UNIVERSAL DISPLAY CORP \PA\

Previous wording

In 2016, we acquired Adesis, Inc. (Adesis) which has operations in New Castle and Wilmington, Delaware. Adesis is a contract development and manufacturing organization (CDMO) that provides support services on a contractual basis to third-party customers in the OLED, pharma, biotech, catalysis and other industries. As of June 30, 2025, Adesis employed a team of 138 research scientists, chemists, engineers and laboratory technicians. Prior to our acquisition of Adesis, we utilized more than 50% of Adesis’ technology service and production output. We continue to utilize a significant portion of its technology research capacity for the benefit of our OLED technology development, and Adesis uses the remaining capacity to operate as a CDMO by providing contract research services for non-OLED applications to third-party customers in the above-mentioned industries. Contract research services revenue is earned by providing chemical materials synthesis research, development and commercialization for non-OLED applications on a contractual basis for those third-party customers.

Current wording

In 2016, we acquired Adesis, Inc. (Adesis) which has operations in New Castle and Wilmington, Delaware. Adesis is a contract development and manufacturing organization (CDMO) that provides support services on a contractual basis to third-party customers in the OLED, pharma, biotech, catalysis and other industries. As of September 30, 2025, Adesis employed a team of 137 research scientists, chemists, engineers and laboratory technicians. Prior to our acquisition of Adesis, we utilized more than 50% of Adesis’ technology service and production output. We continue to utilize a significant portion of its technology research capacity for the benefit of our OLED technology development, and Adesis uses the remaining capacity to operate as a CDMO by providing contract research services for non-OLED applications to third-party customers in the above-mentioned industries. Contract research services revenue is earned by providing chemical materials synthesis research, development and commercialization for non-OLED applications on a contractual basis for those third-party customers.

Previous wording

In June 2020, we formed a wholly-owned subsidiary, OVJP Corporation (OVJP Corp), operating in California, in order to advance the commercialization of our proprietary Organic Vapor Jet Printing (OVJP) technology. In December 2024, we announced that the OVJP Corp facility in California would be closing and OVJP operations would be relocated to our newly formed Singapore subsidiary, Universal Vapor Jet Corporation Pte. Ltd. (UVJC), as well as continued operations in our Tech and Innovation Center in New Jersey. While we continue to focus on the long-term opportunity in the large-area display market for OVJP, the industry’s current focus is on the growing demand for IT capacity. Our UVJC subsidiary plans to assess additional market opportunities where this technology may be transformative. As a result of the closure of the OVJP Corp location in California, we recorded $602,000 of restructuring costs for the six months ended June 30, 2025. We recorded no restructuring costs during the three months ended June 30, 2025.

Current wording

In June 2020, we formed a wholly-owned subsidiary, OVJP Corporation (OVJP Corp), operating in California, in order to advance the commercialization of our proprietary Organic Vapor Jet Printing (OVJP) technology. In December 2024, we announced that the OVJP Corp facility in California would be closing and OVJP operations would be relocated to our newly formed Singapore subsidiary, Universal Vapor Jet Corporation Pte. Ltd. (UVJC), as well as continued operations in our Tech and Innovation Center in New Jersey. While we continue to focus on the long-term opportunity in the large-area display market for OVJP, the industry’s current focus is on the growing demand for IT capacity. Our UVJC subsidiary plans to assess additional market opportunities where this technology may be transformative. As a result of the closure of the OVJP Corp location in California, we recorded $602,000 of restructuring costs for the nine months ended September 30, 2025. We recorded no restructuring costs during the three months ended September 30, 2025.

Previous wording

Our total material sales were $88.7 million for the three months ended June 30, 2025, as compared to $95.4 million for the three months ended June 30, 2024, a decrease of 7% with a commensurate decrease in unit material volume of 2%. The decrease in material sales was primarily due to changes in customer mix and lower unit material volume.

Current wording

Our total material sales were $82.6 million for the three months ended September 30, 2025, as compared to $83.4 million for the three months ended September 30, 2024, a decrease of 1% with a commensurate decrease in unit material volume of less than 1%.

Previous wording

Green emitter sales for the three months ended June 30, 2025, which include our yellow-green emitters, were $63.6 million as compared to $71.6 million for the three months ended June 30, 2024, with unit material volumes decreasing by 6%.

