STOCK TITAN

Sonoma Pharmaceuticals Delivers 141% U.S. Revenue Growth in FY Q1, 60% Total Revenue Growth and First-Ever Positive Adjusted EBITDA

(Very Positive)
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Sonoma Pharmaceuticals (NASDAQ:SNOA) reported fiscal Q1 2027 revenue of $6.4 million, up 60% year over year, driven by a 141% increase in U.S. sales and growth across Europe, Asia, Latin America and Rest of World.

Gross profit rose to $2.6 million with gross margin expanding to 40% from 36%, while operating expenses held essentially flat at $2.6 million. GAAP net loss narrowed to $0.33 million from $1.24 million, and EBITDA turned positive to about $0.05 million, marking the company’s first positive EBITDA quarter. Non-GAAP net income was $0.07 million. As of June 30, 2026, cash and equivalents were $5.3 million.

According to Sonoma Pharmaceuticals, growth was supported by a new FDA 510(k) clearance for Microdacyn Wound Irrigation Solution with expanded claims and multi-use clearance, plus new distributors added in Taiwan, Vietnam and the United States.

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Positive

  • Total revenue up 60% YoY to $6.4 million in Q1 2027
  • U.S. revenue increased 141% YoY, adding $1.4 million
  • Gross margin expanded to 40% from 36% year over year
  • GAAP net loss reduced to $0.33 million from $1.24 million
  • EBITDA turned positive to approximately $0.05 million from a $1.0 million loss
  • Cash balance increased to $5.3 million from $2.4 million at March 31, 2026
  • Non-GAAP net income reached $0.07 million versus a $0.60 million loss
  • New FDA 510(k) clearance for Microdacyn Wound Irrigation Solution with expanded claims and multi-use
  • New distributors added in Taiwan, Vietnam and the United States

Negative

  • Company remains loss-making with GAAP net loss of $0.33 million
  • Other expense increased to $0.29 million from $0.15 million year over year
  • Accumulated deficit stands at $201.3 million as of June 30, 2026
  • Withholding tax payable totals $5.6 million, exceeding current net income metrics
  • Share count rose from 1.80 million to 4.79 million QoQ, indicating substantial dilution

News Explained

The reported common-share base was 4,785,801 at June 30, up from 1,799,057 at March 31, while cash was $5.338 million.

Sonoma Pharmaceuticals has reported results for the quarter ended June 30, 2026; its balance sheet lists 4,785,801 common shares outstanding, versus 1,799,057 at March 31, 2026, changing the reported common-share base even though the release does not give issuance mechanics.

At June 30, 2026, the company reported $5.338 million of cash and equivalents, which equals 740.2 days of the last reported operating cash use based on the supplied calculation.

Sources and calculations
  • Cash and equivalents vs quarterly operating cash outflow, in days of cash use $5,338,000 / ($649,000 / 90) = [object Object]

Market reaction after FY Q1 earnings report: SNOA +10.62% in the Aug 6 session

+10.62% 22.3x vol
14 alerts
+10.62% Session close to close
+10.2% Peak in 2 hr 51 min
$6.61M Market Cap
22.3x Rel. Volume

In the Aug 6 session, SNOA gained 10.62%, reflecting a significant positive market reaction. Argus tracked a peak move of +10.2% during that session. Our momentum scanner triggered 14 alerts that day, indicating notable trading interest and price volatility. Trading volume was exceptionally heavy at 22.3x the daily average, suggesting very strong buying interest.

Data tracked by StockTitan Argus on the day of publication.

Market Context

The stock surged +10.6% in the session following this news. The prior earnings event produced a 4.55...
Analysis

The stock surged +10.6% in the session following this news. The prior earnings event produced a 4.55% 24-hour move, while this announcement again centered on quarterly results. The historical record also includes a -36.67% offering reaction, highlighting financing-related volatility as a risk.

