Kopin Receives Additional $2 Million Follow-On Microdisplay Order in Support of Collins Aerospace’s F-35 Lightning II Helmet Mounted Display System (HMDS)

Rhea-AI Summary

Kopin (NASDAQ: KOPN) has received a $2 million follow-on production order for its high-brightness active-matrix liquid crystal displays (AMLCD) from Collins Aerospace. This order supports the F-35 Lightning II Helmet Mounted Display System (HMDS), developed by Collins Elbit Vision Systems (CEVS). The F-35, the world's most advanced 5th Generation fighter jet, uses Kopin's microdisplay in its augmented reality helmet to provide pilots with important flight, tactical, and sensor information.

Kopin is the exclusive supplier of the unique microdisplay technology required for these functionalities in extreme conditions. The company is also transitioning to its next-generation Organic Light Emitting Diode on Silicon (OLEDoS) microdisplay, which has recently achieved the final milestone in the qualification process.

Positive

• Received a $2 million follow-on production order for AMLCD microdisplays
• Exclusive supplier of microdisplay technology for F-35 helmets
• Transitioning to next-generation OLEDoS microdisplay
• OLEDoS microdisplay achieved final milestone in qualification process

Negative

• None.

Insights

Financial Analyst

The $2 million follow-on order for Kopin's AMLCD microdisplays is a positive development for the company. While the amount may seem modest, it's important to consider the broader context:

• It demonstrates continued demand for Kopin's products in a high-profile military program.
• The order extends the production backlog, providing revenue visibility.
• It reinforces Kopin's position as the sole supplier for F-35 helmet displays.

The upcoming transition to OLEDoS technology could potentially lead to higher-value contracts in the future. Investors should monitor the success of this transition and its impact on Kopin's market position and profitability in the defense sector.

Defense Technology Expert

Kopin's role in the F-35 HMDS is strategically significant. The F-35's augmented reality helmet is a critical component that provides pilots with unparalleled situational awareness. Key points to consider:

• The exclusive supply agreement for this advanced technology creates a strong moat for Kopin in the defense sector.
• As the F-35 program expands to more international allies, there's potential for increased orders.
• The transition to OLEDoS technology could offer performance improvements, potentially leading to retrofit opportunities for existing helmets.

This order underscores Kopin's technological edge in high-performance microdisplays for extreme environments, a niche but important market.

Market Research Analyst

This order highlights Kopin's strong position in a niche but growing market. Key considerations for investors:

• The global military HMD market is projected to grow at a CAGR of 5.4% from 2021 to 2026, reaching $3.6 billion by 2026.
• Kopin's involvement in the F-35 program provides exposure to this growth, with potential for expanded applications in other military platforms.
• The transition to OLEDoS technology could open up new market opportunities beyond defense, such as in commercial aviation or advanced manufacturing.

While the $2 million order is modest, it represents Kopin's foothold in a high-value, long-term program. Investors should watch for Kopin's ability to leverage this position into broader market opportunities.

WESTBOROUGH, Mass.--(BUSINESS WIRE)-- Kopin Corporation (NASDAQ: KOPN), a leading provider of application-specific optical systems and high performance microdisplays for defense, enterprise, consumer and medical products, announced today that it has been awarded a $2 million follow-on production order for its high-brightness active-matrix liquid crystal display (AMLCD). This will come from Collins Aerospace, an RTX business, in support of the F-35 Lightning II Helmet Mounted Display System (HMDS).

The HMDS is developed by Collins Elbit Vision Systems, LLC (CEVS). CEVS is a joint venture between Collins Aerospace and Elbit America and is the world-leading fighter aircraft helmet mounted display (HMD) manufacturer, providing unparalleled expertise in the development, production, integration and sustainment of HMD and night vision systems.

The F-35 is the most advanced 5th Generation fighter jet globally. The multi-role aircraft is designed for both air dominance and strike missions while also offering electronic warfare, intelligence, surveillance and reconnaissance capabilities.

A key feature is the augmented reality (AR) helmet, which uses Kopin’s microdisplay to provide pilots with extensive flight, tactical and sensor information. This enhances situational awareness, precision and safety while flying in harsh environments under challenging conditions. The unique microdisplay technology required for these functionalities and extreme conditions is exclusively supplied by Kopin.

