Research Frontiers Reports First Quarter 2025 Financial Results and Will Host a Conference Call at 4:30p.m. Today
08-May-2025 16:01:02 EDT
Research Frontiers Reports First Quarter 2025 Financial Results and Will Host a Conference Call at 4:30p.m. Today
GlobeNewswire May 08, 2025
WOODBURY, N.Y., May 08, 2025 (GLOBE NEWSWIRE) — Research Frontiers Inc. (Nasdaq: REFR) announced its financial results for its first quarter of 2025. 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.
Strong Revenue Growth in the Automotive and Aircraft Markets
Research Frontiers royalty income increased by $246,398 (+79%) in the first quarter of 2025 to $559,776 compared to the first quarter of 2024. Compared to the fourth quarter of 2024, royalty income in the first quarter of 2025 sequentially was up $381,628 (+214%). This increase was primarily the result of higher royalties from the automotive market, up 128% compared to the first quarter of 2024, and up 267% compared to the fourth quarter of 2024. Revenue growth in the first quarter of 2025 also came from higher royalties in the aircraft market compared to the fourth quarter of 2024.
2.
Expansion of Product Pipeline and Acceleration of Use of SPD by Ferrari and Cadillac.
Higher royalties from the automotive market came primarily from Ferrari and Cadillac, both of which expanded production in the first quarter of 2025 of vehicles using the Company's SPD-SmartGlass technology. Strong sales from these OEMS are also expected in the second quarter of 2025. Mercedes also debuted a new luxury van at the Shanghai Auto Show in April 2025, featuring new and innovative side windows with an SPD/PDLC combination of smartglass used across 75% of the vehicle's glass surface. 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.
Operational Efficiencies and Financial Stability.
As a result of this rising revenue, this reduced the Company's net loss to $177,687 ($0.01 per common share) for the first quarter of 2025, which was $264,917 (60%) lower than the net loss of $442,604 ($0.01 per common share) for the first quarter of 2024. As of March 31, 2025, the Company had cash and cash equivalents of approximately $1.4 million, and working capital of $2.3 million. The Company has no debt and expects to have sufficient working capital for at least the next five years of operations.
“Our strong first quarter results demonstrate the accelerating adoption of our SPD-SmartGlass technology, particularly in the automotive sector, with higher use of SPD-SmartGlass compared to last year by Ferrari and Cadillac,” said Joseph M. Harary, President and CEO of Research Frontiers. “The significant growth in royalty income, combined with our operational efficiencies and our debt-free status, positions us well for continued success and brings us closer to profitability. With the expected launch of our retrofit application in the architectural market later this year, and the addition of new car and aircraft models, and expansion of use of SPD in automotive beyond sunroofs where we currently dominate, we expect further growth across all market segments.”
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
March 31, 2025
December 31, 2024
Assets
Current assets:
Cash and cash equivalents
$
1,352,805
$
1,994,186
Royalties receivable, net of reserves of $1,253,450 in 2025 and 2024, respectively
969,059
658,213
Prepaid expenses and other current assets
198,678
93,490
Total current assets
2,520,542
2,745,889
Fixed assets, net
12,082
15,052
Operating lease ROU assets
1,179,396
1,222,640
Deposits and other assets
56,066
56,066
Total assets
$
3,768,086
$
4,039,647
Liabilities and Shareholders' Equity
Current liabilities:
Current portion of operating lease liability
$
133,811
$
129,875
Accounts payable
13,304
85,825
Accrued expenses
63,593
53,327
Total current liabilities
210,708
269,027
Operating lease liability, net of current portion
1,130,730
1,166,285
Total liabilities
1,341,438
1,435,312
Shareholders' equity:
Common stock, par value $0.0001 per share;authorized 100,000,000 shares, issued and outstanding 33,648,221 in 2025 and 2024, respectively
3,365
3,365
Additional paid-in capital
128,177,193
128,177,193
Accumulated deficit
(125,753,910
)
(125,576,223
)
Total shareholders' equity
2,426,648
2,604,335
Total liabilities and shareholders' equity
$
3,768,086
$
4,039,647
RESEARCH FRONTIERS INCORPORATED Condensed Consolidated Statements of Operations (Unaudited)
Three months ended March 31,
2025
2024
Fee income
$
559,776
$
313,378
Operating expenses
636,476
633,387
Research and development
162,877
149,741
Total expenses
799,353
783,128
Operating loss
(239,577
)
(469,750
)
Net investment income
14,533
27,146
Other income
47,357
–
Net loss
$
(177,687
)
$
(442,604
)
Basic and diluted net loss per common share
$
(0.01
)
$
(0.01
)
Weighted average number of common shares outstanding
33,648,221
33,510,408
RESEARCH FRONTIERS INCORPORATED Condensed Consolidated Statements of Shareholders' Equity (Unaudited)
For the three months ended March 31, 2025 and 2024
Common Stock
Additional Paid-in
Accumulated
Shares
Amount
Capital
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
–
–
–
(442,604
)
(442,604
)
Balance, March 31, 2024
33,517,787
$
3,352
$
127,787,890
$
(124,707,445
)
$
3,083,797
Balance, January 1, 2025
33,648,221
$
3,365
$
128,177,193
$
(125,576,223
)
$
2,604,335
Net loss
–
–
–
(177,687
)
(177,687
)
Balance, March 31, 2025
33,648,221
$
3,365
$
128,177,193
$
(125,753,910
)
$
2,426,648
RESEARCH FRONTIERS INCORPORATED Condensed Consolidated Statements of Cash Flows (Unaudited)
Three months ended March 31,
2025
2024
Cash flows from operating activities:
Net loss
$
(177,687
)
$
(442,604
)
Adjustments to reconcile net loss to net cash used in operating activities:
