Massive beat-and-raise quarter compounded by $400M PREPA contract confirms a transformative inflection. Key catalysts to track: (1) PREPA deployment schedule (initial Q4 2026, full Q1 2027), (2) Data Analytics contracted backlog growth (now >$200M remaining years), (3) Montana Phase 2 extension and further power services deals. Expect upward estimate revisions and multiple expansion. Cash flow conversion and AR growth warrant monitoring but are understandable given rapid revenue ramp.
Price Chart
Executive Summary
Flotek Q2 2026 results crushed expectations with $99.4M revenue (+70% YoY), $0.26 diluted EPS (+420% YoY), and record Data Analytics revenue of $19.2M. The company raised full-year 2026 guidance: revenue to $340-350M (from $270-290M) and Adjusted EBITDA to $47-51M (from $36-41M), and announced a 10-year, ~$400M power services contract with PREPA in Puerto Rico the day prior. Data Analytics now represents 51% of gross profit, surpassing Chemistry for the first time, confirming the pivot to a higher-margin recurring revenue model.
Key Financial Metrics
Key Facts
- Q2 2026 revenue $99.4M, +70% YoY vs $58.4M
- Diluted EPS $0.26, +420% YoY vs $0.05
- Data Analytics record quarterly revenue $19.2M, +223% YoY
- Data Analytics comprises 51% of total gross profit, surpassing Chemistry for first time
- 2026 guidance raised: revenue to $340-350M, Adjusted EBITDA to $47-51M; midpoint up ~23%
- 10-year, ~$400M power services contract with PREPA (Puerto Rico Electric Power Authority) announced Aug 3
- International chemistry revenue $10.6M, +172% YoY
- Net debt $45.5M, leverage ratio 0.9x (low)
- Operating cash flow negative $6.6M in H1 2026 due to working capital build for growth
Financial Impact
Q2 revenue growth of 70%, EPS up 420% YoY. Guidance raised ~23% across all metrics. $400M long-term contract provides multi-year revenue visibility.
Risk Factors
- PREPA contract execution risk: deployment delays, permitting, fuel supply, political instability in Puerto Rico
- Cash flow negative H1 2026 (-$6.6M operating) from working capital build; may need to draw ABL further
- High accounts receivable growth ($24.6M external + $19.5M related party in H1)
- ProFrac minimum purchase requirement declining ($1.2M in Q2 vs $7.8M in Q2 2025) but offset by direct related-party growth
- Concentration risk: large related-party revenue from ProFrac (56% of total revenue in Q2)
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0000928054-26-000077 |
| Document: flotek2q2026earningspres.htm | 0000928054-26-000077 |
| Document: ftk-20260804.htm | 0000928054-26-000077 |
| Document: 0000928054-26-000077-index-headers.html | 0000928054-26-000077 |
| Document: 0000928054-26-000077-index.html | 0000928054-26-000077 |
| Document: 0000928054-26-000077.txt | 0000928054-26-000077 |
| 8-K Data (Synthetic) | 0000928054-26-000077 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 23, 2026 4w ago | 8-K | $28.95 $29.79 | ▲ +2.90% | ▲ +3.32% | $23.90 (−17.44%) |
Sep 15, 2026 5w ago | SC 13D/A | $28.13 $30.43 | ▲ +8.18% | ▲ +6.35% | $23.90 (−15.04%) |
Sep 15, 2026 5w ago | Insider Cluster | $28.13 $30.43 | ▲ +8.18% | ▲ +5.61% | $23.90 (−15.04%) |
Sep 9, 2026 6w ago | 8-K | $27.88 $28.13 | ▲ +0.90% | ▲ +1.99% | $23.90 (−14.28%) |
Aug 19, 2026 9w ago | 8-K | $25.17 $23.61 | ▲ +6.20% | ▲ +5.81% | $23.90 (+5.05%) |
Aug 18, 2026 9w ago | 8-K | $27.02 $24.00 | ▲ +11.18% | ▲ +10.98% | $23.90 (+11.55%) |
Aug 18, 2026 9w ago | Press Release | $27.02 $24.00 | ▲ +11.18% | ▲ +10.98% | $23.90 (+11.55%) |
Aug 4, 2026 11w ago | 8-K | $36.07 $37.17 | ▲ +3.05% | ▲ +2.70% | $23.90 (−33.74%) |
Jul 6, 2026 16w ago | Press Release | $22.40 $26.77 | ▲ +19.51% | ▲ +18.96% | $23.90 (+6.70%) |
May 5, 2026 24w ago | 8-K | $16.33 $17.00 | ▲ +4.10% | ▲ +2.97% | $23.90 (+46.36%) |
US Market Status
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