Fuel Tech Q4 Revenue Jumps 37% to $7.2M as Gross Margin Hits 44.6%
Fuel Tech’s Q4 2025 revenue rose 37% year-over-year to $7.2M with gross margin at 44.6%, while FY 2025 revenue reached $26.7M and margin expanded to 46.4%. FUEL CHEM segment grew 27.9% and may add $2.5M–3M in annual sales from a new demonstration, supported by $32M cash and zero debt.
1. Financial Highlights Q4 and Full Year
Fuel Tech reported Q4 2025 revenue of $7.2 million, up 37% year-over-year, with gross margin at 44.6% and a net loss of $1.2 million ($0.04 per share). For the full year, revenue reached $26.7 million, gross margin expanded to 46.4%, and net loss totaled $2.3 million ($0.08 per share).
2. FUEL CHEM Segment Performance
The FUEL CHEM segment generated $4.9 million in Q4 revenue, a 37.4% increase, and drove full-year segment revenue up 27.9% to its highest annual level since 2018. A new six-month commercial demonstration could contribute $2.5–3.0 million in annual recurring revenue if fully deployed at historic gross margins.
3. APC Segment Awards and Backlog
APC segment revenue rose 36.7% to $2.4 million in Q4 due to project timing, despite a full-year decline. The business secured $8.8 million in new awards in 2025, lifting backlog to $7.0 million and fueling a $75–100 million pipeline for SCR solutions targeting data center power generation.
4. Financial Position and Technology Pipeline
At year-end, Fuel Tech held $31.8 million in cash and investments with zero long-term debt. DGI technology trials are ongoing, including a fish hatchery demo concluding in Q2 2026 and a wastewater trial now in a six-month rental contract through Q3 2026.