Current wording

Green emitter sales for the three months ended September 30, 2025, which include our yellow-green emitters, were $64.6 million as compared to $62.6 million for the three months ended September 30, 2024, with unit material volumes increasing by 4%.

Previous wording

Red emitter sales for the three months ended June 30, 2025 were $23.9 million as compared to $22.5 million for the three months ended June 30, 2024, with unit material volumes increasing by 7%.

Current wording

Red emitter sales for the three months ended September 30, 2025 were $16.8 million as compared to $20.1 million for the three months ended September 30, 2024, with unit material volumes decreasing by 12%.

Previous wording

The cumulative catch-up adjustment recorded to revenue arising from changes in estimates of transaction price, net was an increase of $655,000 for the three months ended June 30, 2025 as compared to a net increase of $1.2 million for the three months ended June 30, 2024. For the three months ended June 30, 2025 and 2024, the adjustment resulted from an increase in the average price per gram that was primarily due to the decrease in anticipated demand by several of our customers over the remaining lives of their contracts.

Current wording

The cumulative catch-up adjustment recorded to revenue arising from changes in estimates of transaction price, net was an increase of $1.3 million for the three months ended September 30, 2025 as compared to a net increase of $5.3 million for the three months ended September 30, 2024. For the three months ended September 30, 2025 and 2024, the adjustment resulted from an increase in the average price per gram that was primarily due to the decrease in anticipated demand by several of our customers over the remaining lives of their contracts.

Previous wording

Revenue from contract research services consists of revenue earned by Adesis, which provides support services on a contractual basis to third-party customers in the pharma, biotech, catalysis and other industries. Contract research services revenue was $14.0 million for the six months ended June 30, 2025 as compared to $7.2 million for the six months ended June 30, 2024, an increase of 94%. The increase in contract research services revenue was primarily due to increased specialty manufacturing customer demand at our subsidiary, Adesis, during the six months ended June 30, 2025.

Current wording

Revenue from contract research services consists of revenue earned by Adesis, which provides support services on a contractual basis to third-party customers in the pharma, biotech, catalysis and other industries. Contract research services revenue was $3.7 million for the three months ended September 30, 2025 as compared to $3.6 million for the three months ended September 30, 2024, an increase of 1%.

Previous wording

Cost of sales for the three months ended June 30, 2025 increased by $875,000 as compared to the three months ended June 30, 2024, primarily due to product mix and Adesis' cost of sales, partially offset by lower sales volume. As a result of the increase in revenue from royalty and licenses fees, gross margin for the three months ended June 30, 2025 increased by $12.4 million as compared to the three months ended June 30, 2024, with gross margin as a percentage of revenue increasing to 77% from 76%.

Current wording

Cost of sales for the three months ended September 30, 2025 decreased by $321,000 as compared to the three months ended September 30, 2024. As a result of the decrease in revenue from royalty and licenses fees, gross margin for the three months ended September 30, 2025 decreased by $21.7 million as compared to the three months ended September 30, 2024, with gross margin as a percentage of revenue decreasing to 75% from 78%.

Previous wording

Research and development expenses decreased to $71.3 million for the six months ended June 30, 2025, as compared to $74.8 million for the six months ended June 30, 2024. The decrease in research and development expenses was primarily due to the closure of the OVJP Corp facility in California during December 2024, partially offset by increased PPG development activity and contract research costs.

Current wording

Research and development expenses increased to $36.3 million for the three months ended September 30, 2025, as compared to $36.1 million for the three months ended September 30, 2024. The increase in research and development expenses was primarily due increased contract research costs, partially offset by the closure of the OVJP Corp facility in California during December 2024.

Previous wording

Selling, general and administrative expenses increased to $20.4 million for the three months ended June 30, 2025, as compared to $19.8 million for the three months ended June 30, 2024. The increase in selling, general and administrative expenses was primarily due to an increase in salaries expenses.

Current wording

Selling, general and administrative expenses increased to $18.0 million for the three months ended September 30, 2025, as compared to $15.7 million for the three months ended September 30, 2024. The increase in selling, general and administrative expenses was primarily due to an increase in salaries and stock-based compensation expenses.

Previous wording

Amortization of acquired technology and other intangible assets was $4.5 million for both three months ended June 30, 2025 and 2024.

Current wording

Amortization of acquired technology and other intangible assets was $4.6 million for both three months ended September 30, 2025 and 2024.

