Flotek Industries, Inc. · NYSE:FTK
Flotek Industries — Q2 2025 Earnings Presentation
27 slides from Flotek Industries's earnings presentation, Aug 6, 2025
Slide 1: Second Quarter 2025 Earnings Presentation
Second Quarter 2025 Earnings Presentation August 6, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain statements set forth in this presentation constitute forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934) regarding Flotek Industries, Inc.’s business, financial conditio
Slide 3: Flotek Industries: Chemistry as the Common Value Creation Platform
Flotek Industries CHEMISTRY AS THE COMMON VALUE CREATION PLATFORM 11 Consecutive Quarters Value Creation through Data Analytics of Improved Adj. EBITDA* Chemistry & Data Technology with High ROI Long-term Contracts Growing High-Margin Outstanding HS&E Insulate Market Risk Data Analytics Backlog Reco
Slide 4: Continued Quarter Over Quarter Growth
Continued Quarter Over Quarter Growth 189% GROWTH IN HIGH MARGIN DATA ANALYTICS REVENUES 2Q24 Gross Profit 2Q25 Gross Profit 7% Chemistry Technologies 26% Sustainable chemistry solutions to maximize customer’s value chain while $9.2MM $14.4MM minimizing their environmental impact 93% 74% Data Analyt
Slide 5: Flotek 2Q25 Highlights
Flotek 2Q25 Highlights 6TH CONSECUTIVE QUARTER OF GROWTH IN REVENUE, GROSS PROFIT AND ADJ. EBITDA * In $MM 2Q25 2Q24 % Change Revenue $ 58.4 $ 46.2 26% Gross Profit $ 14.4 $ 9.2 57% Net Income $ 1.8 $ 2.0 (10%) Adj. Net Income** $ 6.0 $ 2.0 202% Adj. EBITDA* $ 9.5 $ 4.4 113% Diluted EPS $ 0.05 $ 0.0
Slide 6: Financial Momentum Driven By Strong Growth
Financial Momentum Driven By Strong Growth 11 CONSECUTIVE QUARTERS OF PROFITABILITY IMPROVEMENT Quarterly Adjusted EBITDA* Growth $10.0 $9.5 FY 2025 GUIDANCE $7.8 Mid-Point vs. $8.0 $7.0 Metric Guidance Range 2024 $6.0 Total Revenue: $200MM - $220MM +12% $4.8 $4.4 $4.0 $4.0 $3.4 Adj. EBITDA**: $34MM
Slide 7: Innovation & Strategy Drive Market Growth
Innovation & Strategy Drive Market Growth THE CONVERGENCE OF DATA AND CHEMISTRY SOLUTIONS FLARE MONITORING ADDRESSABLE MARKET GROWTH GRID POWER 2021: $2.6B 2025: ~$15B+ * WATER TREATMENT ACID TREATMENT/STABILIZATION TERMINAL & STORAGE TREATMENT MONITORING CEMENTING ADDITIVES TRANSMIX FRAC POWER MONI
Slide 8: Data Analytics: "Measure More Strategy"
Data Analytics: “Measure More Strategy” UTILIZING TECHNOLOGIES FOR EXPANSION INTO NEW MARKETS Growth Upstream Midstream Downstream • Power Services: facilitate field gas • Gas/Oil processing plant control and • Process Controls: to optimize distillation utilization in powering mobile turbines optimi
Slide 9: Data Analytics High Margin Revenue Growth
Data Analytics High Margin Revenue Growth SERVICE REVENUE* GREW 452% SINCE Q2 2024 Asset Acquisition $4.5 70% 63% $4.1 $4.0 60% $3.5 50% $3.0 44% 39% 38% $2.5 40% 30% $2.0 $1.7 $1.8 30% $1.6 $1.6 $1.5 $1.3 $1.0 $1.0 20% $0.9 $1.0 $0.7 10% $0.5 $- 0% 2Q24 3Q24 4Q24 1Q25 2Q25 Product Revenue Service R
Slide 10: Data Analytics: Recurring Revenue Backlog
Data Analytics: Recurring Revenue Backlog POWER SERVICES SIGNIFICANTLY IMPROVES ANNUAL REVENUE BACKLOG Data Analytics Recurring Contracted Backlog* $35 $30 $28.6 $28.4 $27.4 $27.4 • 2026 revenue backlog expected to exceed 2024 total segment revenues by 221% Contracted Recurring Revenue ($MM’s) $25 •
Slide 11: Data Analytics: Power Services Update
Data Analytics: Power Services Update PWRTEK’S PATENTED TECHNOLOGY ENABLES SCALABLE, GRID-FREE ENERGY • In April 2025 acquired 30 real-time gas monitoring and conditioning assets with 24 active at the end of June • Secured a 6-year agreement with an estimated $156MM* in recurring revenue backlog • 5
Slide 12: Data Analytics: Custody Transfer Update
Data Analytics: Custody Transfer Update LARGE E&P PILOT PROGRAM IS ACTIVELY CONVERTING TO DAAS REVENUE GENERATION • 9 custody transfer installations are now commercial, converted to recurring monthly revenue in 2Q 2025 • 6 additional pilot locations expected to convert to recurring monthly revenue i
Slide 13: Chemistry Technologies: Competitive Advantage
