TOMI Environmental Solutions Disrupts Food Safety Sector with 95% Reduction in Sanitation Testing Costs

Rhea-AI Summary

TOMI Environmental Solutions (NASDAQ: TOMZ) said it is expanding into the food safety sector using SteraMist ionized Hydrogen Peroxide (iHP) technology to cut sanitation validation costs by up to 95%. A CPG partner reduced external testing and materials from about $100,000 to $5,000 annually.

The company reports the partner cut environmental sampling to once per quarter after implementation and has deployed SteraMist to multiple partner facilities, highlighting portability for deep machinery disinfection and potential scalability across food manufacturing sites.

Positive

• Sanitation validation costs down 95% to $5,000 annually
• External lab testing and materials reduced from $100,000 to $5,000
• Environmental sampling frequency cut to once per quarter
• Portable SteraPak treats deep, intricate manufacturing internals
• SteraMist rolled out to multiple partner facilities

Negative

• Primary evidence based on a single CPG manufacturer pilot
• No contract values or revenue impact disclosed in the announcement

News Market Reaction – TOMZ

-2.73%

2 alerts

-2.73% News Effect

+13.6% Peak Tracked

-$361K Valuation Impact

$13M Market Cap

0.1x Rel. Volume

On the day this news was published, TOMZ declined 2.73%, reflecting a moderate negative market reaction. Argus tracked a peak move of +13.6% during that session. Our momentum scanner triggered 2 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $361K from the company's valuation, bringing the market cap to $13M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Validation cost reduction: 95% Prior testing costs: $100,000 annually Post-implementation costs: $5,000 annually +5 more

8 metrics

Validation cost reduction 95% Sanitation validation expenses at CPG facility using SteraMist

Prior testing costs $100,000 annually Environmental sampling and lab testing before SteraMist integration

Post-implementation costs $5,000 annually Environmental sampling and lab testing after SteraMist integration

Average food recall cost $10,000,000 Industry data on direct cost of a single food recall

Shelf registration size $50,000,000 Form S-3 shelf filed on Nov 14, 2025

Equity purchase facility $20,000,000 Hudson Global Ventures equity purchase agreement capacity

Nasdaq bid price minimum $1.00 per share Minimum bid requirement cited in Nasdaq deficiency notice

Equity requirement $2,500,000 Nasdaq stockholders’ equity requirement cited in deficiency notice

Market Reality Check

Price: $0.6721 Vol: Volume 68,052 is far belo...

low vol

$0.6721 Last Close

Volume Volume 68,052 is far below the 20-day average of 923,058 (relative volume 0.07x), suggesting limited pre-news participation. low

Technical Shares at $0.6156 are below the 200-day MA of $0.87 and sit closer to the 52-week low $0.5401 than the high $1.20.

Peers on Argus

TOMZ was down 4.4% while key peers were mixed: LIQT up 12.06%, CLIR down 5.16%, ...

1 Down

TOMZ was down 4.4% while key peers were mixed: LIQT up 12.06%, CLIR down 5.16%, CLWT up 2.48%, DEVS down 0.63%, ZONE down 5.51%. Only one peer (RAIN, down 5.93%) appeared in the momentum scanner, pointing to stock-specific rather than broad sector action.

Historical Context

5 past events · Latest: Mar 16 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Mar 16	Geographic expansion	Positive	+5.3%	Expanded SteraMist footprint across Canadian hospital and research institutions.
Mar 03	Partnership announcement	Positive	-2.8%	Named Total Clean Air preferred European partner for SteraMist iHP.
Feb 23	Regulatory approval	Positive	+12.7%	Biocidal product authorizations in Great Britain and Northern Ireland.
Jan 20	System sale	Positive	+0.6%	Sale of Custom Engineered System integrating SteraMist in UK cleanrooms.
Jan 06	Product deployment	Positive	-3.0%	Installation of SteraMist Hybrid System at major research university.

Pattern Detected

Recent operational and regulatory wins have often produced positive moves, but reactions are mixed, with both gains and selloffs around generally constructive news.

