Universal Display Corp (OLED) 2026 Q1 法說會逐字稿

Good day, ladies and gentlemen, and welcome to Universal Display Corporation’s first-quarter 2026 earnings conference call. My name is Sherry, and I will be your conference moderator for today’s call. (Operator Instructions)

各位女士、先生，大家好，歡迎參加環宇顯示公司（Universal Display Corporation）2026 年第一季財報電話會議。我叫 Sherry，將擔任今天電話會議的主持人。（接線員指示）

As a reminder, this conference is being recorded for replay purposes. I would now like to turn the call over to Darice Liu, Senior Director of Investor Relations. Please proceed.

提醒各位，本次會議將錄音以供回放。現在我想把電話會議交給投資人關係資深總監 Darice Liu。請開始。

Thank you. Good afternoon, everyone. Welcome to Universal Display’s first quarter earnings conference call. Joining me on the call today are Steve Abramson, President and Chief Executive Officer; and Brian Millard, Chief Financial Officer and Treasurer.

謝謝。各位下午好。歡迎參加環宇顯示第一季財報電話會議。今天與我一同出席的有總裁兼執行長 Steve Abramson，以及財務長兼財務主管（Treasurer）Brian Millard。

Before Steve begins, let me remind you that today’s call is a property of Universal Display. Any redistribution, retransmission, or rebroadcast of any portion of this call in any form without the express written consent of Universal Display is strictly prohibited.

在 Steve 開始之前，先提醒各位，今天的電話會議內容為環宇顯示所有。未經環宇顯示明確書面同意，以任何形式對本次電話會議任何部分進行再散布、再傳輸或再廣播，均嚴格禁止。

Further, this call is being webcast live and will be made available for a period of time on Universal Display’s website. This call contains time-sensitive information that is accurate only as of the date of the live webcast of this call, April 30, 2026.

此外，本次電話會議將進行線上即時網路直播，並將在一段時間內於環宇顯示網站提供回放。本次電話會議包含具時效性的資訊，僅在本次即時網路直播日期（2026 年 4 月 30 日）當日為準確。

During this call, we may make forward-looking statements based on current expectations. These statements are subject to a number of significant risks and uncertainties, and our actual results may differ materially. These risks and uncertainties are discussed in the company’s periodic reports filed with the SEC and should be referenced by anyone considering making any investments in the company’s securities. Universal Display disclaims any obligation to update any of these statements.

在本次電話會議中，我們可能會基於目前預期發表前瞻性陳述。這些陳述受到多項重大風險與不確定性影響，我們的實際結果可能會有重大差異。相關風險與不確定性已於公司向美國證券交易委員會（SEC）提交的定期報告中討論，任何考慮投資本公司證券者均應參閱。環宇顯示不承擔更新任何此類陳述的義務。

Now, I would like to turn the call over to Steve Abramson.

現在，我想把電話會議交給 Steve Abramson。

Thanks, Darice, good afternoon, everyone. Thank you for joining us today and for your continued interest in Universal Display. Let me begin with how we are thinking about the business, both in the context of today’s environment and the longer-term opportunity we continue to see ahead.

謝謝你，Darice，各位下午好。感謝各位今天加入我們，並持續關注環宇顯示。我先從我們如何看待業務開始談起，包含在當前環境下的思考，以及我們持續看到的長期機會。

While the near-term backdrop has become more challenging, our long-term view remains unchanged. Our leadership at OLED, built on sustained innovation and deep customer integration, positions us well to navigate the near-term macro uncertainty while continuing to capture the industry’s long-term growth opportunities.

雖然短期環境變得更具挑戰，但我們的長期觀點仍然不變。我們在 OLED 領域的領導地位，建立在持續創新與與客戶深度整合之上，使我們能在短期宏觀不確定性中穩健前行，同時持續把握產業長期成長機會。

We operate a high margin business model with strong free cash flow generation, long-standing partnerships across the OLED ecosystem, and a balance sheet that provides meaningful strategic and financial flexibility.

我們採用高毛利的商業模式，具備強勁的自由現金流創造能力，與 OLED 生態系中的長期合作夥伴關係，以及能提供重要策略與財務彈性的資產負債表。

At the same time, visibility across the consumer electronics value chain has become more limited in recent months. A more cautious demand environment, higher component costs, and supply constraints are adding complexity to demand forecasting. These dynamics are consistent with what we are hearing broadly across the industry and reflected in newly published conservative outlooks from third-party market research firms. Against this backdrop of increased uncertainty, we believe it is prudent to moderate our near-term revenue expectations. Brian will provide additional details shortly.

同時，近幾個月來，消費性電子價值鏈的能見度變得更為有限。較為保守的需求環境、更高的零組件成本與供應限制，正使需求預測更為複雜。這些動態與我們在整體產業中廣泛聽到的情況一致，也反映在第三方市場研究機構近期發布的保守展望中。在不確定性升高的背景下，我們認為適度下調短期營收預期是審慎之舉。Brian 稍後將提供更多細節。

Despite these near-term dynamics, our profitability, cash flow generation, and lean operating model remain strong. We ended the quarter with approximately $911 million in cash and investments, supporting a measured and balanced capital allocation approach centered on investing in innovation, pursuing strategic opportunities, and returning capital to shareholders.

