Revenue Performance - Total revenue for Q4 2025 was $172.9 million, a 6.5% increase from $162.3 million in Q4 2024[4] - Revenue from material sales in Q4 2025 was $95.5 million, up from $93.3 million in Q4 2024, driven by higher unit material volume[4] - Revenue from royalty and license fees in Q4 2025 was $72.6 million, compared to $64.4 million in Q4 2024, reflecting increased unit material volume[4] - Full year 2025 total revenue was $650.6 million, slightly up from $647.7 million in 2024[7] - Full year 2025 revenue from material sales decreased to $353.0 million from $365.4 million in 2024, primarily due to changes in customer mix[7] - Full year 2025 revenue from royalty and license fees increased to $275.1 million from $266.8 million in 2024[7] Income and Profitability - Operating income for Q4 2025 was $67.2 million, compared to $52.5 million in Q4 2024, which included $8.9 million in restructuring costs[4] - Net income for Q4 2025 was $66.3 million, or $1.39 per diluted share, up from $46.0 million, or $0.96 per diluted share in Q4 2024[4] - Net income for the year ended December 31, 2025, was $242.1 million, up 9% from $222.1 million in 2024[22] - Operating income for the year ended December 31, 2025, was $248.6 million, an increase of 4.7% from $238.8 million in 2024[22] - Gross margin for Q4 2025 was $131.6 million, compared to $124.9 million in Q4 2024, reflecting a gross margin increase of 5.4%[22] Cash Flow and Dividends - Cash dividends declared per common share increased to $0.45 in Q4 2025 from $0.40 in Q4 2024, representing a 12.5% increase[22] - The company announced a cash dividend of $0.50 per share for Q1 2026, payable on March 31, 2026[11] - Net cash provided by operating activities for the year was $210.8 million, down from $253.7 million in 2024, a decrease of 16.9%[24] - The company reported a net cash used in investing activities of $45.5 million for the year, compared to $164.4 million in 2024[24] - Cash and cash equivalents at the end of 2025 were $138.4 million, up from $99.0 million at the end of 2024[24] Research and Development - Research and development expenses decreased to $38.5 million in Q4 2025 from $46.3 million in Q4 2024, a reduction of 16.0%[22] Future Outlook - The company expects 2026 revenue to be in the range of $650 million to $700 million, reflecting the dynamic OLED industry[10] Accounts Receivable - The company experienced a decrease in accounts receivable by $6.3 million in 2025, contrasting with an increase of $26.2 million in 2024[24]

Group 1 - The company UDC has increased its first quarter 2026 cash dividend to $0.50 per common share, up from $0.45 per share in the previous quarter [1]

Peregrine Investment Management is a relatively small investment management firm, with just 19 holdings and $161 million in assets under management. And Universal Display isn’t the only stock it dropped between the third and fourth quarters of 2025. For example, it also liquidated a sizable holding in Circle Internet Group , a payment technology company and stablecoin issuer, which had been its third-largest position as of Nov. 6. In all, the firm’s assets under management dipped by $42.5 million dollars, o ...

Key Takeaways GLW has surged 154.5% in a year and trades at a lower forward price/sales ratio than OLED.GLW's 2026 sales and EPS are projected to rise 10.4% and 21.8%, with estimates trending upward.Universal Display holds 6,500 patents, but 2025 sales and EPS growth are forecast at just 0.5% and 0.2%.Corning Incorporated (GLW) and Universal Display Corporation (OLED) are key technology firms focusing on advanced display technologies. Corning is a leading innovator in the glass substrate industry. In additi ...

Core Insights - Wall Street analysts expect Universal Display Corp. (OLED) to report quarterly earnings of $1.28 per share, reflecting a year-over-year increase of 4.9% [1] - Revenues are projected to be $173.25 million, which is a 6.8% increase from the same quarter last year [1] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analysts' projections [1] Revenue Breakdown - Analysts estimate 'Revenue- Material sales' will reach $95.47 million, representing a 2.4% increase from the prior-year quarter [4] - 'Revenue- Contract research services' is expected to be $5.46 million, indicating an 18.3% increase from the prior-year quarter [4] - 'Revenue- Royalty and license fees' is projected to arrive at $72.31 million, reflecting a 12.3% increase from the year-ago quarter [5] Market Performance - Universal Display shares have shown a return of +7.4% over the past month, contrasting with the Zacks S&P 500 composite's -1.7% change [5] - The company holds a Zacks Rank 3 (Hold), suggesting it is expected to perform in line with the overall market in the near future [5]

Core Viewpoint - Universal Display Corp. (OLED) shares experienced a 3% increase, closing at $129.53, following a period of 0.2% loss over the past four weeks, indicating a potential shift in market sentiment towards the stock [1] Group 1: Company Performance - The recent stock uptrend is attributed to Universal Display's focus on research and development of next-generation OLED materials, enhancing customer collaboration and brand loyalty [2] - The company is expected to report quarterly earnings of $1.28 per share, reflecting a year-over-year increase of 4.9%, with revenues projected at $173.25 million, up 6.8% from the previous year [4] - The consensus EPS estimate for the quarter has remained unchanged over the last 30 days, suggesting that stock price movements may stabilize unless earnings estimate revisions occur [5] Group 2: Market Opportunities - The automotive industry presents significant growth opportunities, with major automakers like Audi and Lotus integrating OLED technology into their vehicles, enhancing design flexibility and picture clarity [3] - The IT market is anticipated to be a key growth driver in the near term, while consumer electronics, including AI PCs and OLED devices, are expected to fuel long-term growth [3]

