Flotek Industries (FTK) EnerCom Denver – The Energy Investment Conference summary

Strategic transformation and business model evolution

• Implemented a turnaround strategy in mid-2021, shifting focus to real-time data analytics and innovative chemistry technologies.

• Expanded from a $2 billion to nearly $20 billion addressable market, with 90% of new opportunities outside commodity pricing.

• Recurring revenue backlog grew from zero in 2021 to over $500 million, driven by Data as a Service contracts.

• 51% of gross profit now comes from real-time data analytics, emphasizing recurring, high-margin contracts.

• Share price increased 620% since 2023, reflecting successful execution and market expansion.

Financial performance and growth metrics

• Q2 2026 revenue approached $100 million, a 70% year-on-year increase; gross profit up 65%.

• Adjusted EBITDA and net income grew 109% and 463% year-on-year, respectively.

• Updated guidance projects 45% and 49% improvements in adjusted EBITDA and revenue over 2025 actuals.

• International revenue, especially in the Middle East and Argentina, rose 172% year-on-year, with contracts up to five years.

• Domestic chemistry revenue increased 43% year-on-year despite a declining frac fleet market.

Technology innovation and operational impact

• Real-time data analytics division commercialized in late 2025, now driving rapid growth and recurring revenue.

• Data analytics equipment delivers measurements every five seconds, outperforming traditional gas chromatography.

• PwrTek technology expanded monitoring from 40 MW to 5 GW in one year, now covers over 60% of North American nat gas fleets.

• XSPCT Analyzer enables real-time custody transfer and reservoir fingerprinting, improving well valuation and output.

• Asset-light model with rapid payback periods, supporting scalability and high returns.