{"id":871337,"date":"2025-08-05T18:41:28","date_gmt":"2025-08-05T22:41:28","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/fuel-tech-reports-2025-second-quarter-financial-results\/"},"modified":"2025-08-05T18:41:28","modified_gmt":"2025-08-05T22:41:28","slug":"fuel-tech-reports-2025-second-quarter-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/fuel-tech-reports-2025-second-quarter-financial-results\/","title":{"rendered":"Fuel Tech Reports 2025 Second Quarter Financial Results"},"content":{"rendered":"
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WARRENVILLE, Ill., Aug. 05, 2025 (GLOBE NEWSWIRE) — Fuel Tech, Inc. (NASDAQ: FTEK)<\/strong>, a technology company using advanced engineering processes to provide emissions control systems and water treatment technologies in utility and industrial applications, today reported financial results for the second quarter ended June 30, 2025.<\/p>\n

\u201cOur second quarter results, along with ongoing developments across our two business segments and our Dissolved Gas Infusion business, strengthen our confidence in delivering improved overall performance in the second half of the year,\u201d said Vincent J. Arnone, President and CEO. \u201cWe are actively pursuing new contract opportunities across our APC and FUEL CHEM\u00ae<\/sup> business segments. For the APC segment, in particular, we are addressing both traditional end markets and the significant prospects offered by the rising demand for data centers. We have multiple bids outstanding for our SCR technology to address the emissions control requirements of AI-related data centers to be built in the U.S. over the next several years. We remain closely engaged with these potential partners and are excited about the opportunities that lie ahead.\u201d\u00a0\u00a0<\/p>\n

He concluded, \u201cWe are supported in our efforts by a strong financial position. At June 30, 2025, our balance sheet included nearly $31 million in cash, cash equivalents and investments and no long-term debt.\u201d<\/p>\n

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\n Business Segment Performance Overview<\/u>
\n <\/strong>\n <\/p>\n

Performance within our FUEL CHEM\u00ae<\/sup> segment was steady compared to last year\u2019s second quarter reflecting seasonal weather transition from spring to summer. Based on FUEL CHEM\u2019s strong performance in the early part of the third quarter, the Company anticipates robust segment results for the full third quarter of 2025 and full-year segment revenue to reach its highest level since 2022. The Company is continuing to pursue the expansion of its client base and expects that a demonstration of its TIFI\u00ae<\/sup> Targeted In-Furnace Injection\u2122<\/sup> technology will commence in the fourth quarter of this year at a coal-fired unit in the Midwest.<\/p>\n

Segment revenue within Air Pollution Control (\u201cAPC\u201d) declined due primarily to timing\u00a0of\u00a0project execution on existing contracts. Before the end of the month of August, we are confident that we will be awarded between $2.5 and $3.0 million in additional contracts from new and existing U.S. and international customers. These new awards would increase our effective APC backlog.<\/p>\n

In July, the Company commenced an extended demonstration of its Dissolved Gas Infusion (DGI\u00ae<\/sup>) technology at a fish hatchery in the Western U.S. The demonstration is expected to last until the second quarter of 2026 and is designed to evaluate the benefits of delivering consistent and precise levels of dissolved oxygen on the raising of gamefish in a controlled environment.<\/p>\n

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\n Second Quarter 2025 (\u201cQ2 2025\u201d) Consolidated Results Overview<\/u>
\n <\/strong>
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\n All comparisons are to the second quarter ended June 30, 2024 unless otherwise stated<\/em>
\n <\/strong>
\n .<\/strong>\n <\/p>\n

Consolidated revenues for Q2 2025 declined to $5.6 million from $7.0 million, primarily driven by lower APC revenues associated with timing\u00a0of\u00a0project execution on existing contracts.<\/p>\n

Consolidated gross margin for Q2 2025 expanded to 45.5% of revenues from 41.9% of revenues, reflecting an increase in both APC and FUEL CHEM segment gross margins.<\/p>\n

SG&A expenses rose slightly to $3.3 million from $3.2 million. As a percentage of revenues, SG&A expenses rose to 60.2% in Q2 2025 from 46.1%, reflecting lower revenues in Q2 2025.<\/p>\n

Interest income rose to $0.5 million from $0.3 million, related primarily to the inclusion of $0.3 million related to the one-time collection of the Employee Retention Credit (\u201cERC\u201d) benefit under the CARES Act.<\/p>\n

Net loss in Q2 2025 was $(689,000), or $(0.02) per share, compared to net loss of $(421,000), or $(0.02) per share.<\/p>\n

Consolidated APC segment backlog at June 30, 2025 was $7.8 million compared to $10.3 million at March 31, 2025 and $6.2 million at December 31, 2024.<\/p>\n

APC segment revenue decreased to $2.5 million from $3.9 million, primarily related to timing\u00a0of\u00a0project execution on existing contracts. Segment gross margin expanded to 43.9% from 39.1%, primarily\u00a0due\u00a0to\u00a0product and project mix.<\/p>\n

FUEL CHEM segment revenue was flat at $3.1 million. Segment gross margin expanded to 46.8% from 45.5%, reflecting an increased volume of sales activity\u00a0combined with relatively flat segment administrative expenses.<\/p>\n

Adjusted EBITDA loss was $(0.9) million in Q2 2025 compared to an Adjusted EBITDA loss of $(0.5) million.<\/p>\n

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\n Financial Condition <\/u>
\n <\/strong>\n <\/p>\n

At June 30, 2025, cash and cash equivalents were $10.6 million, short-term investments were $12.4 million, and long-term investments totaled $7.9 million. Stockholders\u2019 equity at June 30, 2025 was $40.6 million, or $1.32 per share, and the Company had no debt.<\/p>\n

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\n Conference Call<\/u>
\n <\/strong>\n <\/p>\n

Management will host a conference call on Wednesday, August 6, 2025 at 10:00 am ET \/ 9:00 am CT to discuss the results and business activities. Interested parties may participate in the call by dialing:<\/p>\n