Earnings release
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Exhibit 99.1 Press Release Universal Display Contact: Darice Liu investor@oled.com media@oled.com +1 609-964-5123 Universal Display Corporation Announces Third Quarter 2026 Financial Results EWING, N.J. – October 28, 2026 – Universal Display Corporation (Nasdaq: OLED), a global leader in energy- efficient OLED technologies and materials, today reported financial results for the third quarter ended September 30, 2026. “The third quarter saw important advancements across our innovation portfolio, in addition to continued momentum across the OLED ecosystem, from investments in new OLED capacity and the expansion of foldable and IT OLED products,” said Brian Millard, Chief Financial Officer of Universal Display Corporation. “During the quarter, we introduced OLEDX, advanced our phosphorescent blue program, expanded our AI-enabled materials discovery capabilities, and achieved a key commercialization milestone with the launch of UVJC’s first equipment platform. As OLED adoption broadens across new products, applications and form factors, we see the industry becoming increasingly focused on higher performance, greater power efficiency and enhanced user experiences. These evolving requirements align with our innovation strategy and reinforce our confidence in the long-term opportunities for our technologies and the value we believe they can create for customers and shareholders.”
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Financial Highlights for the Third Quarter of 2026 • Total revenue in the third quarter of 2026 was $160.4 million as compared to $139.6 million in the third quarter of 2025. • Revenue from material sales was $79.7 million in the third quarter of 2026 as compared to $82.6 million in the third quarter of 2025. The decrease was primarily due to changes in customer mix and a $4.8 million unfavorable period-over-period change in the cumulative catch-up adjustment, primarily attributable to material fees, partially offset by higher unit material volume. • Revenue from royalty and license fees was $75.5 million in the third quarter of 2026 as compared to $53.3 million in the third quarter of 2025. The increase was primarily the result of higher unit material volume, changes in customer mix and a $9.5 million out-of-period adjustment that reduced prior-year royalty and license fees revenue. • Cost of material sales was $39.6 million in the third quarter of 2026 as compared to $32.8 million in the third quarter of 2025. • Total gross margin was 73% in the third quarter of 2026 as compared to 75% in the third quarter of 2025. • Operating income was $53.7 million in the third quarter of 2026 as compared to $43.1 million in the third quarter of 2025. • Other income, net was $37.3 million in the third quarter of 2026 as compared to $952,000 in the third quarter of 2025, primarily due to a $28.9 million gain related to a UDC Ventures investment, and a $7.2 million foreign currency gain on a tax receivable denominated in Korean won. • The effective income tax rate was 20.4% in the third quarter of 2026 as compared to 18.7% in the third quarter of 2025. • Net income was $78.9 million or $1.72 per diluted share in the third quarter of 2026 as compared to $44.0 million or $0.92 per diluted share in the third quarter of 2025. • Non-GAAP adjusted net income, which excludes the $28.9 million gain on the UDC Ventures investment and the related income tax expense, was $56.2 million or $1.23 per diluted share in the third quarter of 2026.
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Revenue Comparison ($ in thousands) Three Months Ended September 30, 2026 2025 Material sales $79,709 $82,634 Royalty and license fees 75,495 53,317 Contract research services 5,228 3,662 Total revenue $160,432 $139,613 Cost of Materials Comparison ($ in thousands) Three Months Ended September 30, 2026 2025 Material sales $79,709 $82,634 Cost of material sales 39,588 32,817 Gross margin on material sales 40,121 49,817 Gross margin as a % of material sales 50% 60%
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Financial Highlights for the First Nine Months of 2026 • Total revenue in the first nine months of 2026 was $454.8 million as compared to $477.7 million in the first nine months of 2025. • Revenue from material sales was $229.6 million in the first nine months of 2026 as compared to $257.4 million in the first nine months of 2025. The decrease was primarily due to changes in customer mix, an $8.5 million unfavorable period-over-period change in the cumulative catch-up adjustment for material sales and lower unit material volume. The $8.5 million unfavorable period-over-period change in the cumulative catch-up adjustment was primarily attributable to product mix changes forecasted over the respective remaining lives of certain customer contracts. • Revenue from royalty and license fees was $210.9 million in the first nine months of 2026 as compared to $202.6 million in the first nine months of 2025. The increase was primarily the result of an $11.1 million favorable period-over-period change in the cumulative catch-up adjustment for royalty and license fees and a $7.1 million out-of-period adjustment that reduced prior-year royalty and license fees revenue, partially offset by lower unit material volume and changes in customer mix. The $11.1 million favorable period-over-period change in the cumulative catch-up adjustment was primarily attributable to an increase in the average royalty and license fees price per gram due to lower anticipated demand from certain customers over the respective remaining lives of their contracts. • Cost of material sales was $106.0 million in the first nine months of 2026 as compared to $100.9 million in the first nine months of 2025.