Key Figures

Total Revenue: $6.4 million Revenue Growth: 60% U.S. Revenue Growth: 141% +5 more
8 metrics
Total Revenue $6.4 million Quarter ended June 30, 2026
Revenue Growth 60% Year over year
U.S. Revenue Growth 141% Three months ended June 30, 2026
Gross Margin 40% Compared with 36% in the prior-year period
Net Loss $0.3 million Compared with $1.2 million in the prior-year quarter
Adjusted EBITDA $0.1 million gain Compared with a $1.0 million loss in the prior-year quarter
Operating Expenses $2.6 million Compared with $2.6 million in the prior-year quarter
Cash and Cash Equivalents $5.3 million As of June 30, 2026

Historical Context

5 past events · Latest: Jun 30 (Positive)
Pattern 5 events
Date Event Sentiment 24h Move Catalyst
Jun 30 FDA clearance Positive +0.0% FDA clearance expanded Microdacyn wound-solution indications, uses, and packaging options
Jun 16 FY earnings Positive +4.5% Fiscal fourth-quarter revenue growth accompanied narrowed net and EBITDA losses
Apr 24 Public offering Negative -36.7% Company priced a firm-commitment offering of shares and warrants
Mar 24 Product launch Positive -8.2% Advanced burn-relief hydrogel launched through CVS and Walmart distribution
Mar 18 Product launch Positive +2.9% Aquanil AD dermatology line launched for U.S. over-the-counter distribution

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

The historical record showed that positive earnings and product news did not consistently align with price reactions, while the prior offering reaction was sharply negative.

Key Terms

510(k), hypochlorous acid (hocl), ebitda, non-gaap financial measure
4 terms
510(k) regulatory
"new 510(k) clearance from the U.S. Food and Drug Administration"
A 510(k) is a U.S. regulatory submission that a medical device maker uses to show a new device is as safe and effective as an already-approved device, allowing the regulator to clear it for sale rather than requiring the longer, more stringent approval process. For investors, a cleared 510(k) usually means lower regulatory risk and a faster path to market, which can speed revenue generation and reduce uncertainty—similar to proving a new appliance works like a trusted existing model.
hypochlorous acid (hocl) medical
"stabilized hypochlorous acid (HOCl) products for a wide range"
Hypochlorous acid (HOCl) is a mild, fast-acting disinfectant formed when chlorine is dissolved in water; it kills bacteria, viruses and fungi by oxidizing cell components. It matters to investors because HOCl is used in medical wound care, surface sanitizers, and consumer cleaning products, so its regulatory approvals, safety profile, production methods and cost influence market demand and commercial opportunities. Think of it as a gentler, short-lived alternative to household bleach that is valued for effectiveness and safety.
ebitda financial
"EBITDA gain for the quarter ended June 30, 2026"
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.
View in glossary
non-gaap financial measure financial
"EBITDA gain (loss) is a non-GAAP financial measure"
A non-GAAP financial measure is a way companies present their financial results that excludes certain expenses or income to show how they believe their core business is performing. It matters because it can give a clearer picture of how the company is really doing, but it can also be used to make results look better than they actually are.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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  • Total revenue increased 60% year over year to $6.4 million

  • Net loss per share decreased 88% compared to the prior-year quarter

  • Gross margin expanded to 40% as operating expenses remained stable

  • FDA clearance and new global distributors support continued commercial growth

BOULDER, CO / ACCESS Newswire / August 6, 2026 / Sonoma Pharmaceuticals, Inc. (NASDAQ:SNOA), a global healthcare leader developing and producing patented Microcyn® technology-based stabilized hypochlorous acid (HOCl) products for a wide range of applications including wound care, eye care, dermatological conditions, podiatry, animal health care and non-toxic disinfectants, today announced financial results for its first fiscal quarter ended June 30, 2026.

"Our first quarter results demonstrate that Sonoma has reached an important inflection point," said Amy Trombly, CEO of Sonoma. "We delivered record quarterly revenue, more than doubled our U.S. business, expanded gross margins to 40%, and achieved positive adjusted EBITDA for the first time in the company's history-all while keeping operating expenses essentially flat. These results reflect the strength of our commercial strategy, the growing global adoption of hypochlorous acid products, and the operating leverage built into our business model. With new FDA clearances, expanding distribution partnerships, and a strong pipeline of commercial opportunities, we believe we are well positioned to continue delivering profitable growth."

Business Highlights

Sonoma continued to expand regulatory approvals and grow its global distribution network:

  • In June 2026, Sonoma received a new 510(k) clearance from the U.S. Food and Drug Administration (FDA) for its Microdacyn® Wound Irrigation Solution, including expanded claims, clearance for multiple use, and additional packaging configurations.

