<PAGE>
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2000
( ) TRANSITION REPORT UNDER SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from ________ to _________
Commission File No. 0-28146
UNIVERSAL DISPLAY CORPORATION
-----------------------------------------------------
(Exact name of registrant as specified in its charter)
PENNSYLVANIA 23-2372688
------------------------------- -------------------
(State or other jurisdiction of (I.R.S. Employer
Incorporation or organization) Identification No.)
375 Phillips Boulevard Ewing, New Jersey 08618
------------------------------------------ ----------
(Address of principal executive offices) (Zip Code)
(609) 671-0980
--------------------------------------------------
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant: (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports) and (2) has been subject to such
filing requirements for the past 90 days.
Yes X No
APPLICABLE ONLY TO CORPORATE ISSUERS
Indicate the number of shares outstanding of each of the issuer's classes of
Common Stock, as of the latest practicable date: As of May 8, 2000, the
registrant had outstanding 15,040,636 shares of common stock, par value $.01 per
share.
<PAGE>
INDEX PAGE
- ------ ----
Part I - Financial Information
Item 1. Financial Statements
Consolidated Balance Sheets -
March 31, 2000 (unaudited) and December 31, 1999 3
Consolidated Statements of Operations -
Three months ended March 31, 2000 and 1999,
and inception to March 31, 1999 (unaudited) 4
Consolidated Statements of Cash Flows -
Three months ended March 31, 2000 and 1999,
and inception to March 31, 1999 (unaudited) 5
Notes to Consolidated Financial Statements (unaudited) 6-8
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 9-10
Item 3. Quantitative and Qualitative Disclosures
About Market Risk 10
Part II - Other Information
Item 6. Exhibits and Reports on Form 8-K. 10
<PAGE>
PART I.
FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARY
(a development-stage company)
CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
ASSETS March 31, 2000 December 31, 1999
(unaudited)
------------ ------------
<S> <C> <C>
CURRENT ASSETS:
Cash and cash equivalents (See Note 2) $ 4,578,378 $ 1,558,473
Short-term investments (See Note 2) 4,119,377 4,300,060
Contract research receivables 40,761 267,423
Prepaid consulting fee 102,615 204,677
Other current assets 208,559 248,041
------------ ------------
Total current assets 9,049,690 6,578,674
PROPERTY AND EQUIPMENT, net of accumulated
depreciation of $255,639 and $123,600 3,987,663 3,679,965
DEPOSITS 58,211 58,211
------------ ------------
Total assets $13,095,564 $10,316,850
============ ============
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 709,433 $ 651,837
Accrued expenses 212,517 218,522
----------- ------------
921,650 870,359
CAPITAL LEASES 19,205 20,021
SHAREHOLDERS' EQUITY
Preferred Stock, par value $0.01 per share,
5,000,000 shares authorized, 200,000 shares
designated Series A Nonconvertible Preferred
Stock, par value $.01 per share, 200,000 issued
and outstanding (liquidation value of $7.50 per share
or $1,5000,000) 2,000 2,000
Common Stock, par value $.01 per share, 25,000,000 shares
authorized, 14,919,193 and 13,714,563 issued and
outstanding 149,192 137,146
Additional paid-in capital 32,505,809 27,986,667
Deficit accumulated during development-stage (20,502,592) (18,699,343)
------------ ------------
Total shareholders' equity 12,154,409 9,426,470
------------ ------------
Total liabilities and shareholders' equity $ 13,095,564 $ 10,316,850
============ ============
</TABLE>
The accompanying notes are an integral part of these statements.
