Fuel Tech Reports 17% Revenue Gain for Q2 2026

Fuel Tech Inc. (NASDAQ: FTEK) posted a 17% revenue growth for the second quarter of 2026, reaching $6.5 million compared to $5.6 million in the prior year's period. This top-line increase was primarily fueled by robust performance in both the FUEL CHEM and Air Pollution Control (APC) business segments. The company also noted a significant increase in its APC segment backlog, more than doubling from its 2025 year-end figure.

### Money Play If Fuel Tech's backlog continues to grow, watch for sustained revenue expansion in its APC segment. Investors should monitor the upcoming leadership transition's impact on strategic execution.

## Catalyst Analysis: Q2 Revenue Growth and Segment Performance Consolidated revenues for Q2 2026 rose 17% to $6.5 million from $5.6 million, reflecting increases in both APC and FUEL CHEM segment revenues. The APC segment saw an 11% revenue increase to $2.8 million, supported by project execution and new awards, though segment gross margin declined to 36% from 44%. The FUEL CHEM segment's revenue grew 21% to $3.7 million, aided by increased dispatch at legacy accounts, but segment gross margin fell to 45% from 47% due to demonstration and freight costs.

## $FTEK+WL Technical Analysis & Key Risk Watch Consolidated gross margin for Q2 2026 declined to 41% of revenues from 46%, driven by decreases in both APC and FUEL CHEM segments. Operating expenses were $3.6 million, or 55.4% of revenues, compared to $3.3 million, or 60.2% of revenues, in the prior year. Key levels for $FTEK+WL (educational): R2 $109.99 · R1 $89.71 · last $83.45 · S1 $82.34 · S2 $79.28.

### Sector Ripple / Impact on Emissions Control The company highlighted an upcoming leadership change, with Ramesh Nuggihalli set to succeed the current President and CEO, Vincent J. Arnone, effective August 10, 2026. Fuel Tech maintained approximately $30 million in cash, cash equivalents, and investments with no long-term debt as of June 30, 2026.