儘管存在這些短期動態，我們的獲利能力、現金流創造與精實的營運模式仍然強勁。本季結束時，我們持有約 9.11 億美元的現金與投資，支持一套審慎且平衡的資本配置策略，核心在於投資創新、追求策略性機會，以及回饋股東。

Over the last 12 months, we returned more than $187 million to shareholders through dividends and share repurchases. We announced today the authorization of a new $400 million share repurchase program following the full utilization of our prior $100 million authorization. While we remain disciplined in our approach, this authorization underscores our confidence in the long-term trajectory of the business and the strength of our cash generation model.

過去 12 個月，我們透過股利與庫藏股回購向股東回饋超過 1.87 億美元。在先前 1 億美元授權額度全數使用完畢後，我們今天宣布核准新的 4 億美元股票回購計畫。雖然我們仍將維持紀律性的執行方式，但此項授權凸顯我們對公司長期發展軌跡的信心，以及我們現金創造模式的強勁。

Looking beyond the near term, the growth runway for OLEDs remains as compelling as ever. Adoption is expanding across IT, automotive, televisions, and foldables, and emerging architectures such as tandem. At the same time, performance expectations continue to rise across key dimensions, including brightness, power efficiency, lifetime, and color performance. As these requirements increase, materials and technology innovation becomes even more critical, reinforcing the value of our capabilities and our role in enabling progress across the OLED ecosystem.

放眼短期之外，OLED 的成長跑道依然一如既往地具吸引力。採用正擴展至 IT、車用、電視與摺疊裝置，以及如串疊（tandem）等新興架構。同時，在亮度、功耗效率、壽命與色彩表現等關鍵面向，性能要求持續提高。隨著這些要求提升，材料與技術創新變得更加關鍵，進一步凸顯我們能力的價值，以及我們在推動 OLED 生態系進步中的角色。

Phosphorescent blue continues to be a significant opportunity for the industry and a key area of focus for us. As specifications advance and new architectures emerge, expectations for blue are becoming more demanding and more varied across applications. In turn, we are aligning our blue development program to meet these increasingly complex specifications. While this evolution is extending the development path, our conviction in the commercialization of phosphorescent blue has not wavered.

磷光藍光仍是產業的重要機會，也是我們的重點投入領域。隨著規格演進與新架構出現，對藍光的期待在各應用間變得更嚴苛且更多樣化。因此，我們正調整藍光開發計畫，以滿足日益複雜的規格需求。雖然這樣的演進拉長了開發路徑，但我們對磷光藍光商業化的信念絲毫未動搖。

The value proposition is clear. When adopted, we believe phosphorescent blue has the potential to deliver up to an initial 25% improvement in OLED panel energy efficiency, a meaningful advance at a time when devices are being asked to do more, run longer, and perform better. That is a compelling proposition for the industry, and the market interest reflects it. We look forward to sharing additional technical detail next week during our invited paper presentation at SID Display Week.

其價值主張非常清楚。一旦導入，我們相信磷光藍光有潛力在初期帶來最高約 25% 的 OLED 面板能效提升；在裝置被要求做得更多、續航更久、表現更佳的當下，這是一項具意義的進步。這對產業而言是極具吸引力的主張，而市場的興趣也反映了這一點。我們期待在下週 SID Display Week 的受邀論文發表中，分享更多技術細節。

Supporting this work is an increasingly powerful in-house R&D engine. We are applying AI and machine learning at greater scale to enhance material discovery, evaluate candidates more effectively, and prioritize development pathways. For example, these tools allow us to predict thermal processing stability up to 10,000 times faster than traditional density functional theory while achieving near comparable accuracy.

支撐這項工作的，是我們日益強大的內部研發引擎。我們以更大規模導入 AI 與機器學習，以強化材料探索、更有效評估候選材料，並優先排序開發路徑。例如，這些工具讓我們能以比傳統密度泛函理論快多達 10,000 倍的速度預測熱製程穩定性，同時達到近乎可比的準確度。

By combining AI-driven modeling with more than 20 years of proprietary data, deep device expertise, and decades of OLED know-how, we are accelerating progress in phosphorescent blue while also advancing innovation across our next generation red, green, and yellow emissive materials.

透過結合 AI 驅動的建模、超過 20 年的專有資料、深厚的元件（device）專業，以及數十年的 OLED 技術 know-how，我們正加速磷光藍光的進展，同時也推動下一代紅、綠、黃發光材料的創新。

More broadly, earlier this month at ICDT, China’s largest display technical symposium, we highlighted a meaningful shift underway in the industry. As performance requirements continue to broaden, progress increasingly depends on advancing materials, device architecture, and display design together with a greater emphasis on energy efficiency.

更廣泛而言，本月稍早在 ICDT（中國最大的顯示技術研討會）上，我們強調產業正在出現一項重要轉變。隨著性能要求持續擴大，進展愈來愈依賴於材料、元件架構與顯示設計的協同推進，並更加重視能源效率。

This system-level approach is supporting the development of advanced OLED architectures, such as tandem and hybrid structures, advanced pixel layouts, and PSF, helping address the evolving performance demands across applications. This direction aligns well with our long-standing development philosophy and reinforces our role in enabling innovative OLED solutions as the industry evolves and grows.

這種系統層級的方法正支持先進 OLED 架構的開發，例如串疊（tandem）與混合結構、先進像素佈局，以及 PSF，協助因應各應用不斷演進的性能需求。此一方向與我們長期以來的開發理念高度一致，並強化我們在產業演進與成長過程中，促成創新 OLED 解決方案的角色。

One example we shared in the invited paper was the incorporation of our phosphorescent material into the industry’s first commercial green PSF product targeting BT.2020 specifications introduced by Visionox. This milestone highlights the growing role of our phosphorescent materials in enabling next generation OLED architectures and reinforces our position at the forefront of OLED innovation.

