Research Frontiers Reports Second Quarter 2024 Financial Results and Will Host a Conference Call at 4:30p.m. Today
Research Frontiers Inc. (Nasdaq: REFR) reported its Q2 2024 financial results, showcasing significant growth. Fee income increased by over 165% from Q2 2023 and 56% from Q1 2024, driven by higher royalties from automotive and aircraft markets. The company has experienced six consecutive quarters of year-over-year revenue growth. Total expenses decreased by approximately $105,000 compared to Q2 2023, resulting in a net loss of $94,000 ($0.00 per share). As of June 30, 2024, Research Frontiers had $1.9 million in cash and cash equivalents and $2.8 million in working capital, with no debt. The company expects continued revenue growth across all market segments as new products incorporating its SPD-SmartGlass technology are introduced.
Research Frontiers Inc. (Nasdaq: REFR) ha riportato i risultati finanziari per il secondo trimestre del 2024, evidenziando una crescita significativa. I ricavi da commissioni sono aumentati di oltre il 165% rispetto al secondo trimestre del 2023 e del 56% rispetto al primo trimestre del 2024, trainati da maggiori diritti d'autore nei mercati automobilistico e aereo. L'azienda ha vissuto sei trimestri consecutivi di crescita annuale dei ricavi. Le spese totali sono diminuite di circa $105,000 rispetto al secondo trimestre del 2023, portando a una perdita netta di $94,000 ($0,00 per azione). Al 30 giugno 2024, Research Frontiers aveva $1,9 milioni in liquidità e equivalenti di liquidità e $2,8 milioni in capitale circolante, senza debiti. L'azienda prevede una continua crescita dei ricavi in tutti i segmenti di mercato con l'introduzione di nuovi prodotti che incorporano la sua tecnologia SPD-SmartGlass.
Research Frontiers Inc. (Nasdaq: REFR) reportó sus resultados financieros del segundo trimestre de 2024, mostrando un crecimiento significativo. Los ingresos por comisiones aumentaron en más del 165% en comparación con el segundo trimestre de 2023 y un 56% en comparación con el primer trimestre de 2024, impulsados por mayores regalías de los mercados automotriz y aeronáutico. La compañía ha experimentado seis trimestres consecutivos de crecimiento de ingresos año tras año. Los gastos totales disminuyeron en aproximadamente $105,000 en comparación con el segundo trimestre de 2023, resultando en una pérdida neta de $94,000 ($0.00 por acción). Al 30 de junio de 2024, Research Frontiers tenía $1.9 millones en efectivo y equivalentes de efectivo y $2.8 millones en capital de trabajo, sin deudas. La empresa espera un crecimiento continuo de ingresos en todos los segmentos de mercado a medida que se introducen nuevos productos que incorporan su tecnología SPD-SmartGlass.
Research Frontiers Inc. (Nasdaq: REFR)가 2024년 2분기 재무 결과를 발표하며 상당한 성장을 보여주었습니다. 수수료 수익이 2023년 2분기 대비 165% 이상 증가하고 2024년 1분기 대비 56% 증가했습니다, 이는 자동차 및 항공기 시장에서의 로열티 증가에 힘입은 것입니다. 이 회사는 6개 분기 연속으로 전년 대비 수익 증가를 경험하였습니다. 총 비용은 2023년 2분기와 비교하여 약 $105,000 감소하여 $94,000의 순손실($0.00 per 주식)을 기록했습니다. 2024년 6월 30일 현재, Research Frontiers는 $1.9백만의 현금 및 현금성 자산과 $2.8백만의 운영 자본을 보유하고 있으며, 부채는 없습니다. 이 회사는 SPD-SmartGlass 기술을 통합한 신제품 출시와 함께 모든 시장 부문에서의 지속적인 수익 성장을 예상하고 있습니다.
