 2024 was $577,000 and $1,453,000, respectively. The decrease was primarily attributable to management action on working capital with a focus on accounts receivable and inventory.

Investing Activities

Cash used in investing activities for the nine months ended September 30, 2025 and 2024 was $133,000 and $105,000, respectively. The increase was attributable to patent and trademark costs incurred in the current year period compared to property and equipment purchased in the prior year period.

Financing Activities

Cash provided by financing activities for the nine months ended September 30, 2025 and 2024 was $535,000 and $28,000, respectively. The increase is attributable to the proceeds from the issuance of convertible notes in the current year period.

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Liquidity

Our revenues can fluctuate due to the following factors, among others:

 ·ramp up and expansion of our internal sales force and manufacturer’s representatives; ·length of our sales cycle; ·global and regional response to the outbreak of infectious diseases; ·expansion into new territories and markets; and ·timing of orders from distributors.

We continue to implement measures to improve financial results and cash flows, including optimizing our product mix, expanding recurring solution sales, and managing overhead. Management expects these actions to support our liquidity needs through 2025.

We could incur operating losses and an increase of costs related to the continuation of product and technology development, sales expense as we continue to grow our sales teams, inventory as we continue to ensure we have products needed and geographic presence, tooling capital expenditures as we ramp up and streamline our production and administrative activities including compliance with the Sarbanes-Oxley Act of 2002 Section 404.

For the nine months ended September 30, 2025 and 2024, our net loss was approximately $1,943,000 and $1,221,000, respectively, and the cash used in operations was approximately $577,000 and $1,453,000, respectively. As of September 30, 2025, we had approximately $490,000 of cash and cash equivalents and an accumulated deficit of $56.2 million. These factors raise substantial doubt about our ability to continue as a going concern within one year after the date the financial statements in this Form 10-Q are issued. While we cannot predict our liquidity position beyond the next twelve months, we are expecting our