我們在受邀論文中分享的一個例子，是將我們的磷光材料導入由維信諾（Visionox）推出、符合 BT.2020 規格、業界首款商用綠光 PSF 產品。這一里程碑凸顯我們的磷光材料在推動下一代 OLED 架構中的角色日益重要，並鞏固我們在 OLED 創新前沿的地位。

The same depth of collaboration extends across our broader customer base. During the first quarter, we announced new long-term agreements with Tianma and LG Display. These agreements underscore the value we deliver and the trust we have built over multiple technology cycles.

同樣深度的合作也延伸至我們更廣泛的客戶群。第一季期間，我們宣布與天馬（Tianma）及 LG Display 達成新的長期協議。這些協議凸顯我們所提供的價值，以及我們在多個技術週期中建立的信任。

At the industry level, we believe OLED is entering the early stages of a multi-year capacity expansion cycle. Significant new Gen 8.6 investments are progressing in Korea and China to support growing adoption across IT and automotive applications.

就產業層面而言，我們認為 OLED 正進入為期多年的產能擴張循環的早期階段。為支援 IT 與車用應用的採用成長，韓國與中國正推進多項重要的第 8.6 代（Gen 8.6）新投資。

Samsung Display’s $3.1 billion facility is reportedly nearing commercial shipments, and BOE’s $9 billion fab has entered customer sample validation and is targeting mass production in the second half of this year. Visionox has begun equipment move-in at its $7.6 billion facility, and TCL China Star continues construction on its $4.1 billion greenfield plant.

據報導，Samsung Display 投資 31 億美元的設施已接近開始商業出貨，而 BOE 投資 90 億美元的晶圓廠已進入客戶樣品驗證階段，並以今年下半年量產為目標。Visionox 已在其投資 76 億美元的設施開始設備進場，TCL 華星則持續在其投資 41 億美元的綠地新廠進行建設。

We view this year as the beginning of a longer ramp, with output increasing over time as facilities move through qualification, yield ramp, and production scaling. Taken together, these developments across technology roadmaps, customer engagement, and manufacturing capacity reinforce our conviction in OLED’s long-term growth trajectory and in the increasingly important role we play in enabling next-generation architectures that advance performance.

我們將今年視為較長期爬坡期的起點，隨著各項設施完成認證、良率爬坡並擴大生產規模，產出將隨時間逐步提升。綜合而言，這些在技術路線圖、客戶互動與製造產能方面的進展，強化了我們對 OLED 長期成長軌跡的信心，也凸顯我們在促成可提升效能的次世代架構中所扮演日益重要的角色。

With our materials leadership, deep customer partnerships, strong financial foundation, and disciplined capital allocation, we believe we are uniquely positioned to drive sustainable long-term value creation.

憑藉我們在材料方面的領先地位、深厚的客戶夥伴關係、穩健的財務基礎以及嚴謹的資本配置，我們相信自己具備獨特優勢，能推動可持續的長期價值創造。

With that, I’ll turn the call over to Brian.

接下來，我把電話交給 Brian。

Thank you, Steve. Revenue for the first quarter of 2026 was $142 million compared to $166 million in the first quarter of 2025. While material volumes decreased by approximately 4% year-over-year, total revenue decreased by 14%. This year-over-year decrease was primarily driven by customer mix, as well as tariff-related purchasing activity by Chinese customers in the prior year period and a softer macro environment between periods.

謝謝你，Steve。2026 年第一季營收為 1.42 億美元，較 2025 年第一季的 1.66 億美元下降。雖然材料出貨量年減約 4%，但總營收下降 14%。這項年減主要由客戶組合所致，此外也受到前一年同期中國客戶因關稅相關因素而提前採購，以及兩期間宏觀環境轉弱的影響。

The ratio of materials to royalty and licensing revenue during the first quarter was approximately 1.5 to 1. For the full year, we continue to expect this ratio to average closer to 1.3 to 1 as customer mix normalizes.

第一季材料營收與權利金及授權營收的比率約為 1.5 比 1。就全年而言，隨著客戶組合回歸常態，我們仍預期該比率平均將更接近 1.3 比 1。

As Steve discussed, the operating environment has become more challenging over the past few months. Near-term visibility has declined as macro pressures weigh on consumer demand assumptions, while higher memory pricing and supply constraints continue to temper end market expectations.

如 Steve 所提到，過去幾個月營運環境變得更具挑戰。由於宏觀壓力影響消費需求假設，短期能見度下降；同時，較高的記憶體價格與供應限制仍持續抑制終端市場預期。

Based on current forecasts, we expect second quarter revenue to be sequentially higher than the first quarter, and we continue to expect the second half of the year to be stronger than the first half. At the same time, given reduced near-term visibility and the evolving macro backdrop, we believe it is prudent to revise our full-year revenue guidance range to $630 million to $670 million from our prior guidance range of $650 million to $700 million.

根據目前的預測，我們預期第二季營收將較第一季呈現季增，且我們仍預期下半年將強於上半年。同時，鑑於短期能見度降低以及宏觀背景持續演變，我們認為審慎起見，將全年營收指引區間由先前的 6.5 億至 7.0 億美元，下修至 6.3 億至 6.7 億美元。

Turning to materials, total material sales were $84 million in the first quarter compared to $86 million in the first quarter of 2025. Green emitter sales, which include our yellow-green emitters, were $64 million in both periods. Red emitter sales were $20 million in the first quarter of 2026 compared to $21 million in the first quarter of 2025.