Previous wording

Patent costs increased to $2.6 million for the three months ended June 30, 2025, as compared to $2.4 million for the three months ended June 30, 2024.

Current wording

Patent costs decreased to $1.9 million for the three months ended September 30, 2025, as compared to $2.4 million for the three months ended September 30, 2024.

Previous wording

Interest and other income (loss), net

Current wording

Interest and other income, net

Previous wording

Interest income, net was $9.8 million for the three months ended June 30, 2025, as compared to $9.9 million for the three months ended June 30, 2024. Other income (loss), net primarily consisted of net exchange gains and losses on foreign currency transactions, net investment gains and losses, and rental income. We recorded other income, net of $5.6 million for the three months ended June 30, 2025 as compared to other loss, net of $1.5 million for the three months ended June 30, 2024. The increase in other income (loss), net was due to a $4.5 million foreign exchange gain during the three months ended June 30, 2025 as compared to a $1.4 million foreign exchange loss during the three months ended June 30, 2024, which was caused by the fluctuation in the Korean Won to the U.S. Dollar exchange rate and resulting remeasurement of a Korean Won-denominated withholding tax receivable.

Current wording

Interest income, net was $10.0 million for the three months ended September 30, 2025, as compared to $10.6 million for the three months ended September 30, 2024. Other income, net primarily consisted of net exchange gains and losses on foreign currency transactions, net investment gains and losses, and rental income. We recorded other income, net of $952,000 for the three months ended September 30, 2025 as compared to $3.8 million for the three months ended September 30, 2024. The decrease in other income, net was primarily due to a $3.0 million investment gain on our marketable equity securities portfolio, partially offset by a $1.9 million foreign exchange loss during the three months ended September 30, 2025 as compared to a $3.2 million foreign exchange gain during the three months ended September 30, 2024. Net exchange gains and losses on foreign currency are primarily caused by the fluctuation in the Korean Won to the U.S. Dollar exchange rate and resulting remeasurement of a Korean Won-denominated withholding tax receivable.

Previous wording

We are subject to income taxes in the United States and foreign jurisdictions. The effective income tax rate was 19.8% and 19.3% for the three months ended June 30, 2025 and 2024, respectively, and we recorded income tax expense of $16.6 million and $12.6 million, respectively, for those periods.

Current wording

We are subject to income taxes in the United States and foreign jurisdictions. The effective income tax rate was 18.7% and 17.9% for the three months ended September 30, 2025 and 2024, respectively, and we recorded income tax expense of $10.1 million and $14.5 million, respectively, for those periods.

Previous wording

Our total material sales were $174.8 million for the six months ended June 30, 2025, as compared to $188.7 million for the six months ended June 30, 2024, a decrease of 7% with a commensurate decrease in unit material volume of 5%. The decrease in material sales was primarily due to lower unit material volume and changes in customer mix.

Current wording

Our total material sales were $257.4 million for the nine months ended September 30, 2025, as compared to $272.2 million for the nine months ended September 30, 2024, a decrease of 5% with a commensurate decrease in unit material volume of 4%. The decrease in material sales was primarily due to lower unit material volume and changes in customer mix.

Previous wording

Green emitter sales for the six months ended June 30, 2025, which include our yellow-green emitters, were $127.1 million as compared to $142.4 million for the six months ended June 30, 2024, with unit material volumes decreasing by 8%.

Current wording

Green emitter sales for the nine months ended September 30, 2025, which include our yellow-green emitters, were $191.7 million as compared to $205.0 million for the nine months ended September 30, 2024, with unit material volumes decreasing by 4%.

Previous wording

Red emitter sales for the six months ended June 30, 2025 were $45.4 million as compared to $43.1 million for the six months ended June 30, 2024, with unit material volumes increasing by 3%.

Current wording

Red emitter sales for the nine months ended September 30, 2025 were $62.2 million as compared to $63.3 million for the nine months ended September 30, 2024, with unit material volumes decreasing by 2%.

Previous wording

Revenue from royalty and license fees was $75.7 million for the three months ended June 30, 2025 as compared to $59.6 million for the three months ended June 30, 2024, an increase of 27%. The increase in royalty and license fees was primarily the result of changes in customer mix, partially offset by lower unit material volume.

