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Here are 1-2 brief analogies to describe Nephros (NEPH):

• Like Ecolab, but specializing in preventing waterborne infections in healthcare settings.
• Like Pentair, but focused on medical-grade water filtration for hospitals and dialysis clinics.

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• Medical Device Water Filters: High-performance hollow fiber ultrafilters used in healthcare and dialysis settings to remove bacteria, viruses, and other pathogens from water.
• Commercial Water Filters: Filtration systems for various commercial and industrial applications, including food service, hospitality, and laboratory settings, to ensure clean and safe water.
• Water Management Services: Consulting, testing, and mitigation services focused on controlling waterborne pathogens like Legionella in commercial and healthcare facilities.

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Nephros (NEPH) primarily sells its products to other companies and organizations within the healthcare sector. The company's public filings, such as its 10-K reports, do not explicitly name its major customers due to competitive reasons or typical business practices. However, they describe the categories of organizations that purchase their products.

The major customer categories for Nephros are:

• Dialysis clinics: These facilities utilize Nephros's water purification products to provide ultrapure water for hemodialysis treatments.
• Hospitals and other healthcare facilities: These institutions use Nephros's filters for various applications, including infection control, sterile processing, and other medical water filtration needs.
• Original Equipment Manufacturers (OEMs): Nephros supplies its filters to other companies that integrate these components into their own medical devices and products.

As specific customer names are not publicly disclosed by Nephros, it is not possible to list individual company names or their stock symbols.

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Robert Banks, President & Chief Executive Officer

Responsible for leading the organization, developing and executing strategy, inspiring employees, building customer relationships, and managing resources effectively. He has a proven track record of delivering value through innovation and aligning organizational strengths with customer needs to drive profitable growth. Most recently, he was the Executive Director of Product Management at ITT Gould's Pumps and previously the VP of Global Strategic Accounts at Danfoss Power Solutions.

Judy Krandel, Chief Financial Officer

Responsible for driving effective financial strategies, maintaining Nephros' fiscal health, and adding value for investors and stakeholders. She has over 20 years of experience in asset management, investment, operations, reporting, and oversight, along with formal accounting expertise. Ms. Krandel previously served as Chief Financial Officer for Recruiter.com and Paltalk Inc.. She was also a Managing Director at Dutchess Capital Management LLC, a private equity firm, and held portfolio manager positions at Juniper Investment Co., Alpine Woods, and First New York Securities.

Brianne McGuire, Director, Business Development

Responsible for leading the sales team and driving strategic growth, defining and executing sales strategies, developing product and value messaging, training partners and customers on infection control solutions, identifying new market opportunities, and managing product development at Nephros. She brings over 20 years of experience serving healthcare, nonprofit, and pharmaceutical sectors with a focus on public health, safety, and advocacy.

Lisa Morris, Senior Manager, Logistics and Supply Chain

Leads all aspects of production planning, inventory and supply chain management, procurement, and shipping and receiving at Nephros. She plays a key role in ensuring efficiency and reliability across the company's logistical and supply chain functions. Before joining Nephros, Lisa served as Vice President of Operations at a luxury leather accessories brand, where she led end-to-end supply chain initiatives including strategic planning, production, fulfillment, and procurement.

Vashone Thomas, VP, Quality, Regulatory, & Human Resources

Leads Quality Assurance, Regulatory Affairs, and Human Resources functions at Nephros. She is responsible for leading and strategically directing the organization in matters surrounding Quality and Regulatory, and is accountable for the design, development, execution, and administration of the Quality Management System (QMS). She has over 10 years of experience in the medical device, laboratory, and scientific product industries. Prior to Nephros, Ms. Thomas successfully implemented and maintained ISO13485, QMS, 510(k), and product submissions for Integrated Dental Systems, and ISO9001 and ISO17025 compliance at Applied DNA Sciences.

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The key risks to Nephros (NEPH) business include:

1. Intense Competition

   Nephros operates in a highly competitive market, facing significant challenges from both established global leaders in filtration and water purification, such as Pall Corporation, 3M, Pentair, and Fresenius, as well as emerging companies. The company's entry into the specialized PFAS removal niche, a high-growth market, also exposes it to competition from larger, better-funded water treatment companies like Veolia, Xylem, AECOM, and Evoqua Water Technologies, which could quickly enter and dominate this segment. Despite differentiating itself through high-performance solutions and a strong presence in healthcare, the sheer scale and resources of these competitors pose a continuous threat to market share and growth.

