Flotek Industries (NYSE: FTK) lands 10-year, $400 million PREPA power deal
Rhea-AI Filing Summary
Flotek Industries, Inc. announced it has been awarded a 10-year contract to support natural gas-fired grid enhancement initiatives for the Puerto Rico Electric Power Authority as part of a 400 MW emergency power generation project in Puerto Rico.
Under the agreement, Flotek expects a revenue backlog of approximately $400 million from rental of gas-fired generation equipment and deployment of its proprietary PWRtek platform, including up to 40 MW of primary generation and up to six pairs of smart conditioning and distribution skids. At full deployment, annual revenue is expected to be approximately $40 million. Support equipment deployment is expected to begin in the fourth quarter of 2026, with initial power generation equipment and skids by the end of the first quarter of 2027. The company notes that realizing these revenues depends on successful completion and operation of the overall 400 MW project, of which its scope represents approximately 10%, and is subject to permitting, fuel supply, financing, weather, and other project-level risks.
Positive
- Flotek secured a 10-year agreement with PREPA expected to generate a revenue backlog of approximately $400 million from rental of gas-fired power generation equipment and PWRtek smart systems, supporting a shift toward recurring, high-margin revenue.
Negative
- None.
8-K Event Classification
2 items: 7.01, 9.01
2 items
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Contract term: 10 years
Expected revenue backlog: approximately $400 million
Expected annual revenue: approximately $40 million
+5 more
8 metrics
Contract term
10 years
Duration of Flotek’s agreement to support PREPA grid enhancement initiatives
Expected revenue backlog
approximately $400 million
Total potential revenue over the 10-year term at full deployment
Expected annual revenue
approximately $40 million
Annual revenue expected at full deployment under the PREPA contract
Project capacity
400 MW
Total natural gas-fired power generation capacity of the Puerto Rico project
Flotek generation capacity
up to 40 MW
Primary power generation capacity Flotek expects to supply
Smart conditioning skids
up to six pairs
Number of smart conditioning and distribution skid pairs to be supplied
Project scope share
approximately 10%
Portion of the overall 400 MW project represented by Flotek’s scope
Support deployment start
fourth quarter of 2026
Expected start for deployment of support equipment
Key Terms
revenue backlog, natural gas-fired power generation capacity, PWRtek platform, behind the meter power generation, +2 more
6 terms
revenue backlog financial
"Flotek expects to generate a revenue backlog of approximately $400 million"
Revenue backlog is the total value of confirmed sales, contracts, or orders that a company has committed to deliver but has not yet recognized as revenue; think of it as a queue of future income the business has already promised to customers. Investors care because backlog shows near-term sales visibility and growth potential—like knowing how many jobs are already scheduled—and it helps assess whether reported results are likely to continue, slow, or be at risk from cancellations or delays.
natural gas-fired power generation capacity technical
"expected to deploy 400 MW of natural gas-fired power generation capacity"
PWRtek platform technical
"Flotek is providing its proprietary PWRtek platform, including up to 40 MW"
behind the meter power generation technical
"solution for behind the meter power generation"
forward-looking statements regulatory
"Certain statements set forth in this press release constitute forward-looking statements"
Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.
Emergency Temporary Power Generation Puerto Rico project technical
"executing the Emergency Temporary Power Generation Puerto Rico project"
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What contract did Flotek (FTK) announce with the Puerto Rico Electric Power Authority?
Flotek announced it was awarded a 10-year contract to support natural gas-fired grid enhancement initiatives for PREPA, tied to a 400 MW emergency temporary power generation project in Puerto Rico.
How much revenue does Flotek (FTK) expect from its PREPA power project contract?
Flotek expects a revenue backlog of approximately $400 million over the 10-year term at full deployment, with annual revenue projected at approximately $40 million from rental of power generation equipment and PWRtek systems.
What capacity will Flotek (FTK) provide under the PREPA project agreement?