Current wording

Revenue from royalty and license fees was $202.6 million for the nine months ended September 30, 2025 as compared to $202.4 million for the nine months ended September 30, 2024, an increase of less than 1%. The increase in royalty and license fees for the nine months ended September 30, 2025 was primarily the result of changes in customer mix, partially offset by a $7.1 million reduction in revenue due to an out of period adjustment. The out of period adjustment was due to a correction of an error that originated during the third quarter of 2023. We have evaluated the impacts of this error, both quantitatively and qualitatively, and have concluded that the error was not material to the Consolidated Financial Statements for any interim or annual period prior to the three months ended September 30, 2025, and is not expected to be material to the full year ending December 31, 2025.

Previous wording

The cumulative catch-up adjustment recorded to revenue arising from changes in estimates of transaction price, net was an increase of $2.6 million for the six months ended June 30, 2025 as compared to a net increase of $729,000 for the six months ended June 30, 2024. For the six months ended June 30, 2025 and 2024, the adjustment resulted from an increase in the average price per gram that was primarily due to the decrease in anticipated demand by several of our customers over the remaining lives of their contracts.

Current wording

The cumulative catch-up adjustment recorded to revenue arising from changes in estimates of transaction price, net was an increase of $3.9 million for the nine months ended September 30, 2025 as compared to a net increase of $6.1 million for the nine months ended September 30, 2024. For the nine months ended September 30, 2025 and 2024, the adjustment resulted from an increase in the average price per gram that was primarily due to the decrease in anticipated demand by several of our customers over the remaining lives of their contracts.

Previous wording

Revenue from contract research services consists of revenue earned by Adesis, which provides support services on a contractual basis to third-party customers in the pharma, biotech, catalysis and other industries. Contract research services revenue was $7.5 million for the three months ended June 30, 2025 as compared to $3.5 million for the three months ended June 30, 2024, an increase of 113%. The increase in contract research services revenue was primarily due to increased specialty manufacturing customer demand at our subsidiary, Adesis, during the three months ended June 30, 2025.

Current wording

Revenue from contract research services consists of revenue earned by Adesis, which provides support services on a contractual basis to third-party customers in the pharma, biotech, catalysis and other industries. Contract research services revenue was $17.7 million for the nine months ended September 30, 2025 as compared to $10.8 million for the nine months ended September 30, 2024, an increase of 63%. The increase in contract research services revenue was primarily due to increased specialty manufacturing customer demand at our subsidiary, Adesis, during the nine months ended September 30, 2025.

Previous wording

Cost of sales for the six months ended June 30, 2025 increased by $2.0 million as compared to the six months ended June 30, 2024, primarily due to product mix and Adesis' cost of sales, partially offset by lower sales volume. As a result of the increase in revenue from royalty and licenses fees, partially offset by a decrease in revenue from material sales, gross margin for the six months ended June 30, 2025 increased by $12.3 million as compared to the six months ended June 30, 2024, with gross margin as a percentage of revenue remaining consistent at 77%.

Current wording

Cost of sales for the nine months ended September 30, 2025 increased by $1.7 million as compared to the nine months ended September 30, 2024, primarily due to product mix and Adesis' cost of sales, partially offset by lower sales volume. As a result of the decrease in revenue from material sales, partially offset by the increase in revenue from contract research services, gross margin for the nine months ended September 30, 2025 decreased by $9.4 million as compared to the nine months ended September 30, 2024, with gross margin as a percentage of revenue decreasing to 76% from 77%.

Previous wording

Research and development expenses decreased to $36.4 million for the three months ended June 30, 2025, as compared to $36.8 million for the three months ended June 30, 2024. The decrease in research and development expenses was primarily due to the closure of the OVJP Corp facility in California during December 2024, partially offset by increased PPG development activity and contract research costs.

Current wording

Research and development expenses decreased to $107.6 million for the nine months ended September 30, 2025, as compared to $110.9 million for the nine months ended September 30, 2024. The decrease in research and development expenses was primarily due to the closure of the OVJP Corp facility in California during December 2024, partially offset by increased contract research costs.

Previous wording

Selling, general and administrative expenses decreased to $37.5 million for the six months ended June 30, 2025, as compared to $39.1 million for the six months ended June 30, 2024. The decrease in selling, general and administrative expenses was primarily due to a decrease in employee-related expenses, including lower stock-based compensation and salaries expenses.

Current wording

Selling, general and administrative expenses increased to $55.5 million for the nine months ended September 30, 2025, as compared to $54.8 million for the nine months ended September 30, 2024. The increase in selling, general and administrative expenses was primarily due to an increase in salaries expenses.

