Sunday, 15 Sep 2019

Universal Display announces financial results for second quarter 2015

Numerous new product introductions utilised new red and green emitters, while demand for existing host material has seen a significant reduction

6 Aug 2015 | Editor

Revenues for the second quarter of 2015 were US$ 58.1 million, compared to revenues of US$ 64.1 million for the same quarter of 2014.

Material sales were US$ 24.3 million, down 9% sequentially and down 32% compared to the second quarter of 2014, primarily due to an US$ 11.7 million decline in host material sales.

Royalty and license fees were US$ 33.7 million, up from US$ 28.1 million in the second quarter of 2014.

The Company recognized US$ 30 million in Samsung Display Co., Ltd. (SDC) licensing revenue in the second quarter of 2015, up from US$25 million in the same quarter of 2014.

The Company’s balance sheet remained strong, with cash and cash equivalents and short-term investments of US$ 356.2 million as of June 30, 2015. During the second quarter, the Company generated US$ 28.2 million in operating cash flow.

Universal Display reports financial results
for Q2 2015 (US$ ,000)
Revenue - Materials 24,324 35,926 51.142 71,252
Revenue - Royalty and licences 33.733/td> 28,064 38,108 29,843
Revenue - Technology dev 35 137 65 870
Operating expenses 62,573 35,289 92,025 66,501
Net (loss) Income (11,771) 20,422 (10,457) 24,443
Net result per share - basic($) (0.25) 0.44 (0.23) 0.53

The Company's 2015 guidance remains unchanged. With the OLED industry still at a stage where many variables can have a material impact on its growth, Universal Display continues to expect its 2015 revenues to be approximately $200 million, with a downside range of approximately 5% and an upside potential of approximately 15%.

Sidney D. Rosenblatt, Executive Vice President and Chief Financial Officer of Universal Display, said, "The consumer electronics and lighting markets are moving more and more in the direction of OLEDs. During the first half of this year, we saw new 4K OLED TVs from LG, new flagship smartphones from Samsung, including the curved Galaxy S6 edge, and multiple new smartwatches. The accelerating number of new OEMs adopting OLED technology, new OLED products being introduced and new OLED proofs of concepts being showcased illustrates the growing proliferation of OLEDs on a global level. We believe that these activities not only bolster the OLED industry's momentum, but are driving increasing investments in OLED capacity.”
Sidney added, "During the quarter, dynamic shifts in market strategies resulted in numerous new product introductions that utilized our new red and green emitters. At the same time, these shifts also negatively impacted demand for established products that used our existing host material, which led a customer to significantly reduce its forecast for this host material. As a result, we have written-down relevant excess finished goods and work-in-process inventory. Looking forward, we anticipate a stronger second half of the year."


About Universal Display Corp

Universal Display Corporation is a leader in developing and delivering state-of-the-art, organic light emitting diode (OLED) technologies, materials and services to the display and lighting industries. Founded in 1994, the Company currently owns or has exclusive, co-exclusive or sole license rights with respect to more than 3,000 issued and pending patents worldwide.

Universal Display licenses its proprietary technologies, including its breakthrough high-efficiency UniversalPHOLED® phosphorescent OLED technology, that can enable the development of low power and eco-friendly displays and white lighting.

he Company also develops and offers high-quality, state-of-the-art UniversalPHOLED materials that are recognized as key ingredients in the fabrication of OLEDs with peak performance. In addition, Universal Display delivers innovative and customized solutions to its clients and partners through technology transfer, collaborative technology development and on-site training.

Based in Ewing, New Jersey, with international offices in Ireland, South Korea, Hong Kong, Japan and Taiwan, Universal Display works and partners with a network of world-class organizations, including Princeton University, the University of Southern California, the University of Michigan, and PPG Industries, Inc.

The Company has also established relationships with companies such as AU Optronics Corporation, BOE Technology, DuPont Displays, Inc., Innolux Corporation, Kaneka Corporation, Konica Minolta Technology Center, Inc., LG Display Co., Ltd., Lumiotec, Inc., Philips Technologie GmbH, Pioneer Corporation, Samsung Display Co., Ltd., Sony Corporation, and Tohoku Pioneer Corporation.

Source: Universal Display Corp

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