3
<PAGE>
UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARY
(a development-stage company)
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
<TABLE>
<CAPTION>
Period from Inception
Three Months Ended (June 17, 1994) to
March 31, March 31, 2000
-------------------- --------------
2000 1999
---- ----
<S> <C> <C> <C>
REVENUE:
Contract research revenue $ 5,909 $ 117,233 $ 987,844
----------- ---------- ------------
OPERATING EXPENSES:
Research and development (See Note 3) 940,606 341,708 12,761,702
General and administrative 928,302 389,490 9,525,546
----------- ---------- ------------
Total operating expenses 1,868,908 731,198 22,287,248
----------- ---------- ------------
Operating loss (1,862,999) (613,965) (21,299,404)
INTEREST INCOME 59,750 20,099 796,812
----------- ---------- ------------
NET LOSS $(1,803,249) $ (593,866) $(20,502,592)
----------- ---------- ------------
BASIC AND DILUTED NET LOSS PER
COMMON SHARE $ (.12) $ (.06)
----------- ----------
WEIGHTED AVERAGE SHARES USED
IN COMPUTING BASIC AND DILUTED
NET LOSS PER COMMON SHARE 14,579,193 10,324,455
---------- ----------
</TABLE>
The accompanying notes are an integral part of these statements.
4
<PAGE>
UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARY
(a development-stage company)
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
<TABLE>
<CAPTION>
Three Months Period from Inception
Ended March 31, (June 17, 1994) to
2000 1999 March 31, 2000
---- ---- ---------------------
<S> <C> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Loss $(1,803,249) $(593,866) $(20,502,592)
Depreciation 132,039 2,642 255,639
Issuance of Common Stock options and warrants -- -- 765,330
Issuance of Common Stock and warrants in connection
with amended research and license agreements -- -- 3,120,329
Issuance of Common Stock in connection with executive
compensation -- -- 423,220
Acquired in-process technology -- -- 350,000
Adjustments to reconcile net loss to net cash used
in operating activities:
(Increase) decrease in assets:
Contract research receivables 226,662 (30,144) (40,761)
Other current assets 141,544 31,148 22,152
Deposits -- (40,000) (58,211)
Increase (decrease) in liabilities:
Accounts payable and accrued expenses 51,591 (182,564) 921,650
Payable to related parties -- -- 250,000
--------- --------- -----------
Net cash used in operating activities $(1,251,413) (812,784) $(14,493,244)
--------- --------- -----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of equipment (331,987) (3,388) (3,684,531)
Purchases of short-term investments (1,455,419) -- (16,952,801)
Proceeds from sale of short-term investments 1,636,102 -- 12,833,424
--------- --------- -----------
Net cash used in investing activities (151,304) (3,388) (7,803,908)
--------- --------- -----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of Common Stock -- -- 16,259,788
Proceeds from the exercise of Common Stock
Options and Warrants 4,423,438 345,639 10,616,558
Principal payments on Capital Lease (816) -- (816)
--------- --------- -----------
Net cash provided by financing activities 4,422,622 -- 26,875,530
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 3,019,905 (470,533) 4,578,378
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 1,558,473 1,828,381 --
--------- --------- -----------
CASH AND CASH EQUIVALENTS, END OF PERIOD $4,578,378 $1,357,848 $ 4,578,378
--------- --------- -----------
</TABLE>
The accompanying notes are an integral part of these statements.
5
<PAGE>
UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARY
(a development-stage company)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)
NOTE 1. - BACKGROUND
Universal Display Corporation (the "Company"), a development-stage company, is
engaged in the research and development and commercialization of organic light
emitting diode ("OLED") technology for flat panel display applications.
The Company, formerly known as Enzymatics, Inc. ("Enzymatics"), was incorporated
under the laws of the Commonwealth of Pennsylvania on April 24, 1985 and
commenced its current business activities on August 1, 1994. UDC Inc., a wholly
owned subsidiary of the Company and a New Jersey corporation, formerly known as
Universal Display Corporation ("UDC"), was incorporated under the laws of the
State of New Jersey on June 17, 1994.