Previous wording

Amortization of acquired technology and other intangible assets was $9.1 million for both six months ended June 30, 2025 and 2024.

Current wording

Amortization of acquired technology and other intangible assets was $13.6 million for both nine months ended September 30, 2025 and 2024.

Previous wording

Royalty and license expense decreased to $231,000 for the six months ended June 30, 2025, as compared to $1.8 million for the six months ended June 30, 2024. The decrease was due to a one-time expense of $1.5 million during the six months ended June 30, 2024 in connection with an amendment to our existing amended license agreement, effective as of October 9, 1997, with Princeton University and the University of Southern California.

Current wording

Royalty and license expense decreased to $401,000 for the nine months ended September 30, 2025, as compared to $1.9 million for the nine months ended September 30, 2024. The decrease was due to a one-time expense of $1.5 million during the nine months ended September 30, 2024 in connection with an amendment to our existing amended license agreement, effective as of October 9, 1997, with Princeton University and the University of Southern California.

Previous wording

Interest income, net was $19.8 million for the six months ended June 30, 2025, as compared to $19.5 million for the six months ended June 30, 2024. The increase in interest income, net was primarily due to higher average available-for-sale investment balances held during the six months ended June 30, 2025 as compared to the six months ended June 30, 2024. Other income (loss), net primarily consisted of net exchange gains and losses on foreign currency transactions, net investment gains and losses, and rental income. We recorded other income, net of $6.0 million for the six months ended June 30, 2025 as compared to other loss, net of $3.4 million for the six months ended June 30, 2024. The increase in other income (loss), net was due to a $4.5 million foreign exchange gain during the six months ended June 30, 2025 as compared to a $3.7 million foreign exchange loss during the six months ended June 30, 2024, which was caused by the fluctuation in the Korean Won to the U.S. Dollar exchange rate and resulting remeasurement of a Korean Won-denominated withholding tax receivable.

Current wording

Interest income, net was $29.9 million for the nine months ended September 30, 2025, as compared to $30.1 million for the nine months ended September 30, 2024. Other income, net primarily consisted of net exchange gains and losses on foreign currency transactions, net investment gains and losses, and rental income. We recorded other income, net of $6.9 million for the nine months ended September 30, 2025 as compared to $416,000 for the nine months ended September 30, 2024. The increase in other income, net was primarily due to a $3.0 million investment gain on our marketable equity securities portfolio and $2.6 million foreign exchange gain during the nine months ended September 30, 2025 as compared to a $545,000 foreign exchange loss during the nine months ended September 30, 2024. Net exchange gains and losses on foreign currency are primarily caused by the fluctuation in the Korean Won to the U.S. Dollar exchange rate and resulting remeasurement of a Korean Won-denominated withholding tax receivable.

Previous wording

We are subject to income taxes in the United States and foreign jurisdictions. The effective income tax rate was 19.7% and 19.3% for the six months ended June 30, 2025 and 2024, respectively, and we recorded income tax expense of $32.3 million and $26.2 million, respectively, for those periods.

Current wording

We are subject to income taxes in the United States and foreign jurisdictions. The effective income tax rate was 19.4% and 18.8% for the nine months ended September 30, 2025 and 2024, respectively, and we recorded income tax expense of $42.4 million and $40.7 million, respectively, for those periods.

Previous wording

Our principal sources of liquidity are our cash and cash equivalents and short-term investments. As of June 30, 2025, we had cash and cash equivalents of $95.8 million, short-term investments of $429.4 million, and long-term U.S. Government bonds investments of $406.7 million for a total of $931.9 million. This compares to cash and cash equivalents of $99.0 million, short-term investments of $393.7 million, and long-term U.S. Government bond investments of $435.5 million for a total of $928.2 million as of December 31, 2024.

Current wording

Our principal sources of liquidity are our cash and cash equivalents and short-term investments. As of September 30, 2025, we had cash and cash equivalents of $121.6 million, short-term investments of $481.4 million, and long-term U.S. Government bonds investments of $397.4 million for a total of $1.0 billion. This compares to cash and cash equivalents of $99.0 million, short-term investments of $393.7 million, and long-term U.S. Government bond investments of $435.5 million for a total of $928.2 million as of December 31, 2024.

