Universal Display Corporation today announced its results for the quarter ended June 30, 2008. For the second quarter of 2008, the Company reported a net loss of $5,205,790, or $(0.15) per diluted share, versus a net loss of $5,175,371, or $(0.16) per diluted share, for the second quarter of 2007. For the six months ended June 30, 2008, net loss totaled $9,399,175, or $(0.26) per diluted share, versus a net loss of $9,759,172, or $(0.30) per diluted share for the same period of 2007.
Revenues for the second quarter of 2008 were $2,145,598, compared to $2,315,170 for the second quarter of 2007. Commercial revenue, which includes commercial chemical revenue, license fees and royalty income, increased to $1,395,487 for the quarter, from $392,926 for the second quarter of 2007. Developmental revenue, which includes contract research revenue, technology development revenue and development chemical sales, decreased to $750,111 for the quarter, compared to $1,922,244 for the second quarter of 2007.
For the six-months ended June 30, 2008, the company reported revenues of $4,862,417, compared to $5,329,800 for the same period of 2007. Commercial revenue for the first six months of 2008 increased to $2,950,552, compared to $1,833,826 for the same period of 2007. Developmental revenue for the first six months of the year decreased to $1,911,865, compared to $3,495,974 for the same period of 2007.
"The second quarter continued the trend of revenues transitioning toward the commercial side," said Sidney D. Rosenblatt, Executive Vice President and Chief Financial Officer of Universal Display. "Though government contracts and other developmental work continue to be an important part of our revenue makeup, the volume production and sales of AMOLED displays produced by our licensees, like Samsung SDI, are making up a larger portion of our total revenues. We expect this to continue in coming quarters as production capacity is increased on a number of AMOLED display lines, display manufacturers begin producing new larger-area displays, and the demand for AMOLED displays continues to rise."
Mr. Rosenblatt continued, "As AMOLED displays continue to gain commercial traction and acceptance, we are also excited about the potential for white OLED lighting products. Recently, we announced that our Universal PHOLED(TM) phosphorescent OLED technology had achieved a record-breaking power efficacy for a white OLED of 102 lumens per watt (lm/W) at 1000 cd/m2. We also announced a new contract with the U.S. Department of Energy, and Armstrong World Industries, Inc. as a subcontractor, to develop a ceiling-based OLED lighting system for possible commercial application. Our Universal PHOLED(TM) technology is not only important for the future of displays and lighting, but now it is being applied more broadly in the present as well."
Operating expenses for the second quarter of 2008 were $8,075,543, compared to $8,313,675 for the same period of 2007. Net cash used in operating activities for the second quarter of 2008 was $6,278,728, compared to $6,874,526 for the same quarter of 2007.
The Company's balance sheet remains strong at quarter end, with cash, cash equivalents and investments totalling $79,889,236 as of June 30, 2008, compared to $83,659,657 as of December 31, 2007.