Research and development of the OLED technology is being conducted at the
Advanced Technology Center for Photonics and Optoelectronic Materials at
Princeton University and at the University of Southern California ("USC") (on a
subcontract basis with Princeton University), pursuant to a Sponsored Research
Agreement dated August 1, 1994, as amended (the "1994 Sponsored Research
Agreement"), originally between the Trustees of Princeton University ("Princeton
University") and American Biomimetics Corporation ("ABC"), a privately held
Pennsylvania corporation and affiliate of the Company. In October 1997, the
Company entered into a new 5-year Sponsored Research Agreement (the "1997
Sponsored Research Agreement") for OLED technology (see Note 3). Pursuant to a
license agreement dated August 1, 1994 (the "1994 License Agreement") between
Princeton University and ABC, assigned to the Company by ABC in June 1995, the
Company has a worldwide exclusive license to manufacture and market products
based on Princeton University's pending patent application relating to the OLED
technology and the right to obtain a similar license to inventions conceived or
discovered under the 1994 Sponsored Research Agreement and to sublicense such
rights. In October 1997, the Company amended the 1994 License Agreement (the
"1997 Amended License Agreement") in which certain terms were modified (see Note
3). The Company is also engaged in research, development and commercialization
activities at its 11,000 square foot facility, which is leased in Ewing, NJ. The
Company moved its operations to this facility in the fourth quarter of 1999.
The Company is a development-stage entity with no significant operating activity
to date. Expenses incurred have primarily been in connection with research and
development funding, patent expense, obtaining financing and administrative
activities. The developmental nature of the activities is such that significant
inherent risks exist in the Company's operations. Completion of the
commercialization of the Company's technology will require funds substantially
greater than the Company currently has available. There can be no assurance that
such financing will be available to the Company when needed, on commercially
reasonable terms or at all. The Company anticipates, based on management's
internal forecasts and assumptions relating to its operations, that it has
sufficient cash to meet its obligations for at least the end of the fiscal year.
To the extent that Princeton University's research efforts do not result in the
development of commercially viable applications for the OLED technology, the
Company will not have any meaningful operations. Even if a product incorporating
the OLED technology is developed and introduced into the marketplace, additional
time and funding may be necessary before significant revenues are realized.
While the Company funds the OLED technology research, the scope of and technical
aspects of the research and the resources and efforts directed to such research
is subject to the control of Princeton University and the principal
investigators. Accordingly, the Company's success is dependent on the efforts of
Princeton University and the principal investigators. The 1997 Sponsored
Research Agreement provides that if certain of the principal investigators are
unavailable to continue to serve as a principal investigator, because such
person is no longer associated with Princeton University or otherwise, and a
successor acceptable to both the Company and Princeton University is not
available, the 1997 Sponsored Research Agreement will terminate.
6
<PAGE>
NOTE 2. - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY FINANCIAL INFORMATION AND RESULTS OF OPERATIONS
INTERIM FINANCIAL INFORMATION
In the opinion of the Company, the accompanying unaudited Consolidated Financial
Statements contain all adjustments (consisting of only normal recurring
adjustments) necessary to present fairly the financial position as of March 31,
2000, the results of operations for the three months ended March 31, 2000 and
1999, and the cash flows for the three months ended March 31, 2000 and 1999.
While the Company believes that the disclosures presented are adequate to make
the information not misleading, these Consolidated Financial Statements should
be read in conjunction with the Consolidated Financial Statements and the notes
in the Company's latest year-end financial statements, which were included in
the Company's Annual Report Form 10-K for the year ended December 31, 1999.
PRINCIPLES OF CONSOLIDATION
The Consolidated Financial Statements include the accounts of the Company and
its wholly owned subsidiary, UDC, Inc. All significant intercompany transactions
and accounts have been eliminated.
MANAGEMENT'S USE OF ESTIMATES
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates.
CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS
The Company considers all highly liquid debt instruments purchased with an
original maturity of three months or less to be cash equivalents. Investments
are carried at market value, and at March 31, 2000 and December 31, 1999, are
classified as short-term investments. At March 31, 2000 and December 31, 1999,
all of the Company's investments are classified as available for sale pursuant
to Statement of Financial Accounting Standards No. 115, "Accounting for Certain
Investments in Debt and Equity Securities," (SFAS 115). Therefore, any
unrealized holding gains or losses should be presented as a separate component
of shareholders' equity. At March 31, 2000 and December 31, 1999, unrealized
holding gains or losses were not material.
PROPERTY AND EQUIPMENT
Property and equipment is stated at cost and depreciated on a straight-line
basis over 3 to 7 years office and lab equipment, furniture and fixtures, and
the lease term for leasehold improvements. Repair and maintenance costs are
charged to expense as incurred. Additions and betterments are capitalized.
