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Fuel Tech Reports 2020 First Quarter Financial Results
WARRENVILLE, Ill.--(BUSINESS WIRE)-- Fuel Tech, Inc. (NASDAQ: FTEK), a technology company providing advanced engineering solutions for the optimization of
About this update from Fuel Tech, Inc.
[{"type":"text","content":" WARRENVILLE, Ill.--(BUSINESS WIRE)--\nFuel Tech, Inc. (NASDAQ: FTEK), a technology company providing advanced engineering solutions for the optimization of combustion systems, emissions control and water treatment in utility and industrial applications, today reported financial results for the first quarter ended March 31, 2020 (“Q1 2020”).\n\n\n“Q1 2020 results primarily reflected continued delays in closing new Air Pollution Control (“APC”) business awards, along with lower revenues at FUEL CHEM®,” said Vincent J. Arnone, Chairman, President and CEO of Fuel Tech. “We are cautiously optimistic about new APC awards this year and are in various stages of negotiations for contracts with an aggregate total value of $10 to $15 million that we are targeting to close by the end of the current second quarter.\n\n\n“We recently announced two FUEL CHEM® demonstration orders using the Company’s proprietary TIFI Bio™ (Targeted In-Furnace Injection) technology for new domestic industrial power customers utilizing biomass as the source of fuel. Successful demonstrations at both plants would lead to on-going commercial programs commencing in the third quarter of 2020, with such commercial programs generating estimated annual revenue of $500,000 to $750,000 per site when the units at the site are operational and utilizing the technology on a continual basis throughout the year.”\n\n\nMr. Arnone continued, “The suspension of our underperforming China operation (“Beijing Fuel Tech”) is substantially complete. In addition to the removal of $2.0 million of annual China operating losses, we have collected and repatriated a total of $0.8 million in cash as of March 31, 2020 and we expect to repatriate more funds later in 2020. We ended the quarter with $11.1 million in cash and cash equivalents and no debt, which we view as a significant advantage as we weather these APC award delays.\n\n\n“As previously announced, all Company Officers voluntarily reduced their base salary by 10% effective March 1, 2020, and each non-employee member of the Board of Directors reduced his or her base Director Fee by 10% effective March 1, 2020 to help preserve our cash during this challenging period.”\n\n\nDGI™ Dissolved Gas Infusion\n\n\nThe Company expected to commence an on-site demonstration of its water technology at a pulp and paper facility in the Midwest earl...