Flotek Industries Announces Grants of Equity Awards to CEO and CFO

HOUSTON, TX, February 24, 2026 – Flotek Industries, Inc. (NYSE: FTK) has announced that its Compensation Committee has approved significant equity awards for its executive leadership. This move, disclosed in the company’s latest SEC Form 8-K filing, is likely to attract investor attention due to its implications for executive incentives, alignment with shareholder interests, and potential impact on the company’s future performance and share price.

Key Points from the Report

• Equity Awards Granted: On February 24, 2026, Flotek’s Board Compensation Committee approved grants of equity awards for Dr. Ryan Ezell, Chief Executive Officer, and J. Bond Clement, Chief Financial Officer.
• Types and Amounts of Awards:
  • Dr. Ezell was granted 36,595 Restricted Stock Units (RSUs) and 36,595 Performance-Based Restricted Stock Units (PRSUs).
  • Mr. Clement was granted 16,635 RSUs and 16,635 PRSUs.
• Nature of Awards:
  • RSUs are time-based and vest according to pre-determined schedules.
  • PRSUs vest based on the achievement of performance metrics, further aligning executive incentives with the company’s operational and financial performance.
• Related Exhibits:
  • The company filed forms of the RSU and PRSU agreements as exhibits, which detail the terms, vesting schedules, and performance metrics (performance metrics such as EBITDA growth and relative total shareholder return are included, but some specifics are redacted).
  • These agreements also include confidentiality, non-compete, and non-disparagement covenants, reinforcing management’s commitment to the company’s long-term interests.

Potentially Price-Sensitive Information for Shareholders

• Alignment with Shareholder Value: The performance-based nature of a substantial portion of these grants incentivizes leadership to focus on metrics that drive shareholder value, including Adjusted EBITDA growth and relative Total Shareholder Return (TSR) versus industry peers. This could lead to improved operational performance and, potentially, a positive impact on share price if targets are met.
• Retention and Motivation of Key Executives: Large equity awards are designed to retain top management and align their interests with those of shareholders, reducing the risk of executive turnover during critical phases of company strategy or turnaround.
• Disclosure and Transparency: Full disclosure of the grant terms, including time- and performance-based vesting and confidentiality clauses, provides investors with clear insights into executive compensation structures and the company’s commitment to governance best practices.
• Potential for Future Dilution: As with all equity-based compensation, the issuance of new shares to satisfy these awards could have a dilutive effect on existing shareholders, though such effects are generally incremental and contingent on vesting and performance achievement.

Detailed Terms of the Awards

• The RSU and PRSU grants are governed by the Flotek Industries, Inc. 2018 Long-Term Incentive Plan.
• PRSUs are linked to company performance in terms of EBITDA growth and relative TSR against a peer group (Russell 2000 Index – Oil and Gas Equipment & Services, as of January 1, 2026). If the company’s TSR for the performance period is negative, the payout percentage is capped at 100% of the target.
• Equity awards are subject to forfeiture if performance or continued employment conditions are not met.
• No dividends or other distributions are paid on unvested RSUs.
• Confidentiality, non-compete, and non-disparagement clauses are included in the grant agreements, helping ensure the protection of company intellectual property and reputation.
• Settlement of vested RSUs and PRSUs will result in the delivery of common stock to the executives.

Conclusion

The approval and disclosure of these substantial equity awards for the CEO and CFO are material developments for Flotek Industries. They highlight the company’s focus on incentivizing leadership to achieve operational and financial targets that could drive shareholder value. Investors should monitor the company’s performance metrics over the coming years, as achievement or failure to achieve these targets may materially affect share price and investor sentiment.

Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell securities. Investors should conduct their own due diligence and consult with a qualified financial advisor before making investment decisions. The information herein is based on public filings and may be subject to future updates or corrections.

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