  • Since the start of fiscal year 2027, Sonoma has added new distributors to its network in Taiwan, Vietnam and the United States.

Results for the Quarter Ended June 30, 2026

Total revenues for the quarter ended June 30, 2026 of $6.4 million were up $2.4 million as compared to $4.0 million for the same period last year. The increase in United States revenue of $1.4 million, or 141%, for the three months ended June 30, 2026 was primarily the result of an increase in revenue related to the sale of over-the-counter products and increased sales by new and existing distributors. Revenues in Europe increased $0.5 million, or 34%, compared to the same period last year as the result of increased demand for Sonoma's products and favorable exchange rates. Revenues increased in Asia and Rest of World when compared to the same period last year. These revenues tend to be choppy when viewed on a quarterly basis due to customers placing larger, but less frequent, orders to benefit from quantity discounts and reduced shipping costs. Latin America revenue increased for the quarter ended June 30, 2026, compared to the same period last year, due to timing of customer orders for overflow manufacturing.

During the quarter ended June 30, 2026, Sonoma reported revenues of $6.4 million and cost of revenues of $3.8 million resulting in gross profit of $2.6 million, or 40% of revenue, compared to a gross profit of $1.5 million, or 36% of revenue, in the same period last year.

Total operating expenses during the quarter ended June 30, 2026 were $2.6 million compared to $2.6 million in the same period last year, demonstrating the operating leverage in Sonoma's business model as the company grows revenue and gross profit while keeping operating expenses stable.

Net loss for the quarter ended June 30, 2026 of $0.3 million declined significantly compared to a net loss of $1.2 million for the quarter ended June 30, 2025. EBITDA gain for the quarter ended June 30, 2026 of $0.1 million was positive compared to an EBITDA loss of $1.0 million for the same period last year.

As of June 30, 2026, Sonoma had cash and cash equivalents of $5.3 million.

About Sonoma Pharmaceuticals, Inc.

Sonoma Pharmaceuticals is a global healthcare leader for developing and producing stabilized hypochlorous acid (HOCl) products for a wide range of applications, including wound care, eye care, dermatological conditions, podiatry, animal health care and non-toxic disinfectants. The company's products are clinically proven to reduce itch, pain, scarring, and irritation safely and without damaging healthy tissue. In-vitro and clinical studies of HOCl show it to safely manage skin abrasions, lacerations, minor irritations, cuts, and intact skin. The company's products are sold either directly or via partners in over 55 countries worldwide and the company actively seeks new distribution partners. The company's principal office is in Boulder, Colorado, with manufacturing operations in Guadalajara, Mexico. European marketing and sales are headquartered in Roermond, Netherlands. More information can be found at www.sonomapharma.com. For partnership opportunities, please contact businessdevelopment@sonomapharma.com.

Forward-Looking Statements

Except for historical information herein, matters set forth in this press release are forward-looking within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including statements about the commercial and technology progress and future financial performance of Sonoma Pharmaceuticals, Inc. and its subsidiaries (the "company"). These forward-looking statements are identified by the use of words such as "continue," "reduce," "develop," "aim," and "expand," among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the company's business that could cause actual results to vary, including such risks that regulatory clinical and guideline developments may change, scientific data may not be sufficient to meet regulatory standards or receipt of required regulatory clearances or approvals, clinical results may not be replicated in actual patient settings, protection offered by the company's patents and patent applications may be challenged, invalidated or circumvented by its competitors, the available market for the company's products will not be as large as expected, the company's products will not be able to penetrate one or more targeted markets, revenues will not be sufficient to meet the company's cash needs or fund further development, as well as uncertainties relative to the recent pandemic and economic development, varying product formulations and a multitude of diverse regulatory and marketing requirements in different countries and municipalities, and other risks detailed from time to time in the company's filings with the Securities and Exchange Commission. The company disclaims any obligation to update these forward-looking statements, except as required by law.

Sonoma Pharmaceuticals™ Microcyn® and Microdacyn® are trademarks or registered trademarks of Sonoma Pharmaceuticals, Inc. All other trademarks and service marks are the property of their respective owners.

