Fuel Tech Inc. Faces Revenue Decline in Q2 2025

Fuel Tech, Inc., a company specializing in commercial services and supplies within the Industrials sector, has reported a significant decline in its Q2 2025 revenue. The Warrenville-based company, known for its air pollution control technologies, particularly the NOxOUT process, saw its GAAP revenue fall to $5.6 million, marking a 21% decrease from the previous quarter. This shortfall was primarily attributed to lower sales in the Air Pollution Control (APC) segment.

Despite the revenue drop, Fuel Tech managed to expand its gross margin to 45.5% from 41.9% in the previous year. The company’s financial position remains robust, with $31 million in cash and investments and no long-term debt. The APC segment backlog stands at $7.8 million, indicating potential future revenue streams.

In its Q2 2025 earnings call, Fuel Tech reported an earnings per share (EPS) of $(0.02), matching estimates, despite a net loss of $(689,000), which is an increase from the net loss of $(421,000) in Q2 2024. The company remains optimistic about its future prospects, expecting to secure $2.5-3.0 million in new APC contracts by the end of August. Additionally, Fuel Tech anticipates its highest FUEL CHEM segment revenue since 2022.

Fuel Tech is actively pursuing new opportunities in traditional markets and AI-related data centers, with multiple SCR technology bids outstanding. The company’s strategic focus on expanding its market presence and leveraging its technological advancements positions it for potential growth in the coming quarters.

As of August 6, 2025, Fuel Tech’s stock closed at $3.05 on the Nasdaq, with a 52-week high of $3.38 and a low of $0.87. The company’s market capitalization stands at $81,560,000, and it has a price-to-earnings ratio of -32.553, reflecting its current financial challenges. For more detailed information, stakeholders can visit Fuel Tech’s website at www.ftek.com .