就材料而言，第一季材料總銷售額為 8,400 萬美元，較 2025 年第一季的 8,600 萬美元略降。綠光發光材料銷售（包含我們的黃綠光發光材料）兩個期間皆為 6,400 萬美元。紅光發光材料銷售在 2026 年第一季為 2,000 萬美元，較 2025 年第一季的 2,100 萬美元下降。

As we’ve discussed in the past, material buying patterns can vary quarter to quarter. First quarter royalty and licensing fees were $54 million compared to $74 million in the prior year period, primarily reflecting changes in customer mix. Adesis revenue in the first quarter was $4.3 million compared to $6.6 million in the first quarter of 2025.

如我們過去所討論，材料採購模式可能會因季度而異。第一季權利金與授權費用為 5,400 萬美元，較前一年同期的 7,400 萬美元下降，主要反映客戶組合的變化。Adesis 第一季營收為 430 萬美元，較 2025 年第一季的 660 萬美元下降。

First quarter cost of sales was $36 million, resulting in a total gross margin of 75%, which is consistent with our full year gross margin guidance range of 74% to 76%. This compares to cost of sales of $38 million and total gross margin of 77% in the first quarter of 2025.

第一季銷貨成本為 3,600 萬美元，使整體毛利率達 75%，與我們全年毛利率指引區間 74% 至 76% 一致。相較之下，2025 年第一季銷貨成本為 3,800 萬美元，整體毛利率為 77%。

Operating expenses, excluding cost of sales, were $63 million in the first quarter, compared to $58 million in the prior year period. Operating income for the quarter was $43 million, representing an operating margin of approximately 30%, compared to operating income of $70 million and an operating margin of approximately 42% in the first quarter of 2025. The year-over-year decline reflects lower volumes, customer and product mix, and higher input costs.

第一季營業費用（不含銷貨成本）為 6,300 萬美元，較前一年同期的 5,800 萬美元增加。本季營業利益為 4,300 萬美元，營業利益率約 30%；相較之下，2025 年第一季營業利益為 7,000 萬美元，營業利益率約 42%。年減主要反映出貨量較低、客戶與產品組合，以及投入成本上升。

Non-operating expense for the quarter was $6.2 million, primarily reflecting foreign exchange and investment-related items. This included a $3 million foreign exchange loss related to movements in the Korean won associated with a tax receivable, as well as a $2.7 million investment loss on our marketable equity securities.

本季營業外費用為 620 萬美元，主要反映外匯與投資相關項目。其中包括與一項稅款應收款相關、因韓元匯率變動造成的 300 萬美元外匯損失，以及我們可交易股票證券的 270 萬美元投資損失。

The income tax rate was 21% in the first quarter of 2026. For the full year, we now expect our effective tax rate to be approximately 20%. Net income for the first quarter was $36 million, or $0.76 per diluted share, compared to $64 million, or $1.35 per diluted share in the first quarter of 2025. We generated $109 million of operating cash flow in the first quarter and ended March with approximately $911 million in cash and investments.

2026 年第一季所得稅率為 21%。就全年而言，我們目前預期有效稅率約為 20%。第一季淨利為 3,600 萬美元，稀釋後每股盈餘 0.76 美元；相較之下，2025 年第一季淨利為 6,400 萬美元，稀釋後每股盈餘 1.35 美元。第一季我們產生 1.09 億美元的營運現金流，並於 3 月底持有約 9.11 億美元的現金與投資。

During the first quarter, we repurchased approximately 633,000 shares of common stock for $66 million and completed our previously authorized $100 million share repurchase program, having repurchased a total of approximately 924,000 shares under that authorization. Building on this, the Board authorized a new $400 million share repurchase program and declared a cash dividend of $0.50 per share for the second quarter.

第一季期間，我們以 6,600 萬美元回購約 633,000 股普通股，並完成先前核准的 1 億美元庫藏股回購計畫；在該授權下合計回購約 924,000 股。在此基礎上，董事會核准新的 4 億美元庫藏股回購計畫，並宣告第二季每股 0.50 美元的現金股利。

These actions reflect our continued commitment to a disciplined and balanced capital allocation framework underpinned by strong free cash flow generation. We remain thoughtful but opportunistic in our approach to share repurchases while maintaining the flexibility to invest and support future growth.

這些行動反映我們在強勁自由現金流支撐下，持續致力於嚴謹且均衡的資本配置架構。在維持投資彈性以支持未來成長的同時，我們對股票回購的作法仍保持審慎但把握機會。

With that, I’ll turn the call back to Steve.

接下來，我把電話交回給 Steve。

Thanks, Brian. Two and a half weeks ago, we rang the Nasdaq closing bell to mark 30 years as a publicly listed company. We started with little more than a bold idea to help revolutionize the display industry. At a time when CRT televisions dominated the living rooms, our journey required tenacity, resilience, and a long-term vision.

謝謝，Brian。兩個半星期前，我們敲響納斯達克收盤鐘，紀念公司作為上市公司滿 30 週年。我們起步時幾乎只有一個大膽的想法：協助顯示產業的革命。在 CRT 電視主宰客廳的年代，我們的旅程需要堅韌、韌性，以及長期願景。

Over these three decades, OLED has evolved from a laboratory concept into a global display platform powering billions of devices and supporting an industry estimated approximately $50 billion this year. We’re proud of how far we’ve come and even more energized by how far we will go in the years ahead. The best of Universal Display is still to come.

在這三十年間，OLED 已從實驗室概念演進為全球顯示平台，為數十億台裝置提供動力，並支撐一個今年估計約 500 億美元的產業。我們為一路走來的成果感到自豪，也對未來幾年的前進方向更感振奮。Universal Display 最精彩的篇章仍在後頭。

I would like to thank each of our employees for their drive, desire, dedication, and heart in elevating and shaping Universal Display’s accomplishments and advancements. We are committed to being a leader in the OLED ecosystem, achieving superior long-term growth and delivering cutting-edge technologies and materials for the industry, for our customers, and for our shareholders.

我要感謝每一位員工，感謝你們的衝勁、渴望、投入與熱忱，推動並塑造 Universal Display 的成就與進步。我們致力於成為 OLED 生態系的領導者，實現卓越的長期成長，並為產業、客戶與股東提供最先進的技術與材料。

With that, operator, let’s start the Q&A.

接下來，麻煩主持人，我們開始問答。

(Operator Instructions)

（主持人指示）

Brian Lee, Goldman Sachs.

高盛 Brian Lee。

I guess starting with the guidance revision here, I know starting off the year, you guys had talked about how you’re always tied to the square meter surface area growth, and you had alluded to sort of mid-single digit, maybe 6%, specifically, as sort of the guiding principle for your revenue outlook for 2026. Clearly, the year’s been weaker, smartphone cuts have accelerated, but are you seeing that in capacity growth too? If so, can you quantify?

我想先從這次指引下修談起。我知道年初你們曾提到，你們的表現一向與每平方公尺表面積的成長綁得很緊，並暗示 2026 年營收展望的指導原則大概是中個位數成長，可能具體約 6%。顯然今年走勢較弱，智慧型手機的削減也加速了，但你們在產能成長上也看到同樣情況嗎？如果是的話，能否量化？

Then, as it relates to the smartphone pressures, can you speak to kind of the high end and mid-range? Those are the areas that you obviously have the most exposure to, given OLED is well represented there. What’s your view on kind of what the high-end, mid-range parts of the market are gonna do this year if overall smartphones are now expected to be down call it 15%, 20%, depending on who you talk to?

那麼，關於智慧型手機的壓力，你能談談高階與中階市場的情況嗎？鑑於 OLED 在那裡的滲透率很高，而你們在這些領域的曝險也最深。如果整體智慧型手機今年現在預期會下滑，大概 15%、20%（視你問誰而定），你對今年高階、中階市場各部位會怎麼走有什麼看法？

Firstly on the guidance there has been an overall change in growth expectations this year, both in terms of area as well as units over the last, even the last two months since February. And on the area, now there’s a projection of roughly a 2% growth in square area this year. And as you know, we occasionally do grow below that overall area industry growth because of customer efficiencies and other factors that come into place.

首先就指引而言，今年整體成長預期已經出現變化，無論是以面積或以出貨量來看，在過去——甚至自二月以來的這兩個月——都有所調整。就面積而言，目前預估今年方形面積約成長 2%。而如你所知，由於客戶效率提升及其他因素的影響，我們有時的成長會低於整體產業面積成長。

As it relates to the capacity, the capacity plans that we’ve talked about and that Steve reiterated today in his prepared remarks continue to be moving forward at full force. Samsung and BOE coming online this year, and Visionox and China Star thereafter. That is all really no changes as it relates to that.

至於產能方面，我們先前談過、且 Steve 今天在事先準備的發言中也再次強調的產能規劃，仍在全力推進。Samsung 與 BOE 今年將上線，之後是 Visionox 與 China Star。就這部分而言，基本上沒有任何變動。

To your last point on smartphones, this year, certainly the more premium models are expected to be more insulated from some of the memory concerns. With OLEDs now having 65%-plus penetration, we are in the mid and even some of the low-end models as well. There is exposure that OLED has to the mid and low end that would be subject to some of the memory concerns out there, and that has evolved even over the last 2.5 months here.

回到你最後一點關於智慧型手機，今年確實預期較高階的機種會更能隔離部分記憶體相關疑慮的影響。隨著 OLED 滲透率已達 65% 以上，我們也已進入中階，甚至部分低階機種。OLED 在中低階的曝險，會受到目前市場上記憶體疑慮的一些影響，而這點在過去約 2.5 個月也有所演變。

Great. That’s helpful. Then maybe a couple more here just on the China revenue contribution in Q1. That was particularly soft, especially in the context of your Korean customers still spending quite a bit. Can you speak to the trends you’re seeing in China? Is there inventory? Is there just end market demand, share issues? Just what’s happening with the China backdrop? Because it does seem like your two Korean customers spent a pretty good amount here in Q1.

很好。這很有幫助。接著我再問幾個，關於第一季中國營收貢獻。那部分特別疲弱，尤其是在你們韓國客戶仍然投入不少支出的背景下。你能談談你們在中國看到的趨勢嗎？是有庫存問題嗎？還是終端市場需求、份額等問題？中國整體環境到底發生了什麼？因為看起來你們兩家韓國客戶在第一季花了相當多。

Well, Brian, as you know, the China revenues are much lumpier over the course of the year than the Korean revenues. We still have a very strong position, obviously, in China. We are working closely with all of our Chinese customers. We believe that that’s going to pick up throughout the year.