Research Frontiers Inc. (Nasdaq: REFR) a publié ses résultats financiers pour le deuxième trimestre 2024, montrant une croissance significative. Les revenus des commissions ont augmenté de plus de 165% par rapport au deuxième trimestre 2023 et de 56% par rapport au premier trimestre 2024, soutenus par des redevances plus élevées des marchés automobile et aéronautique. L'entreprise a connu six trimestres consécutifs de croissance des revenus d'une année sur l'autre. Les dépenses totales ont diminué d'environ 105,000 $ par rapport au deuxième trimestre 2023, entraînant une perte nette de 94,000 $ (0,00 $ par action). Au 30 juin 2024, Research Frontiers avait 1,9 million de dollars en liquidités et équivalents de liquidités et 2,8 millions de dollars en fonds de roulement, sans dettes. L'entreprise prévoit une croissance continue des revenus dans tous les segments de marché à mesure que de nouveaux produits intégrant sa technologie SPD-SmartGlass sont lancés.
Research Frontiers Inc. (Nasdaq: REFR) hat seine finanziellen Ergebnisse für das zweite Quartal 2024 veröffentlicht, die ein signifikantes Wachstum zeigen. Die Gebühreneinnahmen stiegen um mehr als 165% im Vergleich zum zweiten Quartal 2023 und um 56% im Vergleich zum ersten Quartal 2024, angetrieben durch höhere Lizenzgebühren aus den Automobil- und Luftfahrtmärkten. Das Unternehmen hat sechs aufeinanderfolgende Quartale mit einem Anstieg des Jahresumsatzes erlebt. Die Gesamtausgaben sanken um etwa 105.000 $ im Vergleich zum zweiten Quartal 2023, was zu einem Nettoverlust von 94.000 $ (0,00 $ pro Aktie) führte. Zum 30. Juni 2024 hatte Research Frontiers 1,9 Millionen Dollar in Bar- und Baräquivalenten sowie 2,8 Millionen Dollar im Umlaufvermögen und keine Schulden. Das Unternehmen erwartet ein kontinuierliches Umsatzwachstum in allen Marktsegmenten, da neue Produkte mit seiner SPD-SmartGlass-Technologie eingeführt werden.
- Fee income increased by 165% year-over-year in Q2 2024
- 56% increase in fee income from Q1 2024 to Q2 2024
- Six consecutive quarters of year-over-year revenue growth
- Total expenses decreased by $105,000 compared to Q2 2023
- $1.9 million in cash and cash equivalents as of June 30, 2024
- $2.8 million in working capital with no debt
- Expected revenue growth across all market segments
- Net loss of $94,000 in Q2 2024
Insights
Research Frontiers' Q2 2024 results show promising signs of growth and financial stability. The 165% year-over-year increase in fee income for Q2 2024 is particularly noteworthy, indicating strong market traction for their SPD-SmartGlass technology. This growth, coupled with the 56% quarter-over-quarter increase, suggests accelerating adoption across automotive and aircraft markets.
The company's sixth consecutive quarter of revenue growth demonstrates consistent performance and potential for sustained expansion. With
However, investors should note that despite revenue growth, the company still reported a net loss of
Looking ahead, the company's expectation of increased revenue across all market segments as new products are introduced is encouraging. However, investors should carefully monitor the pace of these introductions and their impact on the bottom line. The diversification across automotive, aircraft, trains and architectural markets could provide resilience against sector-specific downturns.
Research Frontiers' Q2 2024 results reveal intriguing market dynamics for their SPD-SmartGlass technology. The substantial growth in fee income, particularly from automotive and aircraft markets, suggests increasing industry acceptance and integration of smart glass solutions. This trend aligns with the broader shift towards advanced materials and energy-efficient technologies in transportation and architecture.
The company's consistent revenue growth over six consecutive quarters indicates a maturing market for smart glass applications. As more car models, aircraft and architectural projects incorporate this technology, we may be witnessing the early stages of a significant market transformation. The potential for expansion into information display and other sectors further broadens the addressable market.
However, it's important to consider potential challenges. The adoption rate of new technologies in conservative industries like automotive and aerospace can be slow. Additionally, competition from other smart glass technologies and alternative solutions could impact market share and pricing power.
