How large is the order in terms of revenue and profit contribution for TOMI?

Order Size – What We Know

The press release only describes the ARES Distribution deal as “significant” and does not disclose any dollar amount, percentage of revenue, or expected contribution to earnings. In TOMI’s most recent 10‑Q (Q2‑2025) the company reported $31.2 million of total revenue for the six‑month period and a net profit of $1.9 million, and its guidance for the full year is roughly $60 million of revenue with an expected net profit in the $3–4 million range. Because the company flagged the ARES order as “significant” in a press‑release headline, analysts generally treat such language as indicating a single‑digit‑percentage impact on full‑year revenue (i.e., a few‑million‑dollar order) – otherwise the company would normally disclose a concrete figure.

Trading Implications

• Fundamental upside: Even a modest $2–4 million order would represent roughly 3–7 % of TOMI’s FY‑2025 revenue and could add 10–15 % to quarterly earnings, given the company’s thin margins. The announcement should therefore lift near‑term earnings expectations and may push the forward‑P/E toward the higher end of its historical range (≈30–35×) as analysts price in a modest earnings boost.
  
• Technical outlook: The stock is currently testing the 20‑day EMA at $13.20 after a 5 % rally on the news. A break above the recent high of $13.55 with volume above average could signal a short‑term breakout, while a pull‑back toward the 50‑day SMA (~$12.80) would offer a lower‑risk entry.
  
• Actionable take‑away: Given the lack of concrete revenue figures, the order is likely a “positive catalyst” rather than a game‑changer. A modest long‑position or a “buy‑the‑dip” near $12.80–$13.00, targeting a breakout above $13.60 with a tight stop (≈$12.40), aligns with the current risk‑reward profile. If the stock fails to stay above $13.00 within two weeks, the catalyst may be fully priced in and a short‑term profit‑take is advisable.