eMagin Corporation Announces Third Quarter 2016 Financial Results

HOPEWELL JUNCTION, N.Y.--(BUSINESS WIRE)--Nov. 11, 2016-- eMagin Corporation, or the “Company” (NYSE MKT:EMAN), a leader in the development, design and manufacture of Active Matrix OLED microdisplays for high resolution imaging products, today announced financial results and corporate highlights for the third quarter endedSeptember 30, 2016. “While our third quarter was impacted by the previously announced softness in our domestic military business due to lower volumes on maturing programs, we are now beginning to ship under new military programs and expect volumes to increase in 2017,” said President and CEO Andrew G. Sculley. “Additionally, we announced today the formal launch of two consumer products. This is an important step for eMagin as we capitalize on our intellectual property and know how to pursue new, potentially high growth markets. We are pleased that, with our product launch in this new market segment, we were named a 2017 Consumer Electronics Show (“CES”) Innovation Award Honoree in the Digital Imaging product category. Click for Release. “Importantly, we are in active discussions with multiple Tier One companies who recognize the superior functionality of our industry-leading OLED microdisplays for consumer applications. Progress in these discussions has recently accelerated as we address prototype designs and a path to high volume production. “The low-power, high resolution, small form factor of our leading OLED microdisplays are finding their way into a larger number of applications and markets compared with just 12 months ago. We continue to see further traction in industrial markets as we received another design win from a leading medical device company who has chosen to integrate our microdisplays into their next generation surgical device. We also continue to see expanding interest for our technology among foreign militaries where advanced night vision and high-resolution avionics applications remain relatively underpenetrated. “The technology in our new consumer products complements the expertise we have accumulated over the years developing leading solutions for our US military and commercial customers. We are able to enter the market for consumer and industrial night vision systems at what we believe is a disruptive price point which could result in a significantly larger market size than what is available for existing products. Not only are these new markets large, we believe they could provide eMagin with attractive gross profit opportunities over time. “We have also made enhancements to our organization to better match our resources with future growth opportunities. Our re-aligned sales and marketing team is focused on our key end markets, including commercial/industrial, foreign military and our domestic military business. We recently made several key hires including a Vice President of Business Development who is spearheading our discussions and negotiations with potential Tier One partners and a Vice President of Operations to oversee our yield improvement program as we prepare for higher volumes and a more complex products mix. Also, we have completed the migration of our procurement and finance teams to Hopewell Junction to work hand-in-hand with the production, sales and marketing, business development and R&D groups.”