The company's expectation of revenue growth across all segments as new products are introduced is optimistic but warrants careful monitoring. Investors should watch for announcements of new partnerships, product integrations, or significant orders that could validate this projected growth. The success of these new product introductions will be critical in determining whether Research Frontiers can capitalize on its technological advantages and translate them into sustainable financial performance.
Research Frontiers' SPD-SmartGlass technology is positioning itself at the intersection of several high-potential markets. The significant increase in fee income, particularly from automotive and aircraft sectors, suggests that this smart glass solution is gaining traction in industries where energy efficiency, comfort and advanced functionality are increasingly valued.
The technology's adaptability across various applications - from vehicles to buildings and potentially information displays - demonstrates its versatility. This multi-market approach could provide a robust foundation for growth, especially as industries increasingly focus on sustainability and user experience enhancement.
However, the tech landscape is rapidly evolving and Research Frontiers must continue innovating to maintain its competitive edge. The company's ability to secure partnerships and integrations with major manufacturers will be crucial. As smart glass technology becomes more mainstream, Research Frontiers may face increased competition from both established players and new entrants.
The potential application in information displays is particularly intriguing. As we move towards more immersive and adaptive digital experiences, smart glass could play a significant role in next-generation display technologies. However, this market is highly competitive and fast-moving, requiring agile development and strategic partnerships.
Investors should keep an eye on Research Frontiers' R&D efforts and any announcements regarding technological advancements or new applications. The company's ability to stay ahead of the curve in smart materials technology will be critical for long-term success in this dynamic field.
WOODBURY, N.Y., Aug. 01, 2024 (GLOBE NEWSWIRE) -- Research Frontiers Inc. (Nasdaq: REFR) announced its financial results for its second quarter of 2024. Management will host a conference call today at 4:30 p.m. Eastern Time to discuss its financial and operating results as well as recent developments.
| • | Who: Joseph M. Harary, President & CEO | |
| • | Date/Time: Thursday, August 1, 2024, 4:30 PM ET | |
| • | Dial-in Information:1-888-334-5785 | |
| • | Replay: Available on Friday, August 2, 2024 for 90 days at https://smartglass-ir.com/ | |
Key Comments:
| 1. | Fee income during the second quarter of 2024 increased by over |
| 2. | The Company expects revenue in all market segments to increase as new car models, aircraft, trains, architectural, information display and other products using the Company’s SPD-SmartGlass technology are introduced into the market. |
| 3. | Total expenses during the second quarter of 2024 were approximately |
| 4. | At June 30, 2024, the Company had cash and cash equivalents of approximately |
For more details, please see the Company’s Quarterly Report on Form 10-Q which was filed today with the SEC, the contents of which are incorporated by reference herein.
About Research Frontiers
Research Frontiers (Nasdaq: REFR) is a publicly traded technology company and the developer of patented SPD-Smart light-control film technology which allows users to instantly, precisely and uniformly control the shading of glass or plastic products, either manually or automatically. Research Frontiers has licensed its smart glass technology to numerous companies that include well known chemical, material science and glass companies. Products using Research Frontiers’ smart glass technology are being used in tens of thousands of cars, aircraft, yachts, trains, homes, offices, museums and other buildings. For more information, please visit our website at www.SmartGlass.com, and on Facebook, Twitter, LinkedIn and YouTube.
Note: From time to time Research Frontiers may issue forward-looking statements which involve risks and uncertainties. This press release contains forward-looking statements. Actual results, especially those reliant on activities by third parties, could differ and are not guaranteed. Any forward-looking statements should be considered accordingly. “SPD-Smart” and “SPD-SmartGlass” are trademarks of Research Frontiers Inc.
CONTACT:
Joseph M. Harary
President and CEO
Research Frontiers Inc.