NET LOSS PER COMMON SHARE
The Company applies Statement of Financial Accounting Standards No. 128 ("SFAS
128"), "Earnings per Share" to compute net loss per share. SFAS 128 requires
dual presentation of basic and diluted earnings per share ("EPS") for complex
capital structures on the face of the Statements of Operations. Basic EPS is
computed by dividing net income by the weighted-average number of common shares
outstanding for the period. Diluted EPS reflects the potential dilution from the
exercise of conversion of securities into common stock. For the years ended
December 31, 1999 and 1998 the effects of the exercise of outstanding
stock options and warrants were excluded from the calculation of diluted EPS
because their effect was antidilutive.
RESEARCH AND DEVELOPMENT
Expenditures for research and development expense are charged to operations as
incurred.
7
<PAGE>
RECENT ACCOUNTING PRONOUNCEMENTS
Effective with the year ended December 31, 1999, the Company was subject to the
provisions of Statement of Position ("SOP") 98-1, "Accounting for the Costs of
Computer Software Development or Obtained for Internal Use" and SOP 98-5,
"Reporting on the Costs of Start-up Activities." SOP 98-1 provides guidance on
accounting for computer software developed or obtained for internal use
including the requirement to capitalize specified costs and the amortization of
such costs. SOP 98-5 provides guidance on the financial reporting of start-up
activities and organization costs. It requires costs of start-up activities and
organization costs to be charged to expense as incurred. The adoption of SOP
98-1 and SOP 98-5 did not have a material impact on the Company's financial
position or results of operations.
In December 1999, the Securities and Exchange Commission staff issued Staff
Accounting Bulletin No. 101, "Revenue Recognition in Financial Statements" ("SAB
101"). The Bulletin draws on existing accounting rules and provides specific
guidance on how those accounting rules should be applied. SAB 101 is effective
for fiscal years beginning after December 15, 1999. The Company is evaluating
SAB 101 and the effect it may have on its financial statements. At this time,
the Company believes that SAB 101 will not have a material impact on its
financial position or results of operations.
NOTE 3. - SPONSORED RESEARCH AGREEMENT WITH PRINCETON UNIVERSITY
On October 9, 1997, the Company entered into a new 5-year Sponsored Research
Agreement (the "1997 Sponsored Research Agreement"), with Princeton University
and entered into an Amended License Agreement with Princeton University and USC
amending its 1994 License Agreement with Princeton University (the "1997 Amended
License Agreement"). The 1997 Sponsored Research Agreement continues and expands
the sponsored research, which commenced in 1994 (the "1994 Sponsored Research
Agreement") under which the Company funds additional research and development
work at Princeton University (and at USC under a subcontract with Princeton
University) in OLED technology. The 1997 Sponsored Research Agreement requires
the Company to pay up to $4.4 million commencing on July 31, 1998 through July
31, 2002, which period is subject to extension. The amounts due to Princeton
University will be charged to expense when paid by the Company. Under the 1997
License Agreement, the Company has the exclusive worldwide license to
manufacture and market products, and to sublicense those rights, based on
Princeton University's and USC's pending patent applications relating to the
OLED technology and conceived under the 1994 Sponsored Research Agreement, and
to inventions conceived or discovered under the 1997 Sponsored Research
Agreement. The Company is required to pay Princeton University a royalty in the
amount of 3% of the Company's net sales of products utilizing the OLED
technology. In circumstances where the Company sublicenses the OLED technology
(except to affiliates), the royalty required to be paid by the Company was
reduced from 50% to 3%. These royalty rates are subject to upward adjustments
under certain conditions. In order to protect Princeton University's tax exempt
status, the 1997 License Agreement provides that Princeton University may, in
its sole discretion, determine whether, pursuant to the provisions of the Tax
Reform Act of 1986, it is required to negotiate the royalties and other
considerations payable to Princeton University on products not reasonably
conceivable by the parties at the time of execution of the 1994 License
Agreement. If Princeton University reasonably concludes that the consideration
payable by the Company for any such product is not fair and competitive,
Princeton University may exercise its right to renegotiate the royalties and
other consideration payable by the Company for any such product prior to the
expiration of 180 days after the first patent is filed or other intellectual
property protection is sought. The Company has the right to commence arbitration
proceedings to challenge Princeton University's exercise of such renegotiation
rights. If the parties are unable to agree to royalties and other consideration
for such products within a specified period of time, then Princeton University
is free to license third parties without repayment of any funds provided under
the 1997 Sponsored Research Agreement. In connection with the 1997 License
Agreement and 1997 Sponsored Research Agreement, in October 1997, the Company
issued 140,000 Common Shares and 175,000 warrants to purchase Common Stock to
Princeton University as well as 60,000 Common Shares and 75,000 warrants to
purchase Common Stock to USC.
