Research Frontiers Reports Fourth Quarter and Full Year 2018 Financial Results

Research Frontiers Reports Q4 and Full Year 2018 Financial Results V2 Word File

Management to Host Conference Call at 4:30 p.m.

WOODBURY, N.Y., March 14, 2019 – Research Frontiers Inc. (Nasdaq: REFR) announced its financial results for its fourth quarter and full year ended December 31, 2018. 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, Seth Van Voorhees, CFO
  • Date/Time: Thursday, March 14, 2019 at 4:30PM ET
  • Dial-in Information:1-888-334-5785
  • Questions: Email to Questions@SmartGlass.com
  • Replay: Available on Friday, March 15, 2019 for 90 days at SmartGlass-IR.com

Key Comments:

  • In October 2018, Gauzy Ltd., a licensee of Research Frontiers, announced that it will be producing SPD-Smart light control film for the entire SPD-SmartGlass industry.
    • Gauzy announced that its Tel-Aviv film production line has a capacity to produce up to 364 thousand square meters of film per year per shift, and that its initial production will be 1.2 meters wide, and in 2019 they will be expanding this to 1.5 meters wide rolls and in 2020 to 1.8 meters wide rolls.
  • In February 2019, Gauzy Ltd. announced its second production facility in Stuttgart, Germany to produce SPD-Smart light control film for the entire SPD-SmartGlass industry.
    • This state-of-the-art facility with specially-designed coating and curing areas that will give Gauzy the capacity to coat over one million square meters of SPD film per year. Gauzy expects the new facility to be in production by the summer of 2019.
  • The Company’s SPD-SmartGlass technology has been used in the roofs of at least four new car models over the past four months.
  • The Company’s fee income from licensing activities for the year ended December 31, 2018 was $1,488,642 as compared to $1,509,070 for the year ended December 31, 2017 representing a $20,428 decrease between these two periods.
    • This decrease in revenues was principally the result of the adoption of ASC 606 which is a different revenue recognition standard which applies to revenues reported beginning with the first quarter of 2018.
    • The Company would have reported higher fee income of $1,553,468, representing a $64,826 increase in the reported fee income for the year ending December 31, 2018 had it continued to use the accounting guidance used prior to the adoption of ASC 606.
  • Expenses decreased by $20,820 for the year ended December 31, 2018 to $3,906,861 from $3,927,681 for the year ended December 31, 2017. This represents the fourth consecutive year that expenses at the Company have decreased and the fifth consecutive year of lower operating losses for the Company compared to the prior year.
  • The Company’s net loss was $2,686,128 ($0.10 per common share) for the year ended December 31, 2018 as compared to $2,413,859 ($0.10 per common share) for the year ended December 31, 2017.
  • The Company raised approximately $3.3 million from the issuances of common stock and warrants and exercise of options and warrants in 2018.
    • The Company has also received an additional $1.1 million from the early exercise of warrants to date during the first quarter of 2019.
  • The Company believes that its current cash and cash equivalents will fund its operations at least through the end of 2020.

For more details, please see the Company’s Quarterly Report on Form 10-K which was filed today with the SEC, the contents of which are incorporated by reference herein.

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 over 40 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 FacebookTwitterLinkedIn and YouTube.

CONTACT:

Seth L. Van Voorhees

Chief Financial Officer

Research Frontiers Inc.

+1-516-364-1902

Info@SmartGlass.com

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 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.