Universal Display a bright spot after first quarter revenues sparkle

Universal Display Corporation (NASDAQ:OLED), the displays and lighting technology firm, was a bright spot on Friday after announcing results Thursday evening.

The shares added US$21 at US$110.90 after the organic light emitting diode (OLED) technology specialist reported an 87% year-on-year increase in turnover in the first quarter of 2017.

Revenue rose to US$55.6mln from US$29.7mln the previous year on the back of higher material sales as well as royalty and license fees.

Revenue from material sales was up 92% year-on-year while royalty and license fees rose 32%.

Net income increased by US$8.5mln to US$10.4mln, or US$0.22 per diluted share in the first quarter, compared with US$1.9mln or US$0.04 per diluted share in the first quarter of 2016.

The company indicated it expects full year revenues will be somewhere between US$260mln and US$280mln.

“It is an exciting time for the OLED industry. We are encouraged by the momentum that we are seeing from our customers as well as from the supply chain that supports the OLED ecosystem,” said Sidney Rosenblatt, executive cice president and chief financial officer of Universal Display.

“With customers’ mounting investments in new manufacturing capacity and the development of an array of new display and lighting products, we expect our growth trajectory to be positive for the foreseeable future.”

The company announced a dividend of three cents a share.  

Story by ProactiveInvestors