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• Total gross margin was 74% in the first nine months of 2026 as compared to 76% in the first nine months of 2025. • Operating income was $150.1 million in the first nine months of 2026 as compared to $181.3 million in the first nine months of 2025. • Other income, net was $30.0 million in the first nine months of 2026 as compared to $6.9 million in the first nine months of 2025, primarily due to a $28.9 million gain related to a UDC Ventures investment. • The effective income tax rate was 20.1% in the first nine months of 2026 as compared to 19.4% in the first nine months of 2025. • Net income was $164.3 million or $3.52 per diluted share in the first nine months of 2026 as compared to $175.7 million or $3.68 per diluted share in the first nine months of 2025. • Non-GAAP adjusted net income, which excludes the $28.9 million gain on the UDC Ventures investment and the related income tax expense, was $141.5 million or $3.04 per diluted share in the first nine months of 2026.
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Revenue Comparison ($ in thousands) Nine Months Ended September 30, 2026 2025 Material sales $229,649 $257,439 Royalty and license fees 210,917 202,553 Contract research services 14,234 17,692 Total revenue $454,800 $477,684 Cost of Materials Comparison ($ in thousands) Nine Months Ended September 30, 2026 2025 Material sales $229,649 $257,439 Cost of material sales 105,996 100,920 Gross margin on material sales 123,653 156,519 Gross margin as a % of material sales 54% 61%
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2026 Guidance The Company continues to believe that its 2026 revenue will be around the lower end of its previous guidance range of $630 million to $670 million. Dividend The Company also announced a fourth-quarter 2026 cash dividend of $0.50 per share on its common stock, payable on December 31, 2026 to all shareholders of record as of the close of business on December 17, 2026. Share Repurchases The Company repurchased 963,333 shares of its common stock for $78.8 million during the three months ended September 30, 2026, and 2,127,217 shares of its common stock for $192.9 million during the nine months ended September 30, 2026. These repurchases included the completion of the $100 million program that commenced in April 2025, as well as purchases under the additional $400 million program authorized by the Board of Directors in April 2026.
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Conference Call Information In conjunction with this release, Universal Display will host a conference call on Wednesday, October 28, 2026 at 5:00 p.m. Eastern Time. The live webcast can be accessed on the events page of the Company’s Investor Relations website at ir.oled.com. To participate in the live call, dial 1-877-524-8416 (toll-free) or 1-412-902-1028. Please dial in 5-10 minutes prior to the scheduled conference call time. An online archive of the webcast will be available within two hours of the conclusion of the call. About Universal Display Corporation Universal Display Corporation (Nasdaq: OLED) is a leader in the research, development and commercialization of organic light emitting diode (OLED) technologies and materials for use in display and solid-state lighting applications. Founded in 1994 and with subsidiaries and offices around the world, the Company currently owns, exclusively licenses or has the sole right to sublicense more than 7,000 patents issued and pending worldwide. Universal Display licenses its proprietary technologies, including its breakthrough high-efficiency UniversalPHOLED® phosphorescent OLED technology that can enable the development of energy-efficient and eco-friendly displays and solid-state lighting. The Company also develops and offers high-quality, state-of-the-art UniversalPHOLED materials that are recognized as key ingredients in the fabrication of OLEDs with peak performance. In addition, Universal Display delivers innovative and customized solutions to its clients and partners through technology transfer, collaborative technology development and on-site training. To learn more about Universal Display Corporation, please visit https://oled.com/. Universal Display Corporation and the Universal Display Corporation logo are trademarks or registered trademarks of Universal Display Corporation. All other Company, brand or product names may be trademarks or registered trademarks. # # #