Recent Company History

Over the past few months, TOMI has reported multiple SteraMist-related deployments and regulatory milestones. Events include Canadian healthcare expansion on Mar 16, 2026, a Preferred European Partner appointment on Mar 3, 2026, biocidal product approvals in Great Britain and Northern Ireland on Feb 23, 2026, a UK Custom Engineered System sale on Jan 20, 2026, and a major hybrid system installation on Jan 6, 2026. Today’s food safety case study continues this theme of broader market adoption for SteraMist technology.

Regulatory & Risk Context

Active S-3 Shelf · $50,000,000

Shelf Active

Active S-3 Shelf Registration 2025-11-14

$50,000,000 registered capacity

An effective S-3 shelf filed on Nov 14, 2025 allows TOMI to register up to $50,000,000 of various securities. The shelf is currently marked as not effective and usage_count is 0, indicating no takedowns recorded in the provided data.

Market Pulse Summary

This announcement underscores TOMI’s push into food safety, illustrating a CPG facility cutting vali...

Analysis

This announcement underscores TOMI’s push into food safety, illustrating a CPG facility cutting validation expenses by 95% as annual testing costs fall from $100,000 to $5,000. It extends a series of recent SteraMist deployments and regulatory wins across healthcare, pharma, and research. Against this, investors may track progress on Nasdaq compliance requirements and potential use of the $50,000,000 S-3 shelf when evaluating future developments.

Key Terms

ionized hydrogen peroxide (ihp), sanitation standard operating procedures (ssop), clean-in-place

3 terms

ionized hydrogen peroxide (ihp) medical

"advanced, science-driven efficacy of SteraMist ionized Hydrogen Peroxide (iHP) technology."

Ionized hydrogen peroxide (IHP) is a form of hydrogen peroxide that has been transformed into a charged, active state, making it more effective at killing germs and breaking down contaminants. Its enhanced properties can lead to improved cleaning and disinfecting performance, which may influence industries such as healthcare, sanitation, and manufacturing. For investors, understanding IHP is important because advancements or increased demand for its use can impact companies involved in producing or applying this technology.

sanitation standard operating procedures (ssop) technical

"into its facility-wide Sanitation Standard Operating Procedures (SSOP)."

Sanitation Standard Operating Procedures (SSOP) are detailed, written cleaning and hygiene checklists that guide how facilities, equipment, and personnel must be cleaned and sanitized to prevent contamination. For investors, SSOPs matter because thorough, consistently followed procedures reduce the risk of product recalls, regulatory fines, operational shutdowns and reputational damage—similar to a household’s routine cleaning that prevents pests and keeps a home safe to live in.

clean-in-place technical

"redefine the standard for Clean-In-Place and facility-wide disinfection."

Clean-in-place is a built-in cleaning method that washes the interior surfaces of production equipment—pipes, tanks, and reactors—without taking them apart, like a dishwasher for a factory. For investors it matters because it reduces downtime, labor and contamination risk, and helps meet strict safety and quality rules; efficient clean-in-place systems can lower operating costs and support faster production scaling.

AI-generated analysis. Not financial advice.

TOMI Capitalizes on Global Food Safety Demand

FREDERICK, Md., March 18, 2026 (GLOBE NEWSWIRE) -- TOMI Environmental Solutions, Inc.^® (“TOMI”) (NASDAQ: TOMZ), a global leader in disinfection and decontamination solutions, is accelerating its expansion into the food safety sector by delivering unprecedented operational savings of up to 95%. As global supply chains face mounting pressure to eliminate pathogens such as Salmonella, Listeria, and E. coli, the industry is rapidly transitioning from legacy chemical applications toward the advanced, science-driven efficacy of SteraMist ionized Hydrogen Peroxide (iHP) technology.

The financial stakes for food safety have never been higher, with industry data indicating that the average direct cost of a single food recall now reaches nearly $10 million when accounting for notification, product retrieval, and disposal. To combat these risks, leading manufacturers are seeking automated, repeatable solutions that go beyond traditional cleaning.