8
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
This document contains certain forward-looking statements that are
subject to risks and uncertainties. Forward-looking statements include certain
information relating to forecasts regarding the Company's future working capital
needs and the extension of agreements relating to the Company's intellectual
property, as well as information contained elsewhere in this Report where
statements are preceded by, followed by or include the words "believes",
"expects", "anticipates", "potential" or similar expressions. For such
statements, the Company claims the protection of the safe harbor for
forward-looking statements contained in the Private Securities Litigation Reform
Act of 1995. Actual events or results may differ materially from those discussed
in forward-looking statements as a result of various factors, including without
limitation, those discussed elsewhere herein.
GENERAL
Since inception, the Company has been engaged, and for the foreseeable future
expects to continue to be engaged, exclusively in funding research and
development activities related to the OLED technology and attempting to
commercialize such technology. To date, the Company has not generated any
significant revenues and does not expect to generate any meaningful revenues for
the foreseeable future and until such time, if ever, as it successfully
demonstrates that the OLED technology is commercially viable for one or more
flat panel display applications and enters into license agreements with third
parties with respect to the technology. The Company has incurred significant
losses since its inception, resulting in an accumulated deficit of $20,502,592
at March 31, 2000. The rate of loss is expected to increase as the Company's
activities increase and losses are expected to continue for the foreseeable
future and until such time, if ever, as the Company is able to achieve
sufficient levels of revenue from the commercial exploitation of the OLED
technology to support its operations.
RESULTS OF OPERATIONS
Three Months Ended March 31, 2000 Compared to Three Months Ended March 31, 1999
The Company had a net loss of $1,803,249 (or $.12 per share) for the quarter
ended March 31, 2000 compared to a loss of $593,866 or ($.06 per share) for the
same period in 1998. The increase in the net loss was attributed to increased
research and development and increased general and administrative costs. The
Company earned $5,909 from contract research revenue in the quarter ended March
31, 2000 compared to $117,233 for the same period in 1999. 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),
which is substantially complete at this time.
Research and development costs were $940,606 for the quarter ended March 31,
2000 compared to $341,708 for the same period in 1999. Research and development
costs were higher in 2000 compared to 1999 primarily because of the commencement
of research and development activities and operations being performed at the
Company's new facility and the expansion of the Company's research and
development team. The increase in research and development costs is also
attributed to the increase in patent expenses. In 1999, research and development
costs consisted primarily of research being performed at Princeton University
and by employees of the Company and patent expenses. General and administrative
costs were $928,302 for the quarter ended March 31, 2000 compared to $389,490
for the same period in 1999. General and administrative costs were higher in
2000 compared to 1999 primarily because of the expansion of operations in the
new facility.
Liquidity and Capital Resources
As of March 31, 2000, the Company had cash and cash equivalents of $4,578,378
and short-term investments of $4,119,377 compared to cash and cash equivalents
of $1,558,473 and short-term investments of $4,300,060 at December 31, 1999.
During the first quarter, warrants and options to purchase 1,075,000 shares of
the Company's Common Stock were exercised, resulting in cash proceeds of
$4,423,438.