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All statements in this document that are not historical, such as those relating to the projected adoption, development and advancement of the Company’s technologies, and the Company’s expected results, as well as the growth of the OLED market and the Company’s opportunities in that market, are forward-looking financial statements within the meaning of the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on any forward-looking statements in this document, as they reflect Universal Display Corporation’s current views with respect to future events and are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated. These risks and uncertainties are discussed in greater detail in Universal Display Corporation’s periodic reports on Form 10-K and Form 10-Q filed with the Securities and Exchange Commission, including, in particular, the section entitled “Risk Factors” in Universal Display Corporation’s Annual Report on Form 10-K for the year ended December 31, 2025. Universal Display Corporation disclaims any obligation to update any forward-looking statement contained in this document. Follow Universal Display Corporation X Facebook YouTube (OLED-C)
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UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands, except share and per share data) September 30, 2026 December 31, 2025 ASSETS CURRENT ASSETS: Cash and cash equivalents $ 93,447 $ 138,353 Short-term investments 340,020 464,004 Accounts receivable 89,177 119,953 Inventory 236,867 240,912 Other current assets 140,765 123,836 Total current assets 900,276 1,087,058 PROPERTY AND EQUIPMENT, net of accumulated depreciation of $212,381 and $189,326 206,949 214,947 ACQUIRED TECHNOLOGY, net of accumulated amortization of $234,033 and $220,392 93,142 56,783 OTHER INTANGIBLE ASSETS, net of accumulated amortization of $14,308 and $13,269 2,980 4,019 GOODWILL 15,535 15,535 INVESTMENTS 469,611 377,034 DEFERRED INCOME TAXES 76,414 79,454 OTHER ASSETS 113,504 128,932 TOTAL ASSETS $ 1,878,411 $ 1,963,762 LIABILITIES AND SHAREHOLDERS’ EQUITY CURRENT LIABILITIES: Accounts payable $ 18,570 $ 23,344 Accrued expenses 52,839 52,564 Deferred revenue 35,013 21,011 Other current liabilities 12,680 11,094 Total current liabilities 119,102 108,013 DEFERRED REVENUE 3,087 1,943 RETIREMENT PLAN BENEFIT LIABILITY 57,421 56,541 OTHER LIABILITIES 33,300 36,246 Total liabilities 212,910 202,743 SHAREHOLDERS’ EQUITY: Preferred Stock, par value $0.01 per share, 5,000,000 shares authorized, 200,000 shares of Series A Nonconvertible Preferred Stock issued and outstanding (liquidation value of $7.50 per share or $1,500) 2 2 Common Stock, par value $0.01 per share, 200,000,000 shares authorized, 49,063,673 and 48,916,606 shares issued, and 45,279,598 and 47,259,748 shares outstanding, at September 30, 2026 and December 31, 2025, respectively 491 489 Additional paid-in capital 757,577 744,692 Retained earnings 1,184,481 1,090,479 Accumulated other comprehensive (loss) income (6,969) 781 Treasury stock, at cost (3,784,075 and 1,656,858 shares at September 30, 2026 and December 31, 2025) (270,081) (75,424) Total shareholders’ equity 1,665,501 1,761,019 TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 1,878,411 $ 1,963,762
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UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (in thousands, except share and per share data) Three Months Ended September 30, Nine Months Ended September 30, 2026 2025 2026 2025 REVENUE: Material sales $ 79,709 $ 82,634 $ 229,649 $ 257,439 Royalty and license fees 75,495 53,317 210,917 202,553 Contract research services 5,228 3,662 14,234 17,692 Total revenue 160,432 139,613 454,800 477,684 COST OF SALES 43,077 35,491 115,988 112,828 Gross margin 117,355 104,122 338,812 364,856 OPERATING EXPENSES: Research and development 36,347 36,336 106,567 107,594 Selling, general and administrative 20,892 18,039 59,489 55,493 Amortization of acquired technology and other intangible assets 3,372 4,553 14,679 13,646 Patent costs 2,795 1,886 7,520 6,380 Royalty and license expense 244 170 453 401 Total operating expenses 63,650 60,984 188,708 183,514 OPERATING INCOME 53,705 43,138 150,104 181,342 Interest income, net 8,196 10,046 25,388 29,883 Other income, net 37,268 952 29,974 6,905 Interest and other income, net 45,464 10,998 55,362 36,788 INCOME BEFORE INCOME TAXES 99,169 54,136 205,466 218,130 INCOME TAX EXPENSE (20,223) (10,111) (41,203) (42,397) NET INCOME $ 78,946 $ 44,025 $ 164,263 $ 175,733 NET INCOME PER COMMON SHARE: BASIC $ 1.73 $ 0.93 $ 3.53 $ 3.69 DILUTED $ 1.72 $ 0.92 $ 3.52 $ 3.68 WEIGHTED AVERAGE SHARES USED IN COMPUTING NET INCOME PER COMMON SHARE: BASIC 45,750,957 47,554,970 46,539,543 47,571,930 DILUTED 45,787,266 47,676,500 46,605,686 47,681,477 CASH DIVIDENDS DECLARED PER COMMON SHARE $ 0.50 $ 0.45 $ 1.50 $ 1.35
