Promise vs. Reality: Flotek told investors on August 3, 2026 to expect a $400 million, 10-year revenue backlog from Puerto Rico. A little more than two weeks later the contract was terminated.

NEW YORK, Sept. 3, 2026 /PRNewswire/ — SueWallSt highlights the contrast between what Flotek Industries, Inc. (NYSE: FTK) told investors about its Puerto Rico power agreement and what followed, and notifies shareholders who purchased FTK securities between August 3, 2026 and August 17, 2026 that a securities class action has been filed. Find out if you may qualify to recover losses. You may also contact Joseph E. Levi, Esq. at jlevi@SueWallSt.com or (888) SueWallSt.

FTK closed at $35.83 on August 14, 2026 and closed at $25.17 on August 19, 2026, a decline of $10.66 per share, or 29.75%, across three consecutive high-volume sessions. LEAD PLAINTIFF DEADLINE: October 26, 2026.

The Promise

The Company projected a 10-year revenue backlog of approximately $400 million from a 400 MW natural gas-fired generation project for the Puerto Rico Electric Power Authority, with annual revenue of approximately $40 million at full deployment. That single agreement represented roughly 57% of the Company’s reported backlog.

The Reality

On August 17, 2026, published research alleged the PREPA contract had already been canceled and that a third party’s signature was used without authorization, prompting a criminal referral. Flotek subsequently reported that the Financial Oversight and Management Board had voted to direct termination, and then confirmed formal notice terminating the power purchase and operating agreement effective immediately. Expected revenue from the project: $0.

Promise vs. Actual: By the Numbers

• Projected 10-year backlog: approximately $400 million. Actual: contract terminated.
• Projected annual revenue at full deployment: approximately $40 million. Actual: $0 expected from the project.
• Share of Company backlog attributed to the agreement: approximately 57%.
• Class Period high: $38.82 per share on August 11, 2026.
• Closing price on August 19, 2026: $25.17 per share.
• Aggregate decline from high: $13.65 per share, or 35.16%.

What the Lawsuit Alleges About the Gap

The complaint contends that investors were not told there were credible reasons to doubt the experience, organization, and financial capacity of the consortium parties behind the project, and that as a result the projected revenue was allegedly at risk from the outset. The action asserts that the Company’s positive statements about its business and prospects therefore lacked a reasonable basis.

“Companies that make specific promises to investors about future performance have an obligation to disclose known risks to those projections. Here, the complaint alleges that a projected $400 million backlog representing roughly 57% of the Company’s pipeline was presented without disclosing doubts about the parties expected to execute it.” — Joseph E. Levi, Esq.

Submit your information here or call (888) SueWallSt.

WHY SUEWALLST: SueWallSt is powered by Levi & Korsinsky LLP. Levi & Korsinsky LLP has established itself as a nationally-recognized securities litigation firm that has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. The firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services’ Top 50 Report as one of the top securities litigation firms in the United States.

Frequently Asked Questions About the FTK Lawsuit

Q: What specific misstatements does the FTK lawsuit allege? A: The complaint alleges Flotek Industries, Inc. made materially false or misleading statements regarding a 10-year, approximately $400 million agreement with the Puerto Rico Electric Power Authority, including the failure to disclose credible reasons to doubt the consortium parties’ experience, organization, and financial capacity. When the alleged cancellation and subsequent termination of the PREPA contract were disclosed, the stock price declined sharply.

Q: When did Flotek Industries, Inc. allegedly mislead investors? A: The Class Period runs from August 3, 2026 to August 17, 2026. The complaint alleges that corrective disclosures revealed information that caused a significant stock decline.

Q: How much did FTK stock drop? A: Shares fell approximately $10.66, or about 29.75% over a period of three days following repeated disclosures regarding the Company’s $400 million contract with PREPA. Investors who purchased shares during the Class Period at artificially inflated prices and suffered losses may be eligible to seek compensation.

Q: What do FTK investors need to do right now? A: Investors may gather brokerage records showing purchase dates, share quantities, and prices paid. Submit your information for a no-cost, no-obligation evaluation of your potential recovery. No immediate action is required to remain eligible as an absent class member.

Q: What is a lead plaintiff and why does it matter? A: A lead plaintiff is the investor appointed by the court to represent the entire class. Lead plaintiffs are typically investors with the largest documented losses. Being appointed does not increase individual recovery but gives direct oversight of how the case is run.

Q: What if I already sold my FTK shares — can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold the shares. Investors who bought during the Class Period and sold at a loss may still be eligible to participate.

Q: What does it cost me to participate? A: There is no upfront cost to submit your information and review whether you may be eligible to recover. Should you choose to participate in the securities class action, they are generally handled on a contingency basis, with any attorneys’ fees and expenses subject to court approval.

Q: What if I missed the lead plaintiff deadline? A: The deadline applies only to investors seeking lead plaintiff appointment. Class members who miss it may still be able to participate in any potential settlement or recovery.

CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
jlevi@SueWallSt.com
Tel: (888) SueWallSt
Fax: (212) 363-7171

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SOURCE SueWallSt.com