Kopin’s fulfillment of this AMLCD order will ensure continued steady production of the CEVS F-35 Lightning II Helmet Mounted Display System (HMDS). The current AMLCD microdisplay designed into the system is set to transition to Kopin’s next-generation Organic Light Emitting Diode on Silicon (OLEDoS) microdisplay. The high performance OLEDoS microdisplay recently achieved the final milestone in the qualification process and will move forward into final qualification and full rate production.

“The additional order for AMLCD microdisplays for F-35 helmets extends our backlog of deliveries to Collins Aerospace and with additional anticipated future orders will ensure uninterrupted production in preparation for the next-generation OLEDoS microdisplay,” stated Bill Maffucci, the company’s Vice President of Strategy & Business Development. “Our demonstrated performance in supplying thousands of our AMLCD microdisplays to date has been validated by this order and we look forward to supporting Collins Aerospace now and in the future.”

The F-35 strike fighter aircraft is being procured in different configurations for the U.S. services as well as a growing number of international allies. Kopin has been the sole supplier of AMLCD microdisplays for the F-35 pilot helmets since the start of the program.

About Kopin Corporation

Kopin Corporation is a leading developer and provider of innovative display and optical technologies sold as critical components and subassemblies for defense, enterprise, professional and consumer products. Kopin’s portfolio includes microdisplays, display modules, eyepiece assemblies, image projection modules and vehicle mounted and head-mounted display systems that incorporate ultra-small high-resolution Active Matrix Liquid Crystal displays (AMLCD), Liquid Crystal on Silicon (LCOS) displays and Organic Light Emitting Diode (OLED) displays, a variety of optics and low-power ASICs. For more information, please visit Kopin’s website at www.kopin.com. Kopin is a trademark of Kopin Corporation.

Forward-Looking Statements

Statements in this press release may be considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), which are subject to the safe harbor created by such sections. Words such as “expects,” “believes,” “can,” “will,” “estimates,” and variations of such words and similar expressions, and the negatives thereof, are intended to identify such forward-looking statements. We caution readers not to place undue reliance on any such “forward-looking statements,” which speak only as of the date made, and advise readers that these forward-looking statements are not guarantees of future performance and involve certain risks, uncertainties, estimates, and assumptions by us that are difficult to predict. Various factors, some of which are beyond our control, could cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements. These forward-looking statements may include statements with respect the steadiness of production of the CEVS F-35 and the transition of F-35 projects from AMLCD to OLED. All such forward-looking statements, whether written or oral, and whether made by us or on our behalf, are expressly qualified by these cautionary statements and any other cautionary statements that may accompany the forward-looking statements. In addition, we disclaim any obligation to update any forward-looking statements to reflect events or circumstances after the date of this press release, except as may otherwise be required by the federal securities laws. These forward-looking statements are only predictions, subject to risks and uncertainties, and actual results could differ materially from those discussed. Important factors that could affect performance and cause results to differ materially from management’s expectations are described in Part I, Item 1A. Risk Factors; Part II, Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations; and other parts of our Annual Report on Form 10-K for the fiscal year ended December 30, 2023, or as updated from time to time our Securities and Exchange Commission filings.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240910977665/en/

Investor Relations:

Richard Sneider

Treasurer and Chief Financial Officer, Kopin

rsneider@kopin.com

(508) 870-5959

or

MZ Contact:

Brian M. Prenoveau, CFA, 561 489 5315

MZ Group – MZ North America

KOPN@mzgroup.us

Source: Kopin Corporation

FAQ

What is the value of Kopin's new order for F-35 helmet displays?

Kopin received a $2 million follow-on production order for its high-brightness AMLCD microdisplays to support the F-35 Lightning II Helmet Mounted Display System.

Who placed the order for Kopin's AMLCD microdisplays?

The order was placed by Collins Aerospace, an RTX business, in support of the F-35 Lightning II Helmet Mounted Display System (HMDS).

What is Kopin's role in the F-35 fighter jet program?

Kopin is the exclusive supplier of microdisplay technology for the F-35's augmented reality helmet, providing important flight, tactical, and sensor information to pilots.

Is Kopin (KOPN) developing new technology for the F-35 helmets?

Yes, Kopin is transitioning from AMLCD to next-generation Organic Light Emitting Diode on Silicon (OLEDoS) microdisplays for the F-35 helmets.