Universal Display Corporation (UDC) - Page 43

Revenues for the three months ended June 30, 2005 were $3,011,995, compared to $1,472,023 in the second quarter of 2004. The increase in revenues was mainly attributable to increased contract research revenue and development chemical revenue.
Universal Display reported a net loss of $3,189,980 (or $0.11 per share) for the quarter ended June 30, 2005, compared to a net loss of $4,520,272 (or $0.17 per share) for the same quarter in 2004. The decrease in the net loss was primarily attributable to increased revenues during the second quarter.

The results for the quarter reflect increased interest in our OLED technology. This interest was reinforced by the signing of an OLED patent license agreement with Samsung SDI paving the way for Samsung SDI to integrate our PHOLED technology into AMOLED displays, said Sidney Rosenblatt, Chief Financial Officer of Universal Display Corporation.

Universal Display Corporation the Company that's lighting the way in developing and commercializing OLED technology for displays, lighting and other opto-electronics, announced today that it has been awarded a nine-month, $98,894 Small Business Innovation Research (SBIR) Phase I contract by the U.S. Department of Energy (DOE). The goal of this new program is to demonstrate an innovative approach to increase the brightness and power efficiency of white OLED lighting using Universal Display’s proprietary PHOLED™ phosphorescent OLED and OVPD Organic Vapor Phase Deposition technologies.

In this program entitled, High Efficiency White Mesh Phosphorescent OLEDs, the Company will work to increase OLED efficiency and brightness by employing novel emissive layer architectures that are enabled through the use of its proprietary OVPD process technology.

Univeral Display announced a new 6x6 inch white OLED panel that features 30 lm/W - which is the world's most efficient OLED lighting panel to date. UDC's new panel is based on a design that consists of an array of red, green and blue colored stripes. These panels are tunable (by changing the intensity of each primary color).

The 30 lm/W white OLED panel can emit color temperatures between 2900 and 5700 K. The 30 lm/W was achieved at a color temperature of 4000K (like a cool fluorescent lamp). The panel also featured acolor index of over 80 CRI.

Universal Display Corporation announced a fundamental technical achievement in the development of its blue PHOLED phosphorescent OLED technology: a sky blue PHOLED with over 15,000 hours of operating lifetime. This is the first blue PHOLED which has broken through, by an order of magnitude, the 1,000 hour lifetime barrier - a challenge that some people thought might be insurmountable. The announcement was made today at Universal Display's annual shareholders' meeting, held in Philadelphia, PA.

The Company's proprietary blue PHOLED demonstrates a lifetime that exceeds 15,000 hours at 200 cd/m2, and also offers excellent efficiency, a trait for which the Company's PHOLED technology is renowned, with 9.5% external quantum efficiency and 22 cd/A luminous efficiency. With CIE coordinates of (0.16, 0.37) and a 474 nm peak emission wavelength, which is equivalent to a sky blue color, this material system is not yet saturated enough for commercial full-color applications.

Earlier this year, Universal Display had disclosed a deep blue PHOLED. The Company is now continuing its research efforts to unify the deep blue color, efficiency and lifetime in one system to meet the needs of the commercial OLED market.

Universal Display Corporation today announced the development of the world's first high-resolution, active-matrix, transparent OLED (AM-TOLED) display using the Company's PHOLED phosphorescent OLED and TOLED® transparent oled technologies along with amorphous silicon (a-Si) backplane technology developed by Professor Jin Jang at Kyung Hee University in Seoul, Korea.

The development of this high-resolution transparent OLED display is a step toward putting thin, low power, full-motion video displays that provide transparency when turned off into a variety of applications where preserving partial visibility or bi-directionality is important. These include architectural vision glass, entertainment, medical and industrial products, helmet shields for military, Homeland Security, fire and rescue applications, and other applications as yet unimagined.

Universal Display Furthers 'Flexible OLED Initiative' and Expands Prototype Capacity with Full-Color OLED Deposition System for OLED Displays on Plastic, Metallic Foil, and Glass Substrates.

