Financial Performance - Revenues for the year ended December 31, 2021, were $24,261 million, an increase of $1,711 million or 8% compared to 2020[128]. - U.S. revenues increased by $893 million or 5%, while international revenues increased by $818 million or 21%[129]. - Revenues for the FUEL CHEM technology segment were $17,365 million, an increase of $3,372 million or 24% compared to 2020[131]. - Consolidated gross margin percentage increased to 49% in 2021 from 47% in 2020[132]. - The net income for 2021 was $54,000, compared to a net loss of $4,278,000 in 2020, showing a significant turnaround[169]. - Total revenues for Fuel Tech in 2021 were $23,979,000, an increase from $20,000,000 in 2020, with international revenues contributing $4,746,000, representing 20% of total revenues[178]. - Total revenues for the year ended December 31, 2021, were $24,261 million, an increase of 7.6% from $22,550 million in 2020[246]. Cost Management - In 2021, the Company reduced selling, general, and administrative expenses by 11% compared to fiscal 2020[86]. - Selling, general and administrative expenses decreased by $1,545 million or 11% from 2020 to 2021[134]. - Research and development expenses increased to $1,332 million in 2021 from $1,177 million in 2020, focusing on new product development[135]. - The company reported a stock compensation expense of $82,000 in 2021, down from $290,000 in 2020, reflecting cost management efforts[173]. - Costs related to the defined contribution retirement savings plan were $206 million in 2021, down from $222 million in 2020[236]. Cash Flow and Liquidity - Cash and cash equivalents at December 31, 2021, were $35,893 million, up from $10,640 million at the end of 2020[140]. - Operating activities provided cash of $761 million for the year ended December 31, 2021, primarily due to a decrease in accounts receivable balances[141]. - The company experienced a net cash increase of $24,448,000 in 2021, ending the year with cash, cash equivalents, and restricted cash totaling $37,054,000[173]. - The company has sufficient cash and working capital to operate its base Air Pollution Control and FUEL CHEM businesses for the next 12 months[145]. - Total current assets increased to $41,465 in 2021 from $21,073 in 2020, reflecting a significant improvement in liquidity[165]. Project and Contract Management - The APC business faced project delays and cancellations, resulting in a consolidated backlog of $9,119 and a global sales pipeline of $50-75 million[90]. - As of December 31, 2021, contract assets for APC technology projects were approximately $1,277, down from $2,079 in 2020[108]. - Contract liabilities decreased to $390 in 2021 from $850 in 2020, indicating improved cash flow management[109]. - Remaining performance obligations amounted to $9,119 million as of December 31, 2021, with an expected revenue recognition of approximately $5,608 million over the next 12 months[252]. Investment and Technology Development - The Company continues to invest in new technologies for water pollution control and treatment, expanding its product offerings[86]. - Fuel Tech's research and development efforts focus on air pollution control technologies, with significant investments made to enhance its proprietary portfolio[177]. - The company has installed over 1,200 units with APC technology, providing performance guarantees based on operational conditions[221]. Shareholder and Stock Information - The company issued 5,000,000 shares of common stock and 2,500,000 warrants in a private placement, generating gross proceeds of $25,812 million[273]. - The calculated fair value allocated to the warrants is $7,337 million, recorded as Additional paid in capital[275]. - As of December 31, 2021, there were 434,500 stock options outstanding with a weighted-average exercise price of $3.05[283]. - The company had basic weighted-average shares of 29,585,000 in 2021, up from 24,691,000 in 2020, indicating an increase in share count[238]. Tax and Deferred Assets - The effective income tax rate for 2021 was 20.6%, compared to (1.4)% in 2020[259]. - Deferred tax assets totaled $14,916 million as of December 31, 2021, down from $15,963 million in 2020[259]. - As of December 31, 2021, the company has approximately $27,701 million of U.S. net operating loss carryforwards available to offset future U.S. taxable income[266].
Fuel Tech(FTEK) - 2021 Q4 - Annual Report