In April 1999, publicly-traded warrants to purchase shares of the Company's
Common Stock were exercised resulting in net cash proceeds of approximately
$4,000,000 to the Company. The remaining warrants expired unexercised. In May
1999, the Company completed a private placement, and issued 1,414,034 shares of
common stock and warrants resulting in net proceeds of $4,792,797. Also in 1999,
the Company completed the construction of its new facility in Ewing, New Jersey.
Costs incurred and paid in 1999 relating to the construction and purchase of
equipment for the new facility amounted to $3,229,101.
9
<PAGE>
The Company anticipates, based on management's internal forecasts and
assumptions relating to its operations (including assumptions regarding working
capital requirements of the Company, the progress of research and development,
the availability and amount of other sources of funding available to Princeton
University for research relating to the OLED technology and the timing and costs
associated with the preparation, filing and prosecution of patent applications
and the enforcement of intellectual property rights) that it has sufficient cash
to meet its obligations until at least the end of the current fiscal year.
Management believes that additional financing sources for the Company include
long-term and short-term borrowings, public and private equity and the exercise
of warrants. The 1997 Sponsored Research Agreement requires the Company to pay
up to $4.4 million to Princeton University from July 1998 through July 2002,
which period is subject to extension. Substantial additional funds will be
required thereafter for the research, development and commercialization of OLED
technology, obtaining and maintaining intellectual property rights, working
capital and other purposes, the timing and amount of which is difficult to
ascertain. There can be no assurance that additional funds will be available
when needed, or if available, on commercially reasonable terms.
To date, the Company has not experienced any material Year 2000 issues. The
Company has not spent a material amount of funds on Year 2000 issues, and
currently believes all systems are Year 2000 compliant. The Company will
continue to monitor for any Year 2000 issues.
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.
The Company does not utilize financial instruments for trading purposes and
holds no derivative financial instruments which could expose the Company to
significant market risk. The Company's primary market risk exposure with regard
to financial instruments is to changes in interest rates.
10
<PAGE>
PART II.
OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS.
None.
ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS.
None
ITEM 3. DEFAULTS UPON SENIOR SECURITIES.
None.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
None.
ITEM 5. OTHER INFORMATION.
None.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(A) EXHIBITS:
Exhibit Number
27 Financial Data Schedule
(B) REPORTS ON FORM 8-K:
None to report.
11
<PAGE>
SIGNATURES
In accordance with the requirements of the Securities Exchange Act of 1934, the
registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
UNIVERSAL DISPLAY CORPORATION
/s/ Sidney D. Rosenblatt
Date: May 15, 2000 -------------------------------
Sidney D. Rosenblatt
(Executive Vice President, Chief
Financial Officer, Treasurer and
Secretary)
12
<PAGE>
EXHIBIT INDEX
Exhibit Sequential
Number Description Page No.
- ------ ----------- --------
27 Financial Data Schedule 15
13
<PAGE>
May 12, 2000
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549
Re: Quarterly Report of Universal Display Corporation on Form 10-Q
Ladies and Gentlemen:
Enclosed for filing on behalf of Universal Display Corporation is a copy of the
Quarterly Report of Universal Display Corporation on Form 10-Q for the period
ended March 31, 2000.
Sincerely,
Sidney D. Rosenblatt
Executive Vice President and Chief Financial Officer
SDR
Enclosure
cc: Steven V. Abramson
Stephen M. Goodman, Esq.
Alan Singer, Esq.
14
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-2000
<PERIOD-START> JAN-01-2000
<PERIOD-END> MAR-31-2000
<CASH> 4,578,378
<SECURITIES> 4,119,377
<RECEIVABLES> 40,761
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 9,049,690
<PP&E> 4,243,302
<DEPRECIATION> 255,639
<TOTAL-ASSETS> 13,095,564
<CURRENT-LIABILITIES> 921,564
<BONDS> 0
0
2,000
<COMMON> 149,192
<OTHER-SE> 12,003,217
<TOTAL-LIABILITY-AND-EQUITY> 13,095,564
<SALES> 5,909
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> 1,868,908
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (1,803,249)
<INCOME-TAX> 0
<INCOME-CONTINUING> (1,803,249)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (1,803,249)
<EPS-BASIC> (0.12)
<EPS-DILUTED> (0.12)
</TABLE>
