Universal Display 10-Q: Q3 EPS $1.72 on $160.4M Revenue; $79.5M Buyback and New Severance Plan
OLED sits 30% above its 52-week low of $70.77.
Summary
Universal Display's Q3 10-Q shows $160.4M revenue and $1.72 diluted EPS, but the EPS was lifted by a $28.9M non-cash investment gain while material gross margin fell to 50%. The company bought back 963,333 shares for $79.5M in the quarter and declared a $0.50 dividend.
Key Events · Earnings and Guidance · OLED
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Q3 Revenue Up 15% to $160.4M
Total revenue was $160.4M versus $139.6M a year ago, driven by royalty and license fees of $75.5M (up from $53.3M) while material sales slipped to $79.7M from $82.6M.
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EPS Boosted by Non-Cash Investment Gain
Net income was $78.9M, or $1.72 per diluted share, versus $44.0M, or $0.92; excluding a $28.9M UDC Ventures investment gain and related tax, adjusted net income was $56.2M, or $1.23 per share.
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Material Gross Margin Compresses
Total gross margin fell to 73% from 75%, and gross margin on material sales dropped to 50% from 60% as cost of material sales rose to $39.6M from $32.8M.
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Buyback and Dividend Continue
The company repurchased 963,333 shares for $79.5M in Q3 at an $81.75 average price, leaving $273.0M on the $400M authorization, and declared a $0.50 fourth-quarter dividend payable December 31, 2026.
Analysis · OLED · Manufacturing
The headline numbers were already out via this morning's 8-K, but the 10-Q reveals the quality of the beat: the $1.72 diluted EPS leans on a $28.9M non-cash gain on a minority equity investment, and adjusted EPS was $1.23. Underneath, material-sales gross margin fell to 50% from 60% and nine-month revenue is down 5% to $454.8M, so profit growth is not coming from the core materials business. Capital return remains heavy — 963,333 shares repurchased for $79.5M in the quarter at an $81.75 average, with $273.0M left on the authorization, plus a $0.50 quarterly dividend declared October 27. The filing also discloses a new Senior Management Severance Program covering the CFO and a SERP amendment lowering the retirement age to 62, both adopted October 27, 2026.
How filings like this one have moved
In the 30 days to Oct 29, 2026, 31.1% of the 1661 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was 0.00%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, OLED was trading at $91.93 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $4.2B. The 52-week trading range was $70.77 to $152.24. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.