Fuel Tech Q2 Revenue Misses, Loss Widens as Costs Climb and Cash Burn Accelerates
FTEK sits 24% above its 52-week low of $1.17.
Summary
Fuel Tech reported Q2 revenue of $6.49M, missing estimates, while net loss widened to $1.2M. Gross margins fell and cash burn accelerated, though APC backlog doubled to $14.3M.
Key Events · Earnings and Guidance · FTEK
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Q2 Revenue Miss
Revenue of $6.49M grew 17% year-over-year but missed the lone analyst estimate, with FUEL CHEM up 21% and APC up 11%.
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Loss Widens Significantly
Net loss nearly doubled to $1.2M from $0.69M in Q2 2025, driven by gross margin compression to 41% from 46% and a 7% increase in SG&A.
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Cash Burn Accelerates
Cash and equivalents fell to $7.6M from $11.9M at year-end 2025. Operating cash flow swung to a $1.74M outflow in H1 2026 from a $1.49M inflow a year earlier.
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APC Backlog Doubles
Air Pollution Control backlog surged to $14.3M from $7.0M at year-end 2025, providing improved revenue visibility but not yet translating to profitability.
Analysis · FTEK · Technology
Fuel Tech's Q2 revenue grew 17% to $6.49M but fell short of the lone analyst estimate. The net loss nearly doubled to $1.2M as gross margins compressed to 41% from 46% a year ago, driven by unfavorable project mix and higher freight and maintenance costs. SG&A rose 7% on increased professional fees and employee expenses. Cash and equivalents dropped to $7.6M from $11.9M at year-end, and operating cash flow swung to a $1.74M outflow in the first half of 2026. While the Air Pollution Control backlog more than doubled to $14.3M, the near-term earnings miss and accelerating cash consumption raise concerns about the pace of recovery.
At the time of this filing, FTEK was trading at $1.45 on NASDAQ in the Technology sector, with a market capitalization of approximately $47.7M. The 52-week trading range was $1.17 to $3.65. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.