Universal Display Corporation (NASDAQ: OLED) announced a new long‑term supply and license agreement with Tianma Microelectronics, a leading Chinese flat‑panel display manufacturer. The deal extends UDC’s existing partnership and will see UDC continue to supply its proprietary UniversalPHOLED® phosphorescent OLED materials and related technologies through UDC Ireland Limited.
The agreement focuses on UniversalPHOLED® materials, which deliver higher energy efficiency and longer lifetimes than conventional fluorescent OLEDs. Tianma will use these materials in its next‑generation small‑ and medium‑size displays, including smartphones, tablets, and automotive infotainment panels. UDC’s exclusive manufacturing partnership with PPG and the recent expansion of production capacity in Shannon, Ireland, underpin the supply reliability.
By securing a long‑term contract with Tianma, UDC strengthens its foothold in the Chinese market, where Tianma holds roughly 8% of the global AMOLED share. The partnership also positions UDC to support Tianma’s push into automotive and wearable displays, sectors that are expected to drive OLED adoption in the coming years.
The announcement comes after UDC reported a decline in Q3 2025 revenue to $139.6 million, down 13% from $161.6 million in Q3 2024, and a net income drop to $44 million from $66.9 million. Despite the revenue miss, UDC maintained a 75% gross margin and guided 2025 revenue to the lower end of its $650–$700 million range, citing continued demand in IT and automotive segments. The new Tianma deal is viewed as a positive long‑term revenue driver that could offset short‑term headwinds.
“Extending our partnership with Tianma reaffirms our shared commitment to delivering energy‑efficient OLED solutions,” said Steven V. Abramson, UDC’s President and CEO. “The collaboration will accelerate the adoption of UniversalPHOLED® materials in high‑growth markets and reinforce our leadership in the OLED ecosystem.”
Analysts continue to rate UDC as a buy, citing its dominant patent portfolio of over 6,500 patents and strong gross‑margin profile. The long‑term agreement with Tianma is expected to enhance UDC’s competitive positioning and support its growth strategy in key markets.
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