FTEKHIGH SIGNALFINANCIAL10-K

FTEK experienced a substantial revenue decline while managing to improve gross margins and reduce operating losses despite the challenging top-line environment.

The dramatic revenue contraction suggests significant market headwinds or project timing issues in FTEK's emissions control business, which investors should monitor closely for signs of recovery. However, the company's ability to improve gross margins during this downturn and strengthen its cash position indicates effective cost management and potential operational resilience.

Comparing 2026-03-03 vs 2025-03-04View on EDGAR →
FINANCIAL ANALYSIS

FTEK's revenue declined substantially from $56.5M to $30.5M, reflecting significant business challenges, while accounts receivable dropped correspondingly from $9.4M to $5.4M. Despite the revenue pressure, the company improved gross profit from $10.6M to $12.4M, indicating better project mix or cost control, and reduced operating losses from $4.7M to $3.7M. The balance sheet showed resilience with cash increasing notably from $8.5M to $11.9M, providing financial flexibility during this difficult period.

FINANCIAL STATEMENT CHANGES
Revenue
P&L
-46.1%
$56.5M$30.5M

Revenue declined 46.1% — significant demand weakness or market share loss warrants investigation.

Accounts Receivable
Balance Sheet
-42.8%
$9.4M$5.4M

Receivables declined — improved collection efficiency or conservative revenue recognition.

Cash & Equivalents
Balance Sheet
+40.3%
$8.5M$11.9M

Cash position surged 40.3% — strong cash generation or capital raise providing significant financial cushion.

R&D Expense
P&L
+28.8%
$1.6M$2.0M

R&D investment increased 28.8% — signals commitment to future product development, though near-term margin impact.

Operating Income
P&L
+21.7%
-$4.7M-$3.7M

Operating income improving — cost discipline or growing revenue base absorbing fixed costs.

Net Income
P&L
-19.6%
-$1.9M-$2.3M

Net income declined 19.6% — review whether driven by operations, interest costs, or non-recurring items.

Gross Profit
P&L
+16.6%
$10.6M$12.4M

Gross profit expanding — improving pricing power or product mix shift toward higher-margin offerings.

LANGUAGE CHANGES
NEW — 2026-03-03
PRIOR — 2025-03-04
ADDED
false --12-31 FY 2025 true true true false Day-to day management of cybersecurity threats is conducted by our Information Technology department which is charged with identifying and reporting threats to senior management.
true 108 106 0.01 0.01 40,000,000 40,000,000 32,281,179 31,767,329 31,074,438 30,708,273 3 36 613 1 2 2 2,116 0 0 0 8 20 2,850,000 3 3 2 2 0 0 2022 2023 2024 2017 2018 2019 2020 2021 2022 2023 2024 0 0 5.5 5.5 0 0 0 0 0.965 1.27 1.28 1.58 0 2 4 33.33 33.33 33.33 0 0 159 2 2 0 false false false false true true In all periods presented, there were no tax impacts related to functional currency translation adjustments.
As of February 28, 2026, there were 30,708,273 shares of common stock outstanding.
The Company s nitrogen oxide (NOx) reduction technologies include NOxOUT and Advanced Selective Non-Catalytic Reduction (SNCR) systems and ASCR Advanced Selective Catalytic Reduction systems.
SCR reagent supply systems include the ULTRA and U2A processes for safe ammonia generation and UDI Urea Direct Injection systems, along with aqueous and anhydrous ammonia storage and delivery systems.
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REMOVED
false --12-31 FY 2024 true true true false true true 106 111 0.01 0.01 40,000,000 40,000,000 31,767,329 31,361,303 30,708,273 30,385,297 3 36 613 1 2 2 2,116 0 0 0 6 18 2,850,000 2 2 1,677 0 0 0 0 5.5 5.5 0 0 0 0 0.96 1.27 1.28 2.01 2.02 2.44 2 4 33.33 33.33 33.33 0 0 0 159 2 0.3 2 0 false false false false In all periods presented, there were no tax impacts related to functional currency translation adjustments.
As of February 28, 2025, there were 30,708,273 shares of common stock outstanding.
The Company s nitrogen oxide (NOx) reduction technologies include NOxOUT , HERT High Energy Reagent Technology , and Advanced Selective Non-Catalytic Reduction (SNCR) systems, ASCR Advanced Selective Catalytic Reduction systems, and I-NOx Integrated NOx Reduction Systems, which utilize various combinations of these systems, along with the UDI Urea Direct Injection system for Selective Catalytic Reduction (SCR) reagent supply, and the ULTRA process for safe ammonia generation.
The EPA kept the 2020 NAAQS ozone standard at 70 parts per billion, the same limit as 2015.
The ozone NAAQs will be reviewed again in 2025, with industry analysts expecting no change in emissions requirements.
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