TOMI Environmental Announces Additional iHP Custom Engineered System Installation Contracted for California
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The recent contract signed by TOMI Environmental Solutions for their SteraMist iHP Custom Engineered System (CES) with a California-based life sciences company represents a significant business development. The $600,000 deal not only contributes to TOMI's revenue but also underscores the growing demand for advanced decontamination systems in the life sciences industry. This sector is subject to stringent standards such as Annex 1, GMP and ISO, which necessitate high levels of cleanliness and sterilization. The adoption of automated systems like SteraMist iHP is indicative of an industry trend towards enhancing operational efficiencies and reducing downtime, which is critical in high-stakes environments like clinical suites.
California's status as a biotech and pharmaceutical hub means that this contract could have a ripple effect, potentially leading to further adoption of TOMI's technology in the region. The mention of TOMI's expansion of clients and relationships within the state over the past year suggests a strategic focus on this key demographic, which could be a driver for future growth. Additionally, the preference of SteraMist iHP over traditional vaporized hydrogen peroxide solutions points to a competitive advantage in the market that may influence other companies in their decontamination technology choices.
The financial implications of the new contract for TOMI are multifaceted. A contract of this magnitude, valued at $600,000, can have a material impact on the company's quarterly performance, especially for a smaller cap company listed on NASDAQ. Investors will be interested in how this contract affects TOMI's revenue stream and whether it is part of a larger trend of increasing contracts of similar size. The integration of the SteraMist iHP CES into a clinical suite by the end of Q3 2024 suggests a short-term revenue recognition which could be favorable for the fiscal year's performance.
Furthermore, the strategic partnerships and the company's ability to displace initially considered technologies can be seen as a positive indicator of TOMI's market penetration and product efficacy. The stock market often reacts to such news with increased investor confidence, which can be reflected in the company's stock price. However, it's important to monitor whether TOMI can sustain this momentum and convert these individual contracts into long-term, recurring revenue streams, which are vital for sustainable growth and profitability.
The integration of SteraMist iHP technology into the life sciences sector has broader implications beyond immediate financial metrics. The technology, which utilizes ionized Hydrogen Peroxide (iHP), represents an advancement in decontamination practices, potentially setting new industry standards. Its selection over traditional vaporized hydrogen peroxide solutions signals a shift towards more innovative and effective methods of ensuring sterile environments, which is crucial for the integrity of clinical research and pharmaceutical manufacturing.
For stakeholders in the healthcare and pharmaceutical industries, the adoption of such technology could lead to improved outcomes in terms of product safety and regulatory compliance. The emphasis on automation within decontamination processes aligns with global trends towards efficiency and could reduce the risk of human error in critical cleanroom environments. This technology could also have implications for public health, as the effectiveness of decontamination plays a role in preventing contamination and the spread of infectious diseases.
FREDERICK, Md., Feb. 29, 2024 (GLOBE NEWSWIRE) -- TOMI Environmental Solutions, Inc.® (“TOMI”) (NASDAQ: TOMZ), a global company specializing in disinfection and decontamination solutions, today announced the signing of a new contract for a SteraMist iHP Custom Engineered System (CES) installation with a California-based life sciences company. The contracted iHP Custom Engineered System (CES) is valued at approximately
The life sciences sector is increasingly adopting automation in various processes, including decontamination, to comply with Annex 1, GMP, ISO, and other strict standards. California, a leading hub for the pharmaceutical and biotech industries, is emerging as a key growth demographic for TOMI with the Company gaining multiple new clients, opportunities, and relationships from the state over the last year. The newly announced CES contract is a reflection of the trend of life sciences companies selecting integrated SteraMist iHP products to ensure superior decontamination while creating workflow efficiencies by minimizing laboratory downtime.
Following a presentation by Dr. Halden Shane, CEO of TOMI, at an ISPE event hosted by Avid Bioservices, the contractors recognized the benefits of the automated iHP Custom Engineered System showcased in Avid's new facility and brought SteraMist iHP to the customer as an option. TOMI's strong connections with other members of contractors and lab architects in other states from previous installs, led the customer to choose SteraMist iHP technology over the initial choice of vaporized hydrogen peroxide.
Elissa J. (E.J.) Shane, COO of TOMI states, “We’re pleased to announce this new CES contract and look forward to continuing our growth momentum. Maintaining and developing relationships in this field remains crucial for both our clients and upcoming initiatives. Being a chosen technology to collaborate with respected contractors and architects has been rewarding, and we are committed to broadening our network to ensure that the highest quality of decontamination is achieved in laboratories across the world.”
TOMI™ Environmental Solutions, Inc.: Innovating for a safer world®
TOMI™ Environmental Solutions, Inc. (NASDAQ: TOMZ) is a global decontamination and infection prevention company, providing environmental solutions for disinfection through the manufacturing, sales and licensing of its premier Binary Ionization Technology® (BIT™) platform. Invented under a defense grant in association with the Defense Advanced Research Projects Agency (DARPA) of the U.S. Department of Defense, BIT™ solution utilizes a low percentage hydrogen peroxide as its only active ingredient and uses patented ionized Hydrogen Peroxide (iHP™) technology in all SteraMist systems to create superior disinfection. TOMI products are designed to service a broad spectrum of use sites, including, but not limited to, hospitals and medical facilities, biosafety labs, pharmaceutical facilities, commercial and office buildings, schools, restaurants, meat and produce processing facilities, and police and fire departments.
For additional information, please visit http://www.steramist.com/or contact us at info@tomimist.com
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements that are based on current expectations, estimates, forecasts and projections of future performance based on management’s judgment, beliefs, current trends, and anticipated product performance. These forward-looking statements include, without limitation, statements relating to new CES contract and potential revenue opportunities. Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. These factors include, but are not limited to, the impact of the COVID-19 pandemic on our business and customers; our ability to maintain and manage growth and generate sales, our reliance on a single or a few products for a majority of revenues; the general business and economic conditions; and other risks as described in our SEC filings, including our Annual Report on Form 10-K for the fiscal year ended March 2022 filed by us with the SEC and other periodic reports we filed with the SEC. The information provided in this document is based upon the facts and circumstances known at this time. Other unknown or unpredictable factors or underlying assumptions subsequently proving to be incorrect could cause actual results to differ materially from those in the forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, or achievements. You should not place undue reliance on these forward-looking statements. All information provided in this press release is as of today’s date, unless otherwise stated, and we undertake no duty to update such information, except as required under applicable law.
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FAQ
What is the value of the newly announced CES contract?
When is the SteraMist iHP Custom Engineered System expected to be fully installed?
Why is California considered a key growth demographic for TOMI?
What technology does TOMI utilize for disinfection in its SteraMist systems?
Who presented at the ISPE event hosted by Avid Bioservices that led to the contractors recognizing the benefits of the automated iHP Custom Engineered System?
