Pollution control activity helps boost Fuel Tech 1Q revenues

WARRENVILLE - Stronger U.S. activity within its air pollution control technology segment boosted Fuel Tech Inc.'s first quarter 2016 revenues, the company reported.

Consolidated revenues for the quarter were $17.8 million, compared to $15.1 million in the first quarter of 2015. The stronger demand in the APC technology segment, partially offset lower revenues at its Fuel Chem segment.

The company reported an operating loss of $2.6 million in the first quarter, compared to an operating loss of $2.4 million during the same period last year. Net loss was $2.6 million, or 11 cents per diluted share, compared to net loss of $1.7 million, or 7 cents per diluted share, in the same period last year.

"Despite a still challenging environment, our APC business continues to show signs of strengthening," said Vincent J. Arnone, Fuel Tech president and CEO. "Based on $12 million of bookings year-to-date and our current sales pipeline, we continue to believe that APC revenues in 2016 will be higher than 2015.

"We are actively pursuing projects in the U.S., China, and Europe, as well as investigating market opportunities in new geographies, such as India, that could develop over time," Arnone added.

Arnone said lower natural gas prices, weak energy demand and a relatively mild winter combined to negatively impact Fuel Chem, and the company expects that to continue throughout 2016.

"We will manage our costs appropriately and expect margins to remain consistent with historical levels," he said.