For the full year 2014, UDC generated $191 million in revenues (up 30% from 2013) and a net income of $32.7 million (excluding the tax benefit in Q4). In 2014, UDC generated $47.3 million in operating cash flow (compared to $45 million in 2013).
UDC sees 2015 as a transitional year as OLED makers are expected to ramp up OLED TV and flexible panel production, but the timing of investment and expansion is not yet known. The company provided a baseline revenue forecast of $200 million, with a downside risk of 5% and an upside potential of 15%. SDC will pay $60 million in license fees in 2015 (up from $50 million in 2014). They expect host sales to be down in 2015 compared to 2014.
During the conference note, UDC had two interesting remarks. First of all, they said that SDC's planned $3.6 billion OLED expansion plans for 2015-2017 include the A3 Gen-6 flexible OLED line. The A3 line is due to begin production in Q2 2015. I assumed the $3.6 billion investment is in a new line.
In addition, UDC says that there are reports that LG Chem is planning to build a Gen-5 OLED lighting fab in 2017. Total investment in this fab is estimated at around $185 million. Frankly these kinds of reports should be taken with a grain of salt - it's very hard to forecast the OLED lighting market in 2017. While it's great to hear that LG Chem, one of OLED lighting clear leaders, is working on such plans, remember that LG Chem started discussing the Gen-5 line back in 2012 (and the plan was to build it by 2015).
Sources: Seeking Alpha
Disclosure: the author of this post holds some shares in Universal Display