嗯，Brian，如你所知，中國營收在一年當中的波動性比韓國營收大得多。我們在中國仍然有非常強的地位，這點很明顯。我們正與所有中國客戶密切合作。我們相信這會在今年逐步回升。

Okay. Fair enough. Thanks, Steve. Last one from me, maybe this one for you as well, Steve. I think you made a comment during your prepared remarks about different architectures and one caught my attention. You mentioned hybrid architectures, and I think you mentioned Tianma by name. Is there any notable progress or developments that UDC is seeing with TADS hybrid recipes? Maybe bigger picture question, why are customers looking at hybrid to begin with instead of just a full phosphorescent system?

好的。可以理解。謝謝你，Steve。我最後一題，可能也想請你回答，Steve。我記得你在事先準備的發言中提到不同的架構，其中有一點引起我注意。你提到混合式架構（hybrid architectures），而且我想你還點名提到天馬（Tianma）。UDC 在 TADS 的混合配方（hybrid recipes）方面，有看到任何值得注意的進展或發展嗎？更宏觀地問，為什麼客戶一開始會考慮混合式，而不是直接採用全磷光（full phosphorescent）系統？

Hybrid means a bunch of different things, and I think it was separate than the Tianma issue. Hybrid in this context means you combine a layer of phosphorescent technology with a layer of fluorescent technology. What that does is it enables you to get the best of both technologies. You can get the efficiency from phosphorescence and the color points and lifetimes from fluorescence, and that type of technology can expand the market. That’s, I think, what our customers are looking for.

「混合」有很多不同的意思，我認為那和天馬的議題是分開的。在這裡的語境下，混合是指把一層磷光技術與一層螢光技術結合起來。這樣做能讓你同時取得兩種技術的優點。你可以從磷光取得效率，並從螢光取得色點與壽命，而這類技術可以擴大市場。我想這就是我們客戶在尋找的方向。

Okay, yeah, it makes sense. I'll pass it on. Thanks for the clarification.

好的，是的，這很合理。我就把問題交給下一位。謝謝你的說明。

James Ricchiuti, Needham & Company.

James Ricchiuti，Needham & Company。

Hi. Thanks. I was just wondering, just given the softer environment, and you may have given this, Brian, but I’m just wondering how we should be thinking about OpEx as we look out over the balance of the year.

嗨。謝謝。我只是想問，在環境較疲弱的情況下——Brian 你可能已經回答過——我想了解我們在看今年剩餘時間時，應該如何看待營業費用（OpEx）。

We had guided back in February, mid to high single digit growth in OpEx this year. I think it’s trending more toward mid at this point. As we’ve always had a very lean OpEx organization continuing to fund R&D and all the investment opportunities we need to make there, but maintaining a lean SG&A organization. That continues to be the case, and we’re being very cautious on spend this year just based on the overall environment.

我們在二月給的指引是，今年 OpEx 將呈現中到高個位數成長。我認為目前趨勢更偏向「中」的那一端。我們一向維持非常精實的 OpEx 組織，持續投入研發以及我們需要把握的各項投資機會，同時維持精簡的銷售、一般及行政（SG&A）組織。這點仍然不變，而且基於整體環境，今年我們在支出上會非常謹慎。

Sure. Makes sense. With respect to the separate release you made, regarding a new presentation, new paper at the upcoming SID show on blue, when last did you guys deliver a paper on blue at that conference? Can you remind me?

了解。合理。關於你們另外發布的新聞稿，提到在即將到來的 SID 展上會有一個關於藍光的新簡報、新論文，你們上一次在那個會議上發表藍光相關論文是什麼時候？可以提醒我一下嗎？

It’s been a few years. Some of our customers have presented papers on blue in recent years, but it’s been a while since we have. We’re excited to share some of the progress that we’ve made over the last few years in our blue development efforts. This is really our first blue paper in quite some time. We’re excited to get that out there and share those details next week.

已經有好幾年了。近年來我們有些客戶曾發表過藍光相關論文，但我們自己已經有一段時間沒有了。我們很期待分享過去幾年在藍光開發工作上取得的一些進展。這確實是我們相當長一段時間以來的第一篇藍光論文。我們很期待把它發表出來，並在下週分享那些細節。

Okay. Then one final question, if I may. Just this relates to the question Brian just asked about China. If we think about what happened regarding tariffs last year, when did you see the biggest stockpiling of materials as it related to some of the tariff concerns that some of the Chinese display manufacturers had? I’m trying to get a sense is that how much that played a role in the decline in China this quarter.

好的。那最後一個問題，如果可以的話。這與 Brian 剛才問的中國問題有關。如果回想去年關於關稅的事件，就一些中國面板製造商對關稅疑慮而言，你們是在什麼時候看到材料囤貨（stockpiling）最明顯？我想了解這在本季中國下滑中扮演了多大角色。

Yeah. It was largest in April, but there certainly was some toward the end of Q1. At the time -- as time went on, it became clear to us that a lot of the strength that we had in the Chinese market in Q1 of 2025 was tariff related. The largest bit of it was in April following the US tariff announcement, and customers placing significant orders thereafter. It was in both Q1 and Q2 last year.

是的。最大是在四月，但在第一季末也確實有一些。隨著時間推進，我們逐漸清楚，2025 年第一季我們在中國市場的強勁表現，有很大一部分與關稅有關。最大的一波是在美國宣布關稅之後的四月，客戶隨後下了大量訂單。這發生在去年的第一季與第二季。

Scott Searle, Roth Capital Partners.

Scott Searle，Roth Capital Partners。

Maybe to follow up on the China front a little bit, I was hoping to get a little more granularity in terms of some of the linearity that you’re seeing and historic buying patterns ahead of new fab capacity launch, if you could remind us what that’s looked like in the past.

