Nightmare Thomas is one of the monsters from Neverending Nightmares. Like the other enemies in the game, contact with this creature will result in instant death.
Nightmare Thomas appears to be an exact copy of Thomas Smith, except he has multiple bleeding gashes around his body. He has no eyes and his mouth has been slit into a permanent smile. He is also crying blood. The axe that he carries is soaked in blood. Contact with this enemy will result in him swinging the axe into Thomas Smith's shoulder multiple times as blood sprays.
It is unknown what the significance of Nightmare Thomas or why he is seen bloody and gashed with an axe.