Flotek plans to provide its PWRtek platform, including up to 40 MW of primary power generation capacity and up to six pairs of smart conditioning and distribution skids, serving the broader 400 MW natural gas-fired power project.
When will Flotek (FTK) begin deploying equipment for the PREPA contract?
Support equipment deployment is expected to begin in the fourth quarter of 2026, with initial power generation equipment and conditioning and distribution skids expected by the end of the first quarter of 2027, subject to project execution.
What technologies is Flotek (FTK) providing under the PREPA agreement?
Flotek is providing its proprietary PWRtek platform, including smart conditioning and distribution skids with real-time analytics, fuel management, pressure regulation, and gas distribution, plus up to 40 MW of primary natural gas-fired power generation capacity.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
(Exact name of registrant as specified in its charter)
| (State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||
(Address of principal executive office and zip code)
(Registrant’s telephone number, including area code)
(Not applicable)
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of Exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 7.01 | Regulation FD Disclosure | ||||
On August 3, 2026, Flotek Industries, Inc. issued a press release announcing the entry into a 10-year agreement to support gas-fired grid enhancement initiatives for the Puerto Rico Electric Power Authority, the electric utility for the Commonwealth of Puerto Rico. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The information furnished pursuant to Item 7.01 of this Current Report on 8-K and in Exhibit 99.1 shall not be deemed to be “filed” for the purposes of Section 18 of the Exchange Act of 1934, as amended (the "Exchange Act"), is not subject to the liabilities of that section and is not deemed incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended, or the Exchange Act, except as otherwise expressly stated in such filing.
Item 9.01 | Financial Statements and Exhibits. | ||||
d) Exhibits.
Exhibit Number | Description | |||||||
| 99.1 | Press Release of Flotek Industries, Inc. dated August 3, 2026. | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| FLOTEK INDUSTRIES, INC. | ||||||||
Date: August 3, 2026 | /s/ Bond Clement | |||||||
| Name: | Bond Clement | |||||||
| Title: | Chief Financial Officer | |||||||
Exhibit 99.1
Flotek Awarded 10-Year Contract to Support a 400 MW Power Project for Puerto Rico Electric Power Authority
HOUSTON, Aug. 3, 2026 -- Flotek Industries, Inc. (NYSE: FTK), a pioneer in advanced real-time data analytics and chemistry solutions for the energy and infrastructure sector, today announced a 10-year agreement to support natural gas-fired grid enhancement initiatives for the Puerto Rico Electric Power Authority ("PREPA"), the electric utility for the Commonwealth of Puerto Rico. Under the agreement, Flotek expects to generate a revenue backlog of approximately $400 million through the rental of gas-fired power generation equipment, together with deployment of the Company's proprietary smart conditioning and distribution systems.
Flotek has partnered with Power Expectations LLC, which leads the group executing the Emergency Temporary Power Generation Puerto Rico project (RFP 3PPO-0314-20-TGP2). The initiative is expected to deploy 400 MW of natural gas-fired power generation capacity to address Puerto Rico's ongoing energy crisis. Flotek is providing its proprietary PWRtek platform, including up to 40 MW of primary power generation capacity and up to six pairs of smart skids with advanced conditioning, real-time analytics, and gas distribution systems, working alongside experienced local partners for on-ground execution and project management.
Project Summary:
•Rental Services: Flotek is expected to supply up to six pairs of smart conditioning and distribution skids as components of its proprietary PWRtek platform, along with up to 40 MW of primary power generation capacity. These systems are expected to deliver state-of-the-art fuel management, pressure regulation, and real-time engine optimization across the full 400 MW project, improving resiliency and performance.
•Contract Consideration and Timing: At full deployment, annual revenue is expected to total approximately $40 million, with a potential 10-year revenue backlog of approximately $400 million. Support equipment is expected to begin deployment in the fourth quarter of 2026, with the initial power generation equipment and conditioning and distribution skids expected by the end of the first quarter of 2027.
•Duration: The contract provides for a 10-year term.
