We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Will APC Segment Aid Fuel Tech (FTEK) This Earnings Season?
Read MoreHide Full Article
Fuel Tech, Inc. (FTEK - Free Report) is scheduled to report first-quarter 2019 results on May 13, after market close.
The Air Pollution Control (“APC”) segment develops advanced proprietary technologies for air pollution control, process optimization, water treatment and advanced engineering services.
Notably, the segment accounted for roughly 66.7% of the company’s total revenues in the fourth quarter of 2018. In the quarter, the APC segment performed well, with revenues increasing 11.4% year over year, driven by conversion of new orders.
Factors to Influence APC Segment’s Q1 Results
Fuel Tech believes that a strong pipeline of contract opportunities on a global basis for its entire technology suite will boost first-quarter revenues for the APC segment. Notably, increased adoption of the company’s proprietary solutions like ULTRA and SCR technologies for industrial applications, particularly in the United States is driving orders for the segment. In addition, the company is witnessing growing demand for its SNCR, SCR and ammonia delivery system technologies in several European countries, which will stoke top-line growth for the segment.
Also, Fuel Tech’s strong business relationships with multinational industrial end-users continue to grow. Its focus on partnering with companies that require its technology portfolio has helped it receive large-bid packages in natural gas fired applications. Moreover, the company’s efforts of developing new business opportunities in the APC segment will augment its first-quarter profitability.
Furthermore, the company believes that benefits from its cost-reduction efforts and greater operational efficacy will drive profitability.
Geographical diversification is reflective of Fuel Tech's solid financials. However, this diversity has exposed the company to headwinds arising from geopolitical issues, macroeconomic challenges and unfavorable movements in foreign currencies. Also, the company faces tremendous competitive pressure from companies like Advanced Emissions Solutions, Inc. , Cemtrex Inc. (CETX - Free Report) and LiqTech International, Inc. (LIQT - Free Report) . In order to reduce the competitive pressure, it has to invest significantly in R&D to develop advanced solutions. These are likely to put pressure on its finances, and hence might impact profitability.
Overall, Fuel Tech’s first-quarter results are likely to benefit from increased adoption of emission control solutions, efforts to improve sales channel and addition of a coal-fired unit in the United States. (Read more: What's in the Cards for Fuel Tech in Q1 Earnings?)
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +98%, +119% and +164% in as little as 1 month. The stocks in this report could perform even better.
Image: Bigstock
Will APC Segment Aid Fuel Tech (FTEK) This Earnings Season?
Fuel Tech, Inc. (FTEK - Free Report) is scheduled to report first-quarter 2019 results on May 13, after market close.
The Air Pollution Control (“APC”) segment develops advanced proprietary technologies for air pollution control, process optimization, water treatment and advanced engineering services.
Notably, the segment accounted for roughly 66.7% of the company’s total revenues in the fourth quarter of 2018. In the quarter, the APC segment performed well, with revenues increasing 11.4% year over year, driven by conversion of new orders.
Factors to Influence APC Segment’s Q1 Results
Fuel Tech believes that a strong pipeline of contract opportunities on a global basis for its entire technology suite will boost first-quarter revenues for the APC segment. Notably, increased adoption of the company’s proprietary solutions like ULTRA and SCR technologies for industrial applications, particularly in the United States is driving orders for the segment. In addition, the company is witnessing growing demand for its SNCR, SCR and ammonia delivery system technologies in several European countries, which will stoke top-line growth for the segment.
Also, Fuel Tech’s strong business relationships with multinational industrial end-users continue to grow. Its focus on partnering with companies that require its technology portfolio has helped it receive large-bid packages in natural gas fired applications. Moreover, the company’s efforts of developing new business opportunities in the APC segment will augment its first-quarter profitability.
Furthermore, the company believes that benefits from its cost-reduction efforts and greater operational efficacy will drive profitability.
Geographical diversification is reflective of Fuel Tech's solid financials. However, this diversity has exposed the company to headwinds arising from geopolitical issues, macroeconomic challenges and unfavorable movements in foreign currencies. Also, the company faces tremendous competitive pressure from companies like Advanced Emissions Solutions, Inc. , Cemtrex Inc. (CETX - Free Report) and LiqTech International, Inc. (LIQT - Free Report) . In order to reduce the competitive pressure, it has to invest significantly in R&D to develop advanced solutions. These are likely to put pressure on its finances, and hence might impact profitability.
Overall, Fuel Tech’s first-quarter results are likely to benefit from increased adoption of emission control solutions, efforts to improve sales channel and addition of a coal-fired unit in the United States. (Read more: What's in the Cards for Fuel Tech in Q1 Earnings?)
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +98%, +119% and +164% in as little as 1 month. The stocks in this report could perform even better.
See these 7 breakthrough stocks now>>