Media and Investor Contact:

Sonoma Pharmaceuticals, Inc.

ir@sonomapharma.com

Website: www.sonomapharma.com
Follow us on LinkedIn: https://www.linkedin.com/company/sonoma-pharmaceuticals
Follow us on Instagram: https://www.instagram.com/sonomapharma_us/
Follow us on Facebook: https://www.facebook.com/sonomapharma/

SONOMA PHARMACEUTICALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share amounts)

June 30,

March 31,

2026

2026


(Unaudited)

ASSETS
Current assets:
Cash and cash equivalents

$

5,338

$

2,399

Accounts receivable, net

3,182

2,527

Inventories, net

3,786

3,651

Prepaid expenses and other current assets

3,962

3,523

Total current assets

16,268

12,100

Property and equipment, net

290

310

Operating lease, right of use assets

578

602

Deferred tax asset, net

905

884

Other assets

66

64

Total assets

$

18,107

$

13,960

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable

$

2,191

$

1,923

Accrued expenses and other current liabilities

2,674

2,252

Deferred revenue

282

284

Short-term debt

140

222

Operating lease liabilities, current portion

160

151

Total current liabilities

5,447

4,832

Withholding tax payable

5,627

5,564

Operating lease liabilities, less current portion

439

469

Total liabilities

11,513

10,865

Commitments and Contingencies
Stockholders' Equity:
Convertible preferred stock, $0.0001 par value; 714,286 shares authorized at June 30, 2026 and March 31, 2026, respectively, no shares issued and outstanding at June 30, 2026 and March 31, 2026

-

-

Common stock, $0.0001 par value; 50,000,000 shares authorized at June 30, 2026 and March 31, 2026, 4,785,801 and 1,799,057 shares issued and outstanding at June 30, 2026 and March 31, 2026, respectively

-

-

Additional paid-in capital

210,913

207,319

Accumulated deficit

(201,311

)

(200,981

)

Accumulated other comprehensive loss

(3,008

)

(3,243

)

Total stockholders' equity

6,594

3,095

Total liabilities and stockholders' equity

$

18,107

$

13,960

 

SONOMA PHARMACEUTICALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(In thousands, except per share amounts)
(Unaudited)

Three Months Ended June 30,

2026

2025

Revenues

$

6,406

$

4,015

Cost of revenues

3,829

2,551

Gross profit

2,577

1,464

Operating expenses:
Research and development

597

594

Selling, general and administrative

2,020

1,965

Total operating expenses

2,617

2,559

Loss from operations

(40

)

(1,095

)

Other expense, net

(290

)

(147

)

Loss from operations before income taxes

(330

)

(1,242

)

Income tax benefit

1

Net loss

$

(330

)

$

(1,241

)

Net loss per share: basic and diluted

$

(0.09

)

$

(0.76

)

Weighted-average shares outstanding: basic and diluted

3,846

1,641

Other comprehensive loss:
Net loss

$

(330

)

$

(1,241

)

Foreign currency translation adjustments

235

806

Comprehensive loss

$

(95

)

$

(435

)

 

SONOMA PHARMACEUTICALS, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES
(In thousands)
(Unaudited)

Three Months Ended
June 30,

2026

2025

(1) Loss from operations adjusted for non-cash items and one-time events, or EBITDA loss:
GAAP loss from operations as reported

$

(40

)

$

(1,095

)

Non-cash adjustments:
Stock-based compensation

58

57

Depreciation

32

36

Non-GAAP loss from operations minus non-cash expenses EBITDA gain (loss)

$

50

$

(1,002

)

(2) Net loss adjusted for non-cash items and one-time events:
GAAP net loss as reported

$

(330

)

$

(1,241

)

Non-cash adjustments:
Stock-based compensation

58

57

Non-cash foreign exchange transaction gains

314

549

Income taxes

(1

)

Depreciation

32

36

Non-GAAP net income (loss) adjusted for non-cash items

$

74

$

(600

)

(3) Operating expenses minus non-cash expenses
GAAP operating expenses as reported

$

2,617

$

2,559

Non-cash adjustments:
Stock-based compensation

(58

)

(57

)

Depreciation

(32

)

(36

)

Non-GAAP operating expenses minus non-cash expenses

$

2,527

$

2,466

  1. Loss from operations minus non-cash expenses EBITDA gain (loss) is a non-GAAP financial measure. The Company defines this as GAAP reported operating income (loss) minus operating depreciation and amortization and operating stock-based compensation. The Company uses this measure for the purpose of modifying the operating loss to reflect normal direct cash related transactions during the measurement period. Non-GAAP measures should not be considered a substitute for financial measures presented in accordance with GAAP. Non-GAAP measures are not always consistent across, or comparable with, non-GAAP measures disclosed by other companies.