+1-516-364-1902
Info@SmartGlass.com
RESEARCH FRONTIERS INCORPORATED
Condensed Consolidated Balance Sheets
| June 30, 2024 (Unaudited) | December 31, 2023 (See Note 1) | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 1,906,502 | $ | 2,475,958 | ||||
| Royalties receivable, net of reserves of | 1,078,500 | 1,003,404 | ||||||
| Prepaid expenses and other current assets | 204,682 | 96,784 | ||||||
| Total current assets | 3,189,684 | 3,576,146 | ||||||
| Fixed assets, net | 26,801 | 39,598 | ||||||
| Operating lease ROU assets | 107,229 | 178,715 | ||||||
| Deposits and other assets | 56,066 | 56,066 | ||||||
| Total assets | $ | 3,379,780 | $ | 3,850,525 | ||||
| Liabilities and Shareholders’ Equity | ||||||||
| Current liabilities: | ||||||||
| Current portion of operating lease liability | $ | 163,825 | $ | 212,359 | ||||
| Accounts payable | 60,968 | 50,880 | ||||||
| Accrued expenses | 40,212 | 14,192 | ||||||
| Deferred revenue | 125,000 | - | ||||||
| Total current liabilities | 390,005 | 277,431 | ||||||
| Operating lease liability, net of current portion | - | 55,363 | ||||||
| Total liabilities | 390,005 | 332,794 | ||||||
| Shareholders’ equity: | ||||||||
| Common stock, par value | 3,352 | 3,351 | ||||||
| Additional paid-in capital | 127,787,890 | 127,779,221 | ||||||
| Accumulated deficit | (124,801,467 | ) | (124,264,841 | ) | ||||
| Total shareholders’ equity | 2,989,775 | 3,517,731 | ||||||
| Total liabilities and shareholders’ equity | $ | 3,379,780 | $ | 3,850,525 | ||||
RESEARCH FRONTIERS INCORPORATED
Condensed Consolidated Statements of Operations
(Unaudited)
| Six months ended June 30, | Three months ended June 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Fee income | $ | 802,972 | $ | 433,215 | $ | 489,594 | $ | 185,040 | ||||||||
| Operating expenses | 1,110,285 | 1,152,493 | 476,898 | 564,694 | ||||||||||||
| Research and development | 278,571 | 294,832 | 128,830 | 145,610 | ||||||||||||
| Total expenses | 1,388,856 | 1,447,325 | 605,728 | 710,304 | ||||||||||||
| Operating loss | (585,884 | ) | (1,014,110 | ) | (116,134 | ) | (525,264 | ) | ||||||||
| Net investment income | 49,258 | 57,822 | 22,112 | 31,614 | ||||||||||||
| Net loss | $ | (536,626 | ) | $ | (956,288 | ) | $ | (94,022 | ) | $ | (493,650 | ) | ||||
| Basic and diluted net loss per common share | $ | (0.02 | ) | $ | (0.03 | ) | $ | (0.00 | ) | $ | (0.01 | ) | ||||
| Weighted average number of common shares outstanding | 33,514,097 | 33,397,968 | 33,517,787 | 33,509,287 | ||||||||||||
RESEARCH FRONTIERS INCORPORATED
Condensed Consolidated Statements of Shareholders’ Equity
(Unaudited)
For the six months ended June 30, 2023 and 2024
| Common Stock | Additional | |||||||||||||||||||
| Shares | Amount | Paid-in Capital | Accumulated Deficit | Total | ||||||||||||||||
| Balance, January 1, 2023 | 33,150,396 | $ | 3,315 | $ | 127,150,027 | $ | (122,356,477 | ) | $ | 4,796,865 | ||||||||||
| Exercise of warrants | 358,891 | 36 | 484,466 | - | 484,502 | |||||||||||||||
| Net loss | - | - | - | (956,288 | ) | (956,288 | ) | |||||||||||||
| Balance, June 30, 2023 | 33,509,287 | $ | 3,351 | $ | 127,634,493 | $ | (123,312,765 | ) | $ | 4,325,079 | ||||||||||
| Common Stock | Additional | |||||||||||||||||||
| Shares | Amount | Paid-in Capital | Accumulated Deficit | Total | ||||||||||||||||
| Balance, January 1, 2024 | 33,509,287 | $ | 3,351 | $ | 127,779,221 | $ | (124,264,841 | ) | $ | 3,517,731 | ||||||||||