2. Limited Resources due to Small Market Capitalization

   As a company with a relatively small market capitalization, Nephros faces constraints in its resources for aggressive research and development (R&D) and marketing efforts. This limitation can hinder its ability to innovate rapidly, expand its product offerings, and effectively promote its solutions against much larger and better-funded competitors. The ability to secure funding on favorable terms or have sufficient capital to fully implement its business plan remains a risk.

3. Market Acceptance and Regulatory Risks

   Nephros faces risks related to achieving broader market acceptance for its specialized products, which could adversely affect sales and revenues. While the company focuses on water safety education, this also highlights potential gaps in industry awareness or understanding that need to be addressed for their solutions to gain wider adoption. Additionally, changes in business and competitive conditions, as well as evolving regulatory reforms, could materially affect the company's actual results. The specialized nature of their products, particularly in medical and healthcare sectors, means they are subject to various water management regulations and guidelines, and any shifts in these could impact their operations and product demand.

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Nephros (NEPH) operates in several addressable markets for its main products and services:

• Infection Control Filtration: The global market for medical filtration technologies is expected to grow at a Compound Annual Growth Rate (CAGR) of 7.2% from 2021 to 2028. The broader global medical device market was valued at $543.8 billion as of 2024.
• Dialysis Water Filtration and Hemodiafiltration (HDF) Systems: The global nephrology devices market size is projected to grow from USD 15.37 billion in 2024 to USD 22.84 billion by 2034, at a CAGR of 4.04%. In 2024, North America accounted for nearly 39% of the revenue share in the nephrology devices market.
• Commercial Filtration: The global water filtration technology market reached $26.3 billion as of 2024. The global water purification market is projected to reach $90.5 billion by 2028, with a CAGR of 6.8% from 2021 to 2028.
• PFAS Filtration Solution: null
• Pathogen Detection Systems: null

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Nephros (NEPH) is poised for future revenue growth over the next 2-3 years, driven by several strategic initiatives and market expansions:

1. Expansion of Active Customer Base and Programmatic Sales: Nephros continues to experience strong growth in its core programmatic business, characterized by robust reorders and an increasing number of active customer sites within its existing infection control and dialysis water markets. The company has successfully grown its active customer sites to over 1,650 as of September 30, 2025, indicating strong customer retention and widening market reach.
2. Launch and Market Penetration of New Products, particularly PFAS Filtration Solutions: A significant driver for future revenue is the recent launch of a new PFAS (per- and polyfluoroalkyl substances) removal solution in early October 2025. This strategic innovation is expected to open new markets, such as municipalities and laboratories, beyond traditional healthcare settings, thereby driving substantial future growth.
3. Expansion into New Verticals and Geographies: Nephros is actively pursuing expansion into new, underserved verticals and broadening its overall market reach. This includes targeting municipalities and dialysis centers with its innovative filtration solutions. The company aims to expand its market presence through both direct sales and distribution channels.
4. Growth in Service Revenue and Enhanced Customer Programs: The company is investing in ramping up its service capabilities to facilitate filter installations and complement product sales. Additionally, initiatives like digital support for filter installation, educational webinars, and on-site training are designed to improve customer compliance with filter change-out schedules and drive consistent reorder volume, contributing to sustained service revenue growth.

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Share Issuance

• Nephros had 10,626,683 shares of common stock issued and outstanding as of September 30, 2025, compared to 10,544,691 shares at December 31, 2024.
• During the nine months ended September 30, 2025, approximately $72,000 was reclassified to additional paid-in capital due to the issuance of 55,569 shares of restricted stock, all of which vested upon issuance.

Inbound Investments

• In February 2022, Specialty Renal Products (SRP), a Nephros subsidiary, issued and sold an additional 100,003 shares of its Series A Preferred Stock at $5.00 per share, generating gross proceeds of $500,015.

Capital Expenditures

• Nephros reported capital expenditures of $0.04 million in 2024, $0.14 million in 2023, $0.08 million in 2022, and $0.06 million in 2021.
• The company's strategic focus includes enhanced engineering, research, and development, along with superior quality control, for its medical-grade water filtration technology.