A prominent Consumer Packaged Goods (CPG) manufacturer specializing in egg white-based products recently showcased the transformative power of this technology by integrating SteraMist iHP into its facility-wide Sanitation Standard Operating Procedures (SSOP). The portability of the SteraPak system allowed sanitation teams to treat the deep, intricate internals of complex manufacturing machinery that are often unreachable by conventional methods.

The implementation of SteraMist exceeded all performance benchmarks, resulting in an environment where spoilage organisms were detected so rarely that the facility was able to reduce its environmental sampling frequency from a routine schedule to only once per quarter. This shift led to a dramatic reduction in external lab testing and material costs, which plummeted from approximately $100,000 annually to just $5,000—representing a 95% overall decrease in sanitation validation expenses.

"Our expansion into the food safety sector represents a pivotal milestone in TOMI’s mission to set a new global standard for disinfection," stated Dr. Halden Shane, Chief Executive Officer of TOMI. "The 95% reduction in validation costs achieved by our CPG partner is a powerful testament to the economic disruption SteraMist brings to the industry. We are not just improving safety; we are fundamentally changing the cost-of-doing-business for food manufacturers by replacing outdated, labor-intensive processes with a superior, science-driven solution."

Driven by these results, the manufacturer has introduced SteraMist to multiple partner facilities, further validating the technology’s scalability. By providing a solution that simultaneously increases safety and decreases overhead, TOMI continues to redefine the standard for Clean-In-Place and facility-wide disinfection.

About 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 indoor surface 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 to produce a fog of ionized Hydrogen Peroxide (iHP™). Represented by the SteraMist® brand of products, iHP™ produces a germ-killing aerosol that works like a visual non-caustic gas.

TOMI products are designed to service a broad spectrum of commercial structures, including, but not limited to, hospitals and medical facilities, cruise ships, office buildings, hotel and motel rooms, schools, restaurants, meat and produce processing facilities, military barracks, police and fire departments, and athletic facilities. TOMI products and services have also been used in single-family homes and multi-unit residences.

TOMI develops training programs and application protocols for its clients and is a member in good standing with The American Biological Safety Association, The American Association of Tissue Banks, Association for Professionals in Infection Control and Epidemiology, Society for Healthcare Epidemiology of America, America Seed Trade Association, and The Restoration Industry Association.

For additional information, please visit https://www.steramist.com or contact us at info@tomimist.com.

Forward-Looking Statements

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 TOMI’s products and services serving the food safety sector and to achieve cost savings for food manufactuers. 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, our ability to acquire new customers and expands sales; 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 December 31, 2024 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.

INVESTOR RELATIONS CONTACT:  

John Nesbett/Zach Nevas  

IMS Investor Relations  

tomi@imsinvestorrelations.com  

FAQ

How did TOMZ achieve a 95% reduction in sanitation testing costs on March 18, 2026?

TOMI reported a partner facility cut testing costs from about $100,000 to $5,000, a 95% decrease. According to the company, SteraMist iHP enabled deeper, repeatable disinfection that reduced external lab testing and material expenses.

What operational changes allowed TOMZ's CPG partner to sample only once per quarter?

The partner reduced sampling to quarterly after SteraMist exceeded performance benchmarks and made spoilage organisms rare. According to the company, improved sanitation repeatability and machine-access portability supported the lower sampling cadence.

Does TOMZ report widespread adoption of SteraMist across food manufacturing as of March 18, 2026?

TOMI says the manufacturer introduced SteraMist to multiple partner facilities, indicating early scalability. According to the company, positive pilot outcomes prompted broader rollouts but no specific deployment counts or revenue figures were provided.

What pathogens does TOMZ target with SteraMist in food safety applications?

SteraMist aims to address pathogens like Salmonella, Listeria, and E. coli in food manufacturing environments. According to the company, the iHP technology is positioned as an alternative to legacy chemical applications for pathogen reduction and facility-wide disinfection.

What cost savings should investors consider when assessing TOMZ food safety expansion?

The announcement highlights a case where validation costs fell from $100,000 to $5,000 annually, showing potential high unit savings. According to the company, those savings derive from reduced external testing, materials, and less frequent environmental sampling.