Chemistry Technologies: Competitive Advantage DELIVERING THE BEST WELL PERFORMANCE IN INDUSTRY • Prescriptive Chemistry Management (PCM)TM • Proprietary energy chemistry solutions • Experienced chemistry energy team • Customized solutions to each well’s geology • AI Driven Analytics from >20,000 wel
Slide 14: Chemistry Growth in a Contracting Market
Chemistry Growth in a Contracting Market CHEMISTRY TECHNOLOGIES SEGMENT CONTINUES TO GAIN MARKET SHARE Total Chemistry Revenue** Last 3 Qtr.'s Chemistry Revenue** $50 280 $45 $45 $45 255 260 External 253 49% $40 51% $40 Related Party* $40 $36 237 237 240 Avg. Frac fleet Count $35 Revenue ($MM) 38% g
Slide 15: Flotek Industries 2Q25 Summary
Flotek Industries 2Q25 Summary CHEMISTRY AS THE COMMON VALUE CREATION PLATFORM ✓ Data Analytics grew YoY Revenue 189% and Gross Margin 110% ✓ Custody Transfer Pilot has begun converting to revenue ✓ Power services revenue carried ~90% Gross Margin ✓ External Chemistry Technologies grew YOY Revenue 3
Slide 16: Upcoming 2025 Events
Upcoming 2025 Events SIGN UP NOW & COME JOIN US Enercom: The Energy Investment Conference Permian Power Connection Conference August 17-20th 2025 September 29-30th 2025 The Westin Horseshoe Arena Denver, CO Midland, TX The Gateway Conference NYSE Technology Summit September 3-4th 2025 October 14th,
Slide 17: Appendix
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Slide 18: Data Analytics: Power Services
Data Analytics: Power Services PWRTEK’S PATENTED TECHNOLOGY ENABLES SCALABLE, GRID-FREE ENERGY • Optimizes flare gas as a cost-effective alternative to diesel or CNG • Delivers accurate, real-time BTU monitoring for precise TM royalty reporting and payment • Enhances safety and operational control t
Slide 19: Data Analytics: Custody Transfer Solution
Data Analytics: Custody Transfer Solution INITIAL PENETRATION INTO SIGNIFICANT UPSTREAM APPLICATIONS Houston San Antonio Example: 60 days of real-time BTU Values; demonstrates extreme variability. GC Spot Sample Lab Test We tested against Traditional Gas Chromatography (GC) • Zero GC Samples matched
Slide 20: Liquids In "Dry Associated Gas"
Liquids In “Dry Associated Gas” $1.4MM* IN POTENTIAL ASSOCIATED GAS PROCEEDS Typical Spectral Response for Associated Gas During Trial High-Value Liquids Found in “Dry Gas” Water Liquids In “Dry Associated Gas” Line • Associated gas is “assumed” to be dry gas • GCs remove any liquids prior to measur
Slide 21: Data Analytics: VeraCal Flare Solution
Data Analytics: VeraCal TM Flare Solution INITIAL PENETRATION INTO SIGNIFICANT UPSTREAM APPLICATIONS EPA Approval on Flaring Measurement Application • VeraCalTM was the first EPA approved alt. measurement solution • EPA Amendment in December 2024 delayed market demand Our Flare Measurement System is
Slide 22: Unlocking Value Through Chemistry & Data
Unlocking Value Through Chemistry & Data DATA SUPPORTED GEOCENTRIC CHEMISTRY MODELING Data Analytics/Physics Based Modeling on >20k Wells • +10 years Field Completion Data • Reservoir Similarities and Physicochemical Properties • Production Uplift Curve Analysis • Basin Water and Frac Water Properti
Slide 23: Recent Financials: Statement of Operations
Recent Financials Unaudited Condensed Consolidated Statement of Operations (in thousands) // 23
Slide 24: Recent Financials: Balance Sheets
Recent Financials Unaudited Condensed Consolidated Balance Sheets (in thousands, except share data) // 24
Slide 25: Recent Financials: Statements of Cash Flows
Recent Financials Unaudited Condensed Consolidated Statements of Cash Flows (in thousands) // 25
Slide 26: Reconciliation of Net Income to Adjusted Net Income
Recent Financials Unaudited Reconciliation of Net Income to Adjusted Net Income (in thousands) (1) Management believes that adjusted net income for the three and six months ended June 30, 2025 and 2024 is useful to investors to assess and understand operating performance, especially when comparing t
Slide 27: Reconciliation of Non-GAAP Items & Non-Cash Items Impacting Earnings
Recent Financials Unaudited Reconciliation of Non-GAAP Items & Non-Cash Items Impacting Earnings (in thousands) (1) (1) Management believes that EBITDA and adjusted EBITDA for the three and six months ended June 30, 2025 and 2024, and for the twelve months ended December 31, 2024 are useful to inves