Sonoma Pharmaceuticals Reports Second Fiscal Quarter 2026 Financial Results

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• Revenues increased 57% for the quarter and 38% for the six months ended September 30, 2025 compared to same periods last year

• U.S. revenue increased 115% for the quarter and 86% for the six months ended September 30, 2025 compared to same periods last year

• Net loss per share decreased 46% for the quarter and 42% for the six months ended September 30, 2025 compared to same periods last year

BOULDER, CO / ACCESS Newswire / November 4, 2025 / 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, oral and nasal care, dermatological conditions, podiatry, and animal health care, today announced financial results for its second fiscal quarter ended September 30, 2025.

"We are thrilled to report the highest quarterly revenues in Sonoma's history - $5.6 million for the three months ended September 30, 2025," said Amy Trombly, CEO of Sonoma Pharmaceuticals. "This achievement reflects the exceptional work of our team in expanding our distribution network, launching new products, and obtaining key regulatory clearances. While we anticipate some quarterly fluctuations as we continue to grow, we expect Sonoma's overall trajectory to be strongly positive, with increasing adoption of our high-quality products by both consumers and healthcare providers and solidification of our position as the global leader in the HOCl industry."

Business Highlights

Sonoma continued to improve and expand its product offerings and regulatory approvals, and to grow its distribution network by entering into new partnerships:

• On August 13, 2025, Sonoma announced the launch of its HOCl-based diaper rash products for infants and children into Walmart stores and other large retailers in the United States.

• On August 26, 2025, Sonoma announced that Reliefacyn® Advanced Itch-Burn-Rash-Pain Relief Hydrogel had earned the National Psoriasis Foundation (NPF) Seal of Recognition.

• On October 7, 2025, Sonoma announced that it had successfully registered its manufacturing facility and listed its Microcyn-based facial spray under the FDA's Modernization of Cosmetics Regulation Act of 2022 (MoCRA).

• On October 14, 2025, Sonoma announced the launch of a new HOCl wound cleanser manufactured by Sonoma for Medline Industries, LP, to be distributed into hospital systems, home healthcare and other healthcare channels across the United States.

Results for the Quarter Ended September 30, 2025

Total revenues for the quarter ended September 30, 2025 of $5.6 million increased by $2.0 million, or 57%, as compared to $3.6 million for the same period last year. Revenues in the United States increased 115% primarily as a result of an increase in sales of over-the-counter products and increasing sales by new and existing distributors. Revenues in Europe increased 43% compared to the same period last year as the result of increased demand for Sonoma's products. Revenues in Latin America increased 14% as a result of an increase in manufacturing orders. Revenues also increased in Asia and Rest of World when compared to the same period last year based on increasing demand. Revenues from these regions tend to fluctuate when viewed on a quarterly basis due to customers placing larger, but less frequent, orders to benefit from quantity discounts and reduced shipping costs when ordering larger quantities.

During the quarter ended September 30, 2025, Sonoma reported revenues of $5.6 million and cost of revenues of $3.5 million resulting in gross profit of $2.1 million, or 38% of revenue, compared to a gross profit of $1.4 million, or 38% of revenue in the same period last year. The increase is primarily the result of an increase in revenue as compared to last year.

Total operating expenses during the quarter ended September 30, 2025 were $2.5 million, an increase of $0.2 million.

Net loss for the three months ended September 30, 2025 of $0.5 million decreased by $0.1 million, or 12%, when compared to a net loss of $0.6 million for the three months ended September 30, 2024. EBITDA loss for the three months ended September 30, 2025 of $0.2 million decreased $0.4 million, compared to an EBITDA loss of $0.6 million for the same period last year.

Results for the Six Months Ended September 30, 2025

Total revenues for the six months ended September 30, 2025 of $9.6 million increased by $2.6 million, or 38%, as compared to $7.0 million for the same period last year. Revenues in the United States increased 86% primarily as a result of an increase in sales of over-the-counter products and increasing sales by new and existing distributors. Revenues in Europe increased 30% compared to the same period last year as the result of increased demand for Sonoma's products. Revenues in Latin America decreased 19% as a result of a decrease in manufacturing orders. Revenues increased in Asia and Rest of World when compared to the same period last year. Revenues from these regions tend to fluctuate when viewed on a quarterly basis due to customers placing larger, but less frequent, orders to benefit from quantity discounts and reduced shipping costs when ordering larger quantities.

During the six months ended September 30, 2025, Sonoma reported revenues of $9.6 million and cost of revenues of $6.0 million, resulting in gross profit of $3.6 million, or 37% of revenue, compared to a gross profit of $2.7 million, or 38% of revenue in the same period last year. The decrease is the result of changes in overall product mix and territories to which products were shipped.

Total operating expenses during the six months ended September 30, 2025 were $5.0 million and increased by $0.3 million over prior year.

Net loss for the six months ended September 30, 2025 of $1.8 million was flat when compared to a net loss of $1.8 million for the six months ended September 30, 2024. EBITDA loss for the six months ended September 30, 2025 of $0.8 million decreased $0.9 million, compared to an EBITDA loss of $1.7 million for the same period last year.

As of September 30, 2025, Sonoma had cash and cash equivalents of $3.0 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, eye, oral and nasal care, dermatological conditions, podiatry, animal health care and non-toxic disinfectants. Sonoma'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. Sonoma's products are sold either directly or via partners in 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 [email protected].

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 fluctuations in foreign currency exchange rates, global economic conditions, prospective tariffs or changes to trade policies, 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 Reliefacyn® are trademarks or registered trademarks of Sonoma Pharmaceuticals, Inc. All other trademarks and service marks are the property of their respective owners.

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SONOMA PHARMACEUTICALS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except share amounts)

SONOMA PHARMACEUTICALS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

(In thousands, except per share amounts)

(Unaudited)

SONOMA PHARMACEUTICALS, INC. AND SUBSIDIARIES

RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES

(In thousands)

(Unaudited)

1. Net loss adjusted for non-cash items and one-time events, or EBITDA loss, 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.

2. 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.

SONOMA PHARMACEUTICALS, INC. AND SUBSIDIARIES

PRODUCT RELATED REVENUE SCHEDULES

(In thousands)

(Unaudited)

The following table shows our consolidated total revenue and revenue by geographic region for the three and six months ended September 30, 2025 and 2024:

SOURCE: Sonoma Pharmaceuticals, Inc.