| Exercise of options | 8,500 | 1 | 8,669 | - | 8,670 | |||||||||||||||
| Net loss | - | - | - | (536,626 | ) | (536,626 | ) | |||||||||||||
| Balance, June 30, 2024 | 33,517,787 | $ | 3,352 | $ | 127,787,890 | $ | (124,801,467 | ) | $ | 2,989,775 | ||||||||||
For the three months ended June 30, 2023 and 2024
| Common Stock | Additional | |||||||||||||||||||
| Shares | Amount | Paid-in Capital | Accumulated Deficit | Total | ||||||||||||||||
| Balance, March 31, 2023 | 33,509,287 | $ | 3,351 | $ | 127,634,493 | $ | (122,819,115 | ) | $ | 4,818,729 | ||||||||||
| Net loss | - | - | - | (493,650 | ) | (493,650 | ) | |||||||||||||
| Balance, June 30, 2023 | 33,509,287 | $ | 3,351 | $ | 127,634,493 | $ | (123,312,765 | ) | $ | 4,325,079 | ||||||||||
| Common Stock | Additional | |||||||||||||||||||
| Shares | Amount | Paid-in Capital | Accumulated Deficit | Total | ||||||||||||||||
| Balance, March 31, 2024 | 33,517,787 | $ | 3,352 | $ | 127,787,890 | $ | (124,707,445 | ) | $ | 3,083,797 | ||||||||||
| Net loss | - | - | - | (94,022 | ) | (94,022 | ) | |||||||||||||
| Balance, June 30, 2024 | 33,517,787 | $ | 3,352 | $ | 127,787,890 | $ | (124,801,467 | ) | $ | 2,989,775 | ||||||||||
RESEARCH FRONTIERS INCORPORATED
Condensed Consolidated Statements of Cash Flows
(Unaudited)
| For the six months ended June 30, | |||||||||||||
| 2024 | 2023 | ||||||||||||
| Cash flows from operating activities: | |||||||||||||
| Net loss | $ | (536,626 | ) | $ | (956,288 | ) | |||||||
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||||||
| Depreciation and amortization | 12,951 | 13,661 | |||||||||||
| Realized gain on marketable securities | - | (26,375 | ) | ||||||||||
| ROU asset amortization | 71,486 | 73,308 | |||||||||||
| Bad debt recovery | - | (5,000 | ) | ||||||||||
| Change in assets and liabilities: | |||||||||||||
| Royalty receivables | (75,096 | ) | (71,558 | ) | |||||||||
| Prepaid expenses and other assets | (107,898 | ) | (130,791 | ) | |||||||||
| Accounts payable and accrued expenses | 36,108 | (35,741 | ) | ||||||||||
| Deferred revenue | 125,000 | 12,794 | |||||||||||
| Operating lease liability | (103,897 | ) | (96,925 | ) | |||||||||
| Net cash used in operating activities | (577,972 | ) | (1,222,915 | ) | |||||||||
| Cash flows from investing activities: | |||||||||||||
| Purchases of fixed assets | (154 | ) | (1,304 | ) | |||||||||
| Purchases of marketable securities | - | (2,965,160 | ) | ||||||||||
| Sales of marketable securities | - | 2,991,535 | |||||||||||
| Net cash (used in) provided by investing activities | (154 | ) | 25,071 | ||||||||||
| Cash flows from financing activities: | |||||||||||||
| Net proceeds from exercise of options and warrants | 8,670 | 484,502 | |||||||||||
| Net cash provided by financing activities | 8,670 | 484,502 | |||||||||||
| Net decrease in cash and cash equivalents | (569,456 | ) | (713,342 | ) | |||||||||
| Cash and cash equivalents at beginning of period | 2,475,958 | 4,230,916 | |||||||||||
| Cash and cash equivalents at end of period | $ | 1,906,502 | $ | 3,517,574 | |||||||||
FAQ
What was Research Frontiers' (REFR) fee income growth in Q2 2024?
How many consecutive quarters of revenue growth has REFR experienced?
What was Research Frontiers' (REFR) net loss in Q2 2024?
How much cash and working capital did REFR have as of June 30, 2024?