  2. Net loss adjusted for non-cash items and one-time events is a non-GAAP financial measure. The Company defines this as GAAP reported net loss minus depreciation and amortization, stock-based compensation, income taxes and non-cash foreign exchange transaction losses. The Company uses this measure for the purpose of modifying the net loss to reflect only those expenses to reflect normal direct cash transactions during the measurement period. Non-GAAP measures should not be considered a substitute for financial measures presented in accordance with GAAP. Non-GAAP measures are not always consistent across, or comparable with, non-GAAP measures disclosed by other companies.

  3. Operating expenses minus non-cash expenses is a non-GAAP financial measure. The Company defines operating expenses minus non-cash expenses as GAAP reported operating expenses minus operating depreciation and amortization, and operating stock-based compensation. The Company uses this measure for the purpose of identifying total operating expenses involving cash transactions during the measurement period. Non-GAAP measures should not be considered a substitute for financial measures presented in accordance with GAAP. Non-GAAP measures are not always consistent across, or comparable with, non-GAAP measures disclosed by other companies.

SOURCE: Sonoma Pharmaceuticals, Inc.



View the original press release on ACCESS Newswire

FAQ

How did Sonoma Pharmaceuticals (SNOA) perform in its fiscal Q1 2027 earnings?

Sonoma Pharmaceuticals reported Q1 2027 revenue of $6.4 million, a 60% year-over-year increase. According to Sonoma Pharmaceuticals, U.S. revenue rose 141%, gross margin reached 40%, GAAP net loss narrowed to $0.33 million, and EBITDA turned positive for the first time.

What drove the 141% U.S. revenue growth for Sonoma Pharmaceuticals (SNOA) in Q1 2027?

The 141% U.S. revenue growth to an extra $1.4 million was primarily driven by over-the-counter product sales and higher volumes from new and existing distributors. According to Sonoma Pharmaceuticals, these channels significantly expanded its domestic commercial footprint during the quarter.

Did Sonoma Pharmaceuticals (SNOA) achieve positive EBITDA in the quarter ended June 30, 2026?

Yes, Sonoma Pharmaceuticals achieved positive EBITDA of about $0.05 million in fiscal Q1 2027. According to Sonoma Pharmaceuticals, this compares with an EBITDA loss of $1.0 million a year earlier and marks its first-ever quarter with positive EBITDA performance.

What new FDA clearance did Sonoma Pharmaceuticals (SNOA) receive in June 2026?

In June 2026, Sonoma Pharmaceuticals received a new 510(k) clearance for its Microdacyn Wound Irrigation Solution. According to Sonoma Pharmaceuticals, the clearance added expanded claims, authorized multiple-use application, and approved additional packaging configurations, supporting further commercialization of its wound care portfolio.

How strong is Sonoma Pharmaceuticals’ (SNOA) balance sheet after Q1 2027?

As of June 30, 2026, Sonoma Pharmaceuticals held $5.3 million in cash and equivalents and total assets of $18.1 million. According to Sonoma Pharmaceuticals, stockholders’ equity was $6.6 million, while current liabilities totaled $5.4 million, providing positive net working capital.

What were Sonoma Pharmaceuticals’ (SNOA) non-GAAP results for the quarter ended June 30, 2026?

Non-GAAP net income was $0.07 million for fiscal Q1 2027, compared with a $0.60 million non-GAAP loss a year earlier. According to Sonoma Pharmaceuticals, non-GAAP operating expenses excluding non-cash items were $2.53 million, reflecting cash-based cost control alongside higher revenue.

How did international revenues for Sonoma Pharmaceuticals (SNOA) change in fiscal Q1 2027?

International revenues increased across Europe, Asia, Latin America and Rest of World in fiscal Q1 2027. According to Sonoma Pharmaceuticals, Europe revenue rose 34% year over year, aided by stronger demand and favorable exchange rates, while other regions benefited from order timing and distributor activity.