Management Commentary
"This contract exemplifies the execution of our corporate strategy and strengthens the momentum of Flotek's industrialized pivot to a data-driven technology leader," said Dr. Ryan Ezell, CEO of Flotek Industries. "Our transformative PWRtek platform has evolved from advanced analytics into a comprehensive end-to-end fuel management and optimization solution for behind the meter power generation. By pairing reliable natural gas-powered generation with smart conditioning, real-time analytics, and advanced distribution capabilities, we are delivering high-uptime, high-margin solutions that meet critical energy infrastructure needs. This opportunity in the utilities sector further validates the strong demand for our
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PWRtek platform beyond traditional oil and gas and reinforces our shift toward recurring, high-margin revenue streams."
Conference Call Details
The Company plans to issue its second quarter 2026 financial and operating results press release after market close on Tuesday, August 4, 2026, and host its earnings conference call on Wednesday, August 5, 2026, at 9:00 a.m. CT (10:00 a.m. ET). The Company expects to discuss additional details of this contract award on the conference call.
Participants may access the call through Flotek's website at https://ir.flotekind.com/events, by telephone toll free at 1-800-836-8184 (international toll: 1-646-357-8785), or by using the following link to access the webcast: https://app.webinar.net/dYJWBo8V8lL approximately five minutes prior to the start of the call. Following the conclusion of the conference call, a recording of the call will be available on the Company's website.
About Flotek Industries, Inc.
Flotek Industries, Inc. is a leading chemistry and data technology company focused on servicing the Energy industry. The Company's technologies leverage near real-time data to deliver innovative solutions to maximize customer returns. Flotek has an intellectual property portfolio of over 130 patents, over 20 years of field and laboratory data, and a global presence in more than 59 countries.
Flotek has established collaborative partnerships focused on sustainable and optimized chemistry and data solutions, aiming to reduce the environmental impact of energy on land, air, water and people.
Flotek is based in Houston, Texas and its common shares are traded on the New York Stock Exchange under the ticker symbol "FTK." For additional information, please visit www.flotekind.com.
Forward-Looking Statements
Certain statements set forth in this press release 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). These statements include, without limitation, statements regarding Flotek Industries, Inc.'s business, financial condition, results of operations and prospects, as well as statements regarding the expected revenues to be received under the contract, the total term of the contract, the timing of the scaling and deployment of the equipment under the contract, the total power capacity and operating performance of the equipment once deployed, and the Company's ability to perform under and satisfy the terms and conditions of the contract. Words such as will, continue, expects, anticipates, intends, plans, believes, seeks, estimates and similar expressions or variations of such words are intended to identify forward-looking statements, but are not the exclusive means of identifying forward-looking statements in this press release. Although forward-looking statements in this press release reflect the good faith judgment of management, such statements can only be based on facts and factors currently known to management. Consequently, forward-looking statements are inherently subject to risks and uncertainties, and actual results and outcomes may differ materially from the results and outcomes discussed in the forward-looking statements. Factors that could
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cause actual results to differ materially from anticipated results include risks related to the overall power generation project that are outside of the Company's control, including, without limitation, securing fuel supply, obtaining permits and governmental approvals, establishing interconnection, satisfying bonding and financing requirements, meeting construction execution timelines, integrating systems provided by multiple contractors, power interruptions, political, regulatory developments, hurricanes, tropical storms and other severe weather events in Puerto Rico, and other factors that could impact project timing, costs, or performance. The Company's ability to realize the expected revenues under the contract is dependent upon the successful completion and operation of the overall 400 MW project, of which the Company's scope represents approximately 10%. Further information about the risks and uncertainties that may impact the Company are set forth in the Company's most recent filing with the Securities and Exchange Commission on Form 10-K (including, without limitation, in the "Risk Factors" section thereof), and in the Company's other SEC filings and publicly available documents. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation to revise or update any forward-looking statements in order to reflect any event or circumstance that may arise after the date of this press release.
Investor contact:
Mike Critelli
Director of Finance & Investor Relations
E: ir@flotekind.com
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