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

WOODBURY, N.Y., Nov. 05, 2020 (GLOBE NEWSWIRE) -- Research Frontiers Inc. (Nasdaq: REFR) announced its financial results for its third quarter ended September 30, 2020. 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: November 5, 2020, 4:30 PM ET
  • Dial-in Information: 1-888-334-5785
  • Replay: Available on Friday, November 6, 2020 for 90 days at www.SmartGlass-IR.com

Key Third Quarter 2020 Comments:

1. The Company’s fee income from licensing activities for the nine months ended September 30, 2020 was $692,714 as compared to $1,182,560 for the nine months ended September 30, 2019. Lower fees in the automotive and aircraft markets were partially offset by higher fee income from licensees in the architect and display markets.

2. Total expenses decreased by $716,661, or approximately 23%, for the for the nine months ended September 30, 2020 as compared to the same period in 2019.

3. As of September 30, 2020, the Company had cash and cash equivalents of approximately $5.4 million and working capital of approximately $5.9 million. The Company expects to have sufficient working capital for at least the next 27-29 months of operations.

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 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 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:
Seth L. Van Voorhees
Chief Financial Officer
Research Frontiers Inc.
+1-516-364-1902
Info@SmartGlass.com

RESEARCH FRONTIERS INCORPORATED
Consolidated Balance Sheets

  September 30, 2020 (Unaudited)  December 31, 2019

 
Assets        
         
Current assets:        
Cash and cash equivalents $5,440,208  $6,591,960 
Royalties receivable, net of reserves of $944,052 as of
September 30, 2020 and $1,135,598 as of December 31, 2019
  554,609   656,062 
Prepaid expenses and other current assets  107,041   58,835 
         
Total current assets  6,101,858   7,306,857 
         
Fixed assets, net  72,715   141,720 
Operating lease ROU assets  653,097   773,989 
Deposits and other assets  33,567   33,567 
Total assets $6,861,237  $8,256,133 
         
Liabilities and Shareholders’ Equity        
         
Current liabilities:        
Current portion of operating lease liabilities $162,615  $163,236 
Accounts payable  47,324   169,750 
Accrued expenses and other  58,213   46,709 
Deferred revenue  21,511   7,734 
Total current liabilities  289,663   387,429 
         
Operating lease liabilities, net of current portion  689,057   812,596 
Total liabilities  978,720   1,200,025 
         
Shareholders’ equity:        
Common stock, par value $0.0001 per share; authorized 100,000,000 shares, issued and outstanding 31,575,786 in 2020 and 31,254,262 in 2019  3,158   3,125 
Additional paid-in capital  122,837,069   122,552,895 
Accumulated deficit  (116,957,710)  (115,499,912)
Total shareholders’ equity  5,882,517   7,056,108 
         
Total liabilities and shareholders’ equity $6,861,237  $8,256,133 


RESEARCH FRONTIERS INCORPORATED
Consolidated Statements of Operations
Unaudited

  Nine Months Ended September 30,  Three Months Ended September 30, 
  2020  2019  2020  2019 
             
Fee income $697,914  $1,182,560  $165,628  $462,869 
                 
Operating expenses  1,924,828   2,356,875   472,424   666,356 
Research and development  466,698   751,312   136,649   207,368 
Total expenses  2,391,526   3,108,187   609,073   873,724 
                 
Operating loss  (1,693,612)  (1,925,627)  (443,445)  (410,855)
                 
Warrant market adjustment  -   (652,025)  -   - 
Other income -PPP loan forgiveness  202,052   -   7,912   - 
Net investment income  33,762   25,565   1,310   13,143 
                 
Net loss $(1,457,798) $(2,552,087) $(434,223) $(397,712)
                 
Basic and diluted net loss per common share $(0.05) $(0.09) $(0.01) $(0.01)
                 
Basic and diluted weighted average number of common shares outstanding  31,458,238   29,636,013   31,575,786   31,065,730 


RESEARCH FRONTIERS INCORPORATED
Consolidated Statements of Cash Flows
Unaudited

  Nine Months Ended September 30, 
  2020  2019 
Cash flows from operating activities:        
Net loss $(1,457,798) $(2,552,087)
Adjustments to reconcile net loss to net cash used
in operating activities:
        
Depreciation and amortization  64,193   146,496 
Stock-based compensation  -   356,228 
Bad debt expense  53,217   22,667 
Warrant market adjustment  -   652,025 
Other income -PPP loan forgiveness  (202,052)  - 
Change in assets and liabilities:        
Royalty receivables  48,234   (108,750)
Prepaid expenses and other current assets  (48,206)  (53,155)
Accounts payable and accrued expenses  (110,921)  (142,477)
Deferred revenue  13,777   21,095 
Net cash used in operating activities  (1,639,556)  (1,657,958)
         
Cash flows from investing activities:        
Purchases of fixed assets  (2,168)  (65,081)
Proceeds from the sale of fixed assets  3,713   - 
Net cash provided by (used in) investing activities  1,545   (65,081)
         
Cash flows from financing activities:        
Net proceeds from issuances of common stock and
warrants and exercise of options and warrants
  284,207   5,770,545 
Proceeds from PPP Program Funding  202,052   - 
Net cash provided by financing activities  486,259   5,770,545 
         
Net (decrease)/increase in cash and cash equivalents  (1,151,752)  4,047,506 
         
Cash and cash equivalents at beginning of period  6,591,960   2,969,416 
Cash and cash equivalents at end of period $5,440,208  $7,016,922