UDC Q1 2017 CC notes - 5/4/17
- Q1 revenue $55.6M, up 87% YoY. Material sales $46.6M, with commercial $35.8M and development $10.8M. They later explained that development materials are new materials that are ramping up and do not reflect what the customer is doing with them.
- Net income $10.4M, .22/sh.
- New 2017 guidance is $260M to $280M, or growth of 30% to 40%. They were emphatic they expect AT LEAST this range, although they did clarify that it is possible it will be under or over this new range.
- Royalties $7M, up 32% YoY.
- Contract revenue $1.9M
- By region, Korea at $47.9M, US at $3.3M, China at $2.4M
- Contract with USC was extended for 3 years on 5/1/17 and they may pay up to $7.2M for this new work.
- Commercial emitter up 61% YoY and QoQ.
- Green emitter $24.5M, up 46% from $16.8M in Q4.
- Red emitter $11.3M up 105% from $5.5M in Q4.
- Maintain GM guidance of 70-75% for the year.
- Blue - "It has been a challenge, but they have made significant progress and they believe they will have a commercial PHOLED blue, but cannot give a timeframe. Their acquired IP is beginning to show a pathway to a commercial blue."
- The ratio of red to green is tracking within their expectations, nothing is amiss.
- On Micro-LED, Sid said it is an interesting research project and they are watching developments. He doesn't sound like he expects it to be an issue.
- Green emitters are being adopted by new mobile customers(plural), but volumes are small!!!!
Cooters
PS Only 2 congrats, Brian Lee from Goldman and Andy Abrams.
