eMagin reports a record first quarter with $8.5 million in revenues

eMagin reported their financial results for Q1 2013 - revenues rose 39% (compared to Q1 2012) to $8.5 million (the company reports record display sales). Net income was $205,000 (compared to a net loss of $452,000 in Q1 20122).

An eMagin OLED microdisplay

The company has around $14.4 in cash or equivalents (they paid a dividend on December 2012). eMagin affirmed their 2013 revenue guidance range of $34 million to $39 million. eMagin quotes insight media with their forecast of the microdisplay market - that is set to grow to almost 24 million units by 2017 (double the expected 12 million units in 2013).

eMagin says they continue to see a significant increase in demand, from both military and commercial customers, for the VGA OLED-XL microdisplay. They are in the final stages of completing an agreement with a new significant military customer. During the quarter they sold 55 design reference kits, out of which 17 were for the new WUXGA and the digital-SVGA displays.

Regarding the camera XGA EVF, they are still reporting good progress, but they now say that shipments are expected in late 2013 or early 2014 (earlier they hoped to start shipping in August 2013). eMagin explains that they actually had two EVF opportunities with the same camera maker. The first one was for an internal EVF, and this is still on track. They also hoped to produce an external EVF for the same company, but they didn't have enough time to complete the module design and so this opportunity was not met.

Regarding the new SNU deposition machine: the company operated both deposition tools, as they are still optimizing the new SNU tool to bring it to its full capabilities. The SNU yield is still lower than expected, but they believe they will manage to achieve the yield they hoped for eventually. The company is also investing in other new equipment - they want to buy a new dye attach tool that will replace a manual process. They are also buying new measurement equipment.

Disclosure: the author of this post holds shares in eMagin

Posted: May 10,2013 by Ron Mertens