UDC today announced the successful installation and start-up of a novel full-color OLED deposition system at Universal Display's technology development center in Ewing, New Jersey. Designed and built by Tokki Corporation, a leading supplier of OLED manufacturing equipment, working with Hitachi High-Technologies Corporation, a premier Japanese trading company, and using novel features designed by Tokki and Universal Display, the ELVES020C OLED Deposition System can produce OLED displays on both rigid glass and flexible substrates (e.g. metallic foil, and plastic).

This new system is the latest step in Universal Display's program to develop a broad array of technologies for conformable and flexible, full-color, high-resolution OLED displays. Universal Display was recently awarded a new $1.7 million Federal contract to develop flexible OLED display prototypes, bringing the Company's overall funded flexible OLED initiative to $6 million total.

Universal Display Corporation today announced it has been awarded a two-year, $1.7 million Small Business Innovation Research (SBIR) Phase III contract by the U.S. Department of Defense to continue its development of flexible OLED display technology for a next-generation military communications device.

In this Phase III contract, Universal Display is to develop and deliver functional prototypes of a Portable Flexible Communication Display Device. This futuristic communications device will be form-fitted to a soldier's wrist and communicate wirelessly to a nearby computer, thereby enabling soldiers to see crucial video and graphics information in real time.

The device will use a full-color, AMOLED display built on metal foil. The use of metal foil substrates can lead to a rollable, retractable and rugged display with a small and lightweight form factor for use in portable communication devices. Universal Display's FOLED® flexible OLED technology, combined with its TOLED® top-emission OLED technology, enables the use of flexible metal foil as a substrate material. With a 4-inch diagonal screen, the 320 x 240 pixel (QVGA format) AMOLED display will also use Universal Display's proprietary high-efficiency PHOLED™ phosphorescent OLED technology and materials.

Universal Display Corporation a leading developer of OLED technologies for flat panel displays, lighting and other opto-electronic applications, today announced its results of operations for the quarter ended March 31, 2005.

Revenues in the first quarter of 2005 totaled $1.5 million, compared to $2. 1 million for the comparable quarter in 2004. Revenues consisted of $699,056 in government contract research revenue, $444,757 from development and commercial chemical revenue, royalty and license fees totaling $73,255, and $250,000 in technology development revenue from business partners.

For the quarter, Universal Display reported a net loss of $5.0 million, or $0.18 per diluted share, compared to a net loss of $4.1 million, or $0.17 per diluted share for the first quarter of 2004. During the first quarter of 2005, cash used in operating activities was $1.2 million, compared to $1.9 million for the first quarter of 2004.

"Looking ahead, we remain strong from a cash perspective. Our balance sheet strength should serve us well as we drive the commercialization of our OLED technologies."

The agreement paves the way for Samsung SDI to integrate Universal Display's proprietary OLED technologies into Samsung SDI's active-matrix OLED display products.

Samsung SDI said it intends to introduce Universal Display's phosphorescent materials and associated technology in Samsung SDI's initial active-matrix OLED products. According to the company, PHOLEDs have been shown to be up to four times more efficient than traditional fluorescent OLEDs, which is key for lower power consumption, less heat generation and longer operating lifetimes.

"The worldwide market for OLED displays is estimated to grow to $5.2 billion in 2008. We also expect that [Universal Display's] PHOLEDs having more saturated colors and cost saving advantages over the traditional fluorescent OLEDs would lead the OLED manufacturers to introduce OLED displays into the market quickly," he continued

Universal Display's revenues were $7,006,913 for 2004, compared to $6,593,193 for the prior year. Revenues consisted of $2,621,636 in government contract research revenue, $2,484,070 from sales of OLED materials for evaluation purposes, and $1,350,537 in technology development revenue from business partners. The Company also received $147,600 from sales of OLED material for commercial purposes and $403,070 in license fees and royalties.

"We are working with approximately 20 OLED manufacturers to evaluate, develop and qualify our phosphorescent technology and materials for commercial products. We entered into eight new evaluation and technology development agreements in 2004. We also significantly strengthened our balance sheet, ending the year with working capital in excess of $40 million. We believe that our business assets, together with our award winning technology, position us well to capitalize on the emerging OLED market," said Sidney D. Rosenblatt, Chief Financial Officer of Universal Display Corporation.