Flotek Industries (FTK) investor relations material

Executive summary

• Q3 revenue was $114.352M, up 104% YoY and the highest quarterly level in 12 years; both operating segments grew 104%.

• Revenue, net income and Adjusted EBITDA increased sequentially in each quarter of 2026 to date; FY 2026 guidance was raised for the third time.

• Growth reflected Data Analytics activity, international Chemistry sales, and expanding power-services and refinery-monitoring opportunities.

Financial highlights

• Q3 gross profit was $27.4M, up 54%, and operating income was $18.0M versus $9.1M; Adjusted EBITDA rose 87% to $19.523M.

• Q3 net income was $13.306M versus $20.355M; diluted EPS was $0.34 versus $0.53. Q3 2025 included a $12.6M non-cash tax benefit.

• Nine-month revenue increased 67% to $283.770M; net income was $27.923M versus $27.503M, and Adjusted EBITDA rose 84% to $45.404M.

• Q3 gross margin was 24.0% versus 31.7%; the prior-year period included minimum-purchase revenue without associated cost, pressuring the comparison.

• Nine-month diluted EPS was $0.72 versus $0.78; nine-month tax expense was $8.2M versus a $12.5M tax benefit in 2025.

Outlook and guidance

• FY 2026 revenue guidance increased to $382M–$390M from $360M–$370M; the new midpoint is 63% above FY 2025.

• FY 2026 Adjusted EBITDA guidance rose to $59M–$62M from $50M–$54M; the new midpoint is 83% above FY 2025.

• Q4 international Chemistry revenue is expected to remain generally consistent with Q3; Chemistry demand is expected to remain stable based on customer commitments.

• Data Analytics revenue for the rest of 2026 is expected to exceed prior-year results; full-year Lease Agreement revenue is projected at ~$27.0M.

• 2027 capital spending is projected at $15M–$20M to expand measurement instruments, gas conditioning and distribution equipment, and manufacturing capacity.