我想在中國這一塊再追問一下，希望能更細緻地了解你們看到的線性（linearity）情況，以及在新廠產能啟動前的歷史採購模式；如果可以的話，能否提醒我們過去大概是什麼樣子？

Also wondering just your latest thoughts in terms of China and exposure more on the smartphone front relative to IT or TVs. Qualcomm last night, I think, was referencing they thought things start to loosen up as we get into the September quarter. I’m wondering if you’re starting to see some of that, I’ll call it optimism or order patterns from your customers in China, and then I have follow-up.

另外也想請教你們對中國的最新看法：相較於 IT 或電視，你們在智慧型手機端的曝險如何？Qualcomm 昨晚我記得提到，他們認為進入九月季度後情況會開始鬆動。我想知道你們是否也開始看到一些我稱之為樂觀情緒或訂單模式的變化，來自你們在中國的客戶；然後我還有後續問題。

Sure. On your point about fab ramps and volumes associated with fab ramps historically, especially many years ago, there was a good bit of yield issues and challenges as our customers turned on new fabs. They’ve gotten much more efficient in their use of materials. But we do have a component of our guidance this year is reflective of materials that will be needed to bring on new capacity coming online this year.

當然。就您提到的晶圓廠（fab）爬坡以及歷史上與晶圓廠爬坡相關的出貨量而言，特別是在很多年前，當我們的客戶啟用新廠時，確實存在不少良率問題與挑戰。他們在材料使用效率方面已經提升許多。但我們今年的財測指引中，確實有一部分反映了今年將有新產能上線所需的材料。

As it relates to the year and what we’re expecting, we do continue to expect mid to high 40% of revenues to be in the first half and the balance in the second half, which does imply a continued ramp over heading into the second half.

就今年以及我們的預期而言，我們仍預期營收約中到高 40% 會落在上半年，其餘在下半年，這也意味著在進入下半年時仍會持續爬坡。

Brian, just to follow up on that, do you have visibility at this point in time to China specifically in that recovery?

Brian，我想就此追問一下，針對中國在這波復甦中，你目前是否有具體能見度？

We always get a ongoing forecast from customers and have routine conversations with them about what their forecasts are expected. As you know, our China market, as Steve just said a few minutes ago, it’s been very lumpy historically, and that continues to be the case. We have visibility right now to what we expect for the rest of the year. We feel that our guidance range properly balances the outcomes that we can see ahead of us. We do expect China revenues to grow in the coming quarters, as Steve mentioned earlier.

我們一向會從客戶那裡取得持續更新的預測，並且定期與他們溝通其預測預期。如你所知，我們的中國市場，正如 Steve 幾分鐘前所說，歷來波動很大，而且目前仍是如此。我們目前對今年剩餘期間的預期有一定能見度。我們認為我們的指引區間已適當平衡了我們可預見的各種結果。我們確實預期中國營收在接下來幾季會成長，正如 Steve 先前提到的。

Great. Thank you. Steve, to maybe follow up on the hybrid architecture, as I understand it sounds like that’s been complicated, the process and timeline for the adoption of blue. I’m wondering if you could give us some thoughts in terms of how you’re seeing customers looking to implement blue, whether it’s in a hybrid architecture or otherwise, if that is part of the basically the hesitation or kind of extended the timeline for adoption.

很好。謝謝。Steve，我想就混合式架構再追問一下。依我理解，採用藍光（blue）的流程與時程似乎相當複雜。我想請你談談你如何看待客戶導入藍光的方式，不論是在混合式架構或其他架構中；這是否基本上就是客戶猶豫、或導致採用時程拉長的原因之一？

Well, I think you’ve hit an important point. I mean, customers are looking at a number of different ways to implement phosphorescent blue using phosphorescence and fluorescence. Because you’re using multiple materials, the matching in those materials becomes even more complicated, so it delays the timeline. It also, as we are continuing our development efforts, we’re working on specific implementations to meet our customers’ needs.

我想你點出了很重要的一點。客戶正在評估多種不同方式來導入磷光藍光，包含同時使用磷光與螢光。因為你使用多種材料，材料之間的匹配會變得更複雜，因此會延後時程。此外，隨著我們持續推進研發工作，我們也在針對特定的實作方式進行開發，以滿足客戶需求。

Got you. Steve, just to follow up on that, then I’ll get back in the queue. From an economic standpoint and performance standpoint for the customer, do the hybrid architectures meet what the customers need, that these are commercially deployable products, and we’ve just kind of, I’ll call it, had an extended timeline related to the complexity of the new architectures?

了解。Steve，我再追問一下，然後我就回到排隊序列。從客戶的經濟性與效能角度來看，這些混合式架構是否能滿足客戶需求、是否屬於可商業部署的產品？而我們只是因為新架構的複雜性，導致時程拉長？

Well, I’ll answer multiple ways. You have to talk to our customers on the product introduction, in terms of the timing. Having said that, it’s clearly a question of when, not if. We’re working really hard with our customers to make sure that blue gets introduced as quickly as possible.

我會從幾個角度回答。關於產品導入的時點，你必須和我們的客戶談。話雖如此，這顯然是「何時」的問題，而不是「是否」的問題。我們正非常努力地與客戶合作，確保藍光能盡快導入。

Scott, just adding on to Steve’s comments. When LG Display May of last year, they went out at SID Display Week last year and showcased a hybrid tandem arc tablet using our material that was using one layer of fluorescent, one layer of phosphorescent.