Group 1 - Universal Display Corporation will report its 4Q25 and FY25 results on February 19, 2026 [1] - The company will host an earnings conference call at 5:00 p.m. ET on the same day [1]

Market Overview - The OLED market is currently characterized by three primary end markets: smartphones, TVs, and the IT market [3] Smartphone Market - In the smartphone segment, the penetration rate of OLED technology has surpassed a significant threshold, indicating strong adoption [3] TV Market - The TV market is also a key area for OLED technology, although specific penetration rates were not detailed in the provided content [3] IT Market - The IT market represents another important segment for OLED, contributing to the overall growth and adoption of the technology [3]

Summary of Universal Display Corp FY Conference Call Industry Overview - **OLED Market Penetration**: - Smartphones: Over 60% penetration, with growth driven by premium and mid-tier models adopting OLED displays. Foldable smartphones are expected to further boost this market due to increased surface area [5][6]. - TVs: Currently at approximately 3% penetration in the overall TV market, with LG Display being a major player. Growth is anticipated as more consumers adopt OLED TVs [7]. - IT Market: Only about 5% penetration, but significant growth is expected as OEMs invest in OLED displays for tablets, laptops, and monitors [8][11]. Key Market Dynamics - **Smartphone Growth**: Continued growth is projected as more mid-tier and low-end models convert to OLED. The introduction of foldable smartphones is seen as a major opportunity for Universal Display Corp (UDC) [6][7]. - **TV Market Challenges**: The OLED TV market faces challenges due to consumer price sensitivity and competition from premium LCDs. However, the narrowing price gap between OLED and LCD TVs is expected to drive further adoption [14][15][39]. - **IT Market Momentum**: The IT market is gaining momentum with new capacity coming online, and many OEMs are planning to introduce OLED displays into their products [8][11][20]. Capacity Investments - **New Fabs**: Samsung and BOE are investing over $12 billion collectively in new 8.6 Gen capacity for the IT market, expected to come online in Q2 and Q3 of 2026. This new capacity is anticipated to provide a significant tailwind for UDC [21][22]. - **Future Capacity**: Additional investments from Visionox and China Star are expected to come online in 2027-2028, which may present revenue opportunities for UDC in the future [25][26]. Technological Developments - **Tandem Architecture**: Tandem displays, which use two emissive layers, are being adopted in IT products for better brightness and longevity. This technology is expected to increase material usage by 1.5 to 2 times compared to single-layer products [28][29]. - **Phosphorescent Blue**: The introduction of phosphorescent blue materials is projected to enhance energy efficiency by up to 25%. LG Display has showcased this technology, indicating a growing interest in high-efficiency blue materials [42][43]. Competitive Landscape - **Local Competition in China**: Increased competition from local suppliers in China is noted, but UDC maintains a strong position due to its extensive patent portfolio and ongoing partnerships with major players [55][56]. Financial Outlook - **Revenue Growth**: UDC expects growth in 2026, driven by increased demand for OLED materials, particularly in the IT market. The company is monitoring various factors, including component prices, that could impact demand [36][58]. - **Capital Allocation**: UDC has a strong cash position of approximately $1 billion and is focused on investing in IP, returning capital to shareholders, and exploring growth opportunities through acquisitions [62][63]. Conclusion - UDC is well-positioned to capitalize on the growing OLED market across smartphones, TVs, and IT products. The company is actively investing in new technologies and capacity to meet increasing demand while navigating competitive pressures and market dynamics.

Core Insights - Universal Display Corporation has entered into new long-term OLED material supply and license agreements with Tianma, reinforcing their partnership and commitment to advancing OLED innovation globally [2][3][4] Group 1: Agreements and Collaboration - The agreements allow Universal Display to supply its proprietary UniversalPHOLED phosphorescent OLED materials and advanced technologies to Tianma, supporting the development of next-generation OLED displays [3][4] - Management emphasized the successful collaboration with Tianma, highlighting a shared vision for sustainable and energy-efficient display solutions [4][9] Group 2: Market Position and Technology - Universal Display is a leading provider of OLED technology, which is expected to replace LED and LCD technologies due to its energy efficiency and superior display characteristics [5][6] - The company's UniversalPHOLED technology is four times more efficient than fluorescent OLEDs, providing a competitive edge in the market [6] Group 3: Financial Outlook - Universal Display anticipates revenues between $650 million and $700 million for 2025, an increase from previous forecasts, with a gross margin projected at 76-77% [7] - Despite geopolitical uncertainties, management remains optimistic about long-term growth driven by increasing OLED adoption in various consumer electronics [7][9] Group 4: Stock Performance - Universal Display currently holds a Zacks Rank of 3 (Hold), with shares declining 19% over the past year, contrasting with the 49.4% growth of the Zacks Electronics - Miscellaneous Components industry [8]