Universal Display Corporation Announces Second Quarter Results
Universal Display Corporation Announces Second Quarter Results
BALA CYNWYD, Pa., Aug 27, 1999 (BUSINESS WIRE) -- UniversalDisplay
Corporation (UDC) (NASDAQ:PANL), a developer of flat panel display
technology, announced today its unaudited results of operations for the
second quarter and six months ended June 30, 1999.
Universal Display Corporation had a net loss of $1,677,994 (or $.14 per
share) for the quarter ended June 30, 1999 compared to a loss of $631,
658 or ($.06 per share) for the same period in 1998. The increase in
the net loss was attributed to decreased revenue, increased research
and development costs and general and administrative expenses.
The Company earned $69,732 from contract research revenue in the
quarter ended June 30, 1999 compared to $99,388 for the same period in
1998.
The revenue was derived from a subcontract under a 3-year, $3 million
contract Princeton University received from the Defense Advanced
Research Project Agency (DARPA), compared to the same period in 1998,
which included DARPA revenue in addition to revenue derived to a $100,
000 grant from the New Jersey Commission on Science and Technology to
continue development of the OLEDtechnology.
Research and development costs were $509,732 for the quarter ended June
30, 1999 compared to $327,311 for the same period in 1998. Research and
development costs were higher in 1999 compared to 1998 primarily
because of an increase in research being performed at Princeton
University by employees of the Company and increased patent expenses.
In 1998, research and development costs consisted primarily of patent
expenses and payments under 1997 Sponsored Research Agreement. General
and administrative expenses were $1,280,092 for the quarter ended June
30, 1999 compared to $460,988 for the same period in 1998.
The increase in general and administrative expense was primarily due to
an equity grant authorized by the Board of Directors to executives of
the Company which amounted to $764,660 in compensation expense being
incurred in this quarter, compared to none in the same period of 1998.
Quarter Ended Six Months Ended
June 30 June 30
1999 1998 1999 1998
---- ---- ---- ----
Net Loss ($1,677,994) ($631,659) ($2,271,860) ($952,766)
Net Loss Per
Common Share ($.14) ($.06) ($.18) ($.09)
Weighted Average
Number of
Shares 12,228,972 10,312,268 12,391,929 10,307,268
Universal Display Corporation recently announced a letter of intent
with Luxell Technologies, Inc. (LUX: Alberta Stock Exchange). The
agreement provides for the integration of Luxell's proprietary high
contrast black layer technology with Universal Display Corporation's
patented organic electroluminescent technology positioning both
companies to expand product lines andbusinessopportunities.
Universal Display Corporation's proprietary technology centers around
three important technology platforms--transparency, flexibility and
full-color, vertically stacked pixels. This should allow for light
weight, portable and flexible flat panel displays. The research team
has also demonstrated an optically pumped organic laser.
The company currently has 13 patents relating to OLED technology. In
addition, more than 40 patents have been filed in the United States
since this project began, and corresponding international patent
applications have been filed. UDC is the exclusive licensee of all
technology developed in the project.
UDC has had a strategic research partnership with Princeton University
and the University of Southern California (USC) for the Organic Light
Emitter Project since 1994.
Recently, the partnership was extended through 2002, the Universities
became shareholders in UDC, and UDC committed to continue funding the
Project for the next five years for applications such as flat panel
displays, lasers and light.
UDC is a member of the United States Display Consortium (USDC) a
cooperative industry/government effort aimed at developing an
infrastructure to support a North American flat panel display (FPD)
industry.
UDC is part of a team including Princeton, USC and Hughes Electronics
which is working under a $3 million award from the U.S. Department of
Defense Advanced Research Projects Agency (DARPA) for the continued
development of ultra light-weight, full-color OLED flat panel display
technology.
For more information, visit our web site at universaldisplay.com. All
statements in this press release that are not historical are
forward-looking statements.
Such statements are subject to risks and uncertainties that could cause
actual results to differ materially for Universal Display from those
projected, including, but not limited to, uncertainties relating to
technological approaches, product development, manufacturing, and
marketing acceptance, uncertainties related to cost and pricing of
Universal Display products, dependence on collaborative partners, and
other competition, risks relating to intellectual property of others
and the uncertainties of patent protection. These are discussed in
periodic reports filed with the SEC, including the Company's annual
report on Form 10-KSBA for the year ended December 31, 1998 and
quarterly report on Form 10-Q.
Universal Display Corporation expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any
forward-looking statements contained herein to reflect any change in
Universal Display Corporation's expectations with regard thereto or any
change in events, conditions, or circumstances on which any such
statements arebased.
Copyright (C) 1999 Business Wire. All rights reserved.
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CONTACT: Universal Display Corporation, Bala Cynwyd
David Castaneda, Investor Relations, 888/721-9090
Web Site: universaldisplay.com
e-mail: udc@mdcgroup.com
WEB PAGE: businesswire.com
GEOGRAPHY: PENNSYLVANIA NEW JERSEY INTERNATIONAL CANADA
INDUSTRY CODE: COMPUTERS/ELECTRONICS
COMED
INTERACTIVE/MULTIMEDIA/INTERNET
EARNINGS
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