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UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (in thousands) Nine Months Ended September 30, 2026 2025 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 164,263 $ 175,733 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 23,228 20,932 Amortization of intangibles 14,679 13,646 Investment gains, net (26,360) (6,630) Impairment of minority investments 415 — Stock-based compensation 18,857 22,888 Deferred income tax expense 5,488 977 Retirement plan expense, net of benefit payments 898 1,271 Decrease (increase) in assets: Accounts receivable 30,776 39,434 Inventory 4,045 (29,683) Other current assets (26,929) (36,928) Other assets 15,428 (12,364) Increase (decrease) in liabilities: Accounts payable and accrued expenses (1,931) 304 Other current liabilities (920) (2,406) Deferred revenue 15,146 (8,763) Other liabilities (3,025) 1,270 Net cash provided by operating activities 234,058 179,681 CASH FLOWS FROM INVESTING ACTIVITIES: Purchases of property and equipment (17,507) (40,383) Purchase of intangibles (40,000) — Purchases of investments (307,336) (319,593) Proceeds from sale and maturity of investments 354,483 275,000 Net cash used in investing activities (10,360) (84,976) CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from issuance of common stock 1,515 1,617 Repurchases of common stock, inclusive of excise tax (192,960) — Payment of withholding taxes related to stock-based compensation to employees (7,786) (9,470) Cash dividends paid (69,373) (64,223) Net cash used in financing activities (268,604) (72,076) (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS (44,906) 22,629 CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 138,353 98,980 CASH AND CASH EQUIVALENTS, END OF PERIOD $ 93,447 $ 121,609 SUPPLEMENTAL DISCLOSURES: Unrealized (loss) gain on available-for-sale securities $ (10,205) $ 1,789 Common stock issued to Board of Directors and Scientific Advisory Board that was earned and accrued for in a previous period 300 300 Net change in accrued dividends included in other current liabilities and other liabilities 888 537 Net change in repurchases of common stock, inclusive of excise tax, included in other current liabilities 1,697 — Net change in accounts payable and accrued expenses related to purchases of property and equipment 2,315 4,888 Cash paid for income taxes, net of refunds 3,207 53,995
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UNIVERSAL DISPLAY CORPORATION AND SUBSIDIARIES RECONCILIATION OF NON-GAAP MEASURES TO THE MOST DIRECTLY COMPARABLE GAAP MEASURES (UNAUDITED) (in thousands, except share and per share data) Three Months Ended September 30, Nine Months Ended September 30, 2026 2025 2026 2025 Net income reconciliation Net income $ 78,946 $ 44,025 $ 164,263 $ 175,733 Net income per share: Basic $ 1.73 $ 0.93 $ 3.53 $ 3.69 Diluted $ 1.72 $ 0.92 $ 3.52 $ 3.68 Net income adjustments: UDC Ventures investment gain (28,914) — (28,914) — Income tax expense 6,141 — 6,141 — Non-GAAP adjusted net income $ 56,173 $ 44,025 $ 141,490 $ 175,733 Non-GAAP adjusted net income per share: Basic $ 1.23 $ 0.93 $ 3.04 $ 3.69 Diluted $ 1.23 $ 0.92 $ 3.04 $ 3.68 Weighted average shares used in computing net income per share and non-GAAP adjusted net income per share: Basic 45,750,957 47,554,970 46,539,543 47,571,930 Diluted 45,787,266 47,676,500 46,605,686 47,681,477 The Company’s non-GAAP tax provision uses a projected tax rate of 21.2% for the three and nine months ended September 30, 2026, which currently reflects available information and could be subject to change. Non-GAAP Measures To supplement the selected financial data presented in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses certain non-GAAP measures. These non-GAAP measures include adjusted net income and adjusted net income per common share, both basic and diluted. Each of these non-GAAP measures excludes the effects of the increase in the carrying value of the Company’s minority equity investment and related income tax expense. The Company has provided these non-GAAP measures, which it believes more accurately reflect the operating performance of its ongoing business, to enhance investors’ understanding of current financial performance and period-to-period comparisons. The presentation of non-GAAP measures is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. (1) (1)