Scott，我補充 Steve 的評論。去年 5 月，LG Display 在 SID Display Week 上展示了一款使用我們材料的混合式串疊（hybrid tandem）ARC 平板，採用一層螢光、一層磷光。

They noted at that time, both at the show as well as in their press release, that it was a commercially performing display that they had validated using commercial equipment. That we believe evidenced the use of our material in a commercial system.

他們當時在展會以及新聞稿中都指出，這是一款商業等級性能的顯示器，並且已使用商用設備完成驗證。我們認為這證明了我們材料在商業系統中的應用。

(Operator Instructions)

(接線員指示)

Martin Yang, Oppenheimer & Company.

Oppenheimer & Company 的 Martin Yang。

Hi. Thank you for taking my question. My question first is on the guidance. Can you maybe talk about the guidance range when it comes to your expectations broken down by capacity related ups and downs, product re-release timing, and then underlying market?

你好。謝謝讓我提問。我第一個問題是關於財測指引。你能否談談指引區間，並依產能相關的上下波動、產品重新推出（re-release）時點，以及基本面市場等因素來拆解你們的預期？

Yeah. Martin, it’s. Our guidance range really reflects specifically we already know what capacity is going to be online this year. That is unchanged since February. What has changed is the overall macro environment with certainly the, what’s going on in the Middle East and oil prices being where they are. And therefore gas prices for consumers, all that is new.

好的。Martin，是這樣。我們的指引區間主要反映：我們已經清楚今年會有哪些產能上線。這點自 2 月以來沒有改變。改變的是整體總體環境，尤其是中東局勢以及油價所處的位置。因此，對消費者而言的汽油價格等，這些都是新的變數。

We’ve seen people that we talk to in the industry as well as the market research firms that track the industry all lowering their estimates over the last 2 months for the year just based on what’s out there.

我們看到我們在產業中接觸到的人士，以及追蹤產業的市場研究機構，在過去兩個月都下調了今年的預估，主要就是基於目前外部環境。

As it relates to specific models and, and end markets, certainly the mid-range smartphones, mid and to the extent that OLEDs are in the low end, which we are in a few models of low end as well, those are the areas where I think we’re seeing the most pressure. Certainly the expectations for OLED smartphone growth this year have come down since February as well.

就特定機型與終端市場而言，特別是中階智慧型手機，以及在 OLED 也進入低階的部分（我們在少數低階機型中也有），我認為這些領域正承受最大的壓力。今年 OLED 智慧型手機成長的預期，自 2 月以來也已下修。

A follow-up on your capacity, input in your guidance, because we are getting new Gen 8 fabs online, do you feel confident that you have a good sense of how those new fabs will consume materials for the year?

關於你們指引中對產能的假設再追問一下：因為我們看到新的第 8 代（Gen 8）晶圓廠上線，你們是否有信心對這些新廠今年的材料消耗量有良好掌握？

Yeah, we’ve not heard that there’s any shift in the plans that our customers have to bring that capacity online. And there is an expectation but Samsung is expected in the middle of this year to have their equipment for mass production and BOE shortly thereafter. That has been the case and was expected back in February as well when we issued guidance.

是的，我們沒有聽到客戶在讓該產能上線的計畫上有任何變動。市場預期三星在今年年中會具備量產設備，而 BOE 會在不久之後跟進。這一直都是如此，也是在我們 2 月發布指引時就已預期的。

And so, things from, in terms of the new capacity coming online, that’s really not changed since February, and we do believe that they will come online, and, we know our customers are actively working to make sure that capacity is utilized.

因此，就新產能上線而言，自 2 月以來其實沒有改變；我們也相信它們會上線，而且我們知道客戶正積極努力，確保這些產能能被有效利用。

Got it. Last question from me on IP. Can you maybe remind us your approach to IP protection? We’re starting to see more phosphorescence OLED developers outside of China, mainly in Korea. Can you maybe remind us your IP position as well as your approach to protect your IP?

了解。我最後一個問題是關於智慧財產權（IP）。你能否提醒我們你們的 IP 保護策略？我們開始看到更多中國以外的磷光 OLED 開發者，主要在韓國。你能否再說明你們的 IP 佈局，以及你們保護 IP 的做法？

Well, we firmly believe that when you have inventions, you need to protect them, and we protect them with our IP worldwide. We have over 7,000 patents worldwide. We utilize our IP as part of our product development because we have strong IP protection as well as the best materials on the market. We believe that that is a winning combination and has been for quite some time.

我們堅信，當你有發明時，就需要保護它們，而我們以全球範圍的 IP 來保護。我們在全球擁有超過 7,000 件專利。我們將 IP 作為產品開發的一部分來運用，因為我們具備強而有力的 IP 保護，同時也擁有市場上最好的材料。我們相信這是一個致勝的組合，而且已經維持相當長一段時間。

Thank you. This will conclude our question-and-answer session. I would like to turn the program back to Brian Millard for any additional closing remarks.

謝謝。問答環節到此結束。我想把時間交回給 Brian Millard，請他做任何額外的結語。

Thank you for your questions. We remain confident in long-term opportunities ahead for Universal Display and the OLED industry, and we appreciate your continued interest. We look forward to speaking with you again next quarter.

謝謝各位的提問。我們對 Universal Display 與 OLED 產業的長期機會仍然充滿信心，也感謝各位持續關注。我們期待在下個季度再次與各位交流。

Thank you. This will conclude today's teleconference. You may disconnect at this time, and thank you for your participation.

謝謝。今天的電話會議到此結束。您現在可以掛線，感謝您的參與。