Previous wording

Cash provided by operating activities for the six months ended June 30, 2025 was $82.5 million resulting from $131.7 million of net income and $32.7 million from non-cash items including stock-based compensation, depreciation and amortization of intangibles, partially offset by a $81.9 million reduction due to changes in our operating assets and liabilities. Changes in our operating assets and liabilities related to an increase in accounts receivable of $33.4 million, an increase in other assets of $28.0 million, an increase in inventory of $25.3 million and a decrease in other liabilities of $4.4 million, partially offset by an increase in accounts payable and accrued expenses of $4.6 million and an increase in deferred revenue of $4.6 million. The increase in accounts receivable during the six months ended June 30, 2025 was primarily due to the timing of material shipments as well as license fee billings for certain customers. The increase in inventory during the six months ended June 30, 2025 was primarily due to purchases of certain strategic raw materials.

Current wording

Cash provided by operating activities for the nine months ended September 30, 2025 was $179.7 million resulting from $175.7 million of net income and $53.1 million from non-cash items including stock-based compensation, depreciation and amortization of intangibles, partially offset by a $49.1 million reduction due to changes in our operating assets and liabilities. Changes in our operating assets and liabilities related to an increase in other assets of $49.3 million, an increase in inventory of $29.7 million, a decrease in deferred revenue of $8.7 million and a decrease in other liabilities of $1.1 million, partially offset by a decrease in accounts receivable of $39.4 million and an increase in accounts payable of $304,000. The increase in other assets during the nine months ended September 30, 2025 was primarily due to an increase in unbilled receivables from certain customers. The decrease in accounts receivable during the nine months ended September 30, 2025 was primarily due to the timing of material shipments as well as license fee payments from certain customers. The increase in inventory during the nine months ended September 30, 2025 was primarily due to purchases of certain strategic raw materials.

Previous wording

Cash provided by operating activities for the six months ended June 30, 2024 was $139.2 million resulting from $109.2 million of net income and $30.0 million from non-cash items including stock-based compensation and depreciation. Operating assets and liabilities were unchanged from December 31, 2023 on a net basis, but reflected an increase in other assets of $38.9 million, a decrease in accounts receivable of $15.5 million, an increase in accounts payable and accrued expenses of $12.4 million, an increase in deferred revenue of $10.8 million, a decrease in inventory of $3.9 million, and a decrease in other liabilities of $3.7 million.

Current wording

Cash provided by operating activities for the nine months ended September 30, 2024 was $219.0 million resulting from $176.1 million of net income, $39.5 million from non-cash items including stock-based compensation, depreciation and amortization of intangibles, and $3.4 million due to changes in our operating assets and liabilities. Changes in our operating assets and liabilities related to a decrease in accounts receivable of $52.2 million and an increase in accounts payable and accrued expenses of $9.4 million, partially offset by an increase in other assets of $43.7 million, a decrease in deferred revenue of $10.0 million, a decrease in other liabilities of $4.3 million and an increase in inventory of $163,000.

Previous wording

Cash used in investing activities was $34.5 million for the six months ended June 30, 2025, as compared to $93.5 million for the six months ended June 30, 2024. The decrease in cash used in investing activities was due to timing of maturities and purchases of investments resulting in net purchases of $6.9 million for the six months ended June 30, 2025, as compared to $77.1 million for the six months ended June 30, 2024, partially offset by an increase in purchases of property, plant and equipment of $11.2 million. The increase in property, plant and equipment purchases during the six months ended June 30, 2025 was primarily due to the continued expansion of the manufacturing facility in Shannon, Ireland and improvements to our research and development facility in Ewing, New Jersey.

Current wording

Cash used in investing activities was $85.0 million for the nine months ended September 30, 2025, as compared to $167.1 million for the nine months ended September 30, 2024. The decrease in cash used in investing activities was due to timing of maturities and purchases of investments resulting in net purchases of $44.6 million for the nine months ended September 30, 2025, as compared to $137.1 million for the nine months ended September 30, 2024, partially offset by an increase in purchases of property, plant and equipment of $10.4 million. The increase in property, plant and equipment purchases during the nine months ended September 30, 2025 was primarily due to the continued expansion of the manufacturing facility in Shannon, Ireland and improvements to our research and development facility in Ewing, New Jersey.

Previous wording

Cash used in financing activities was $51.2 million for the six months ended June 30, 2025, as compared to $44.8 million for the six months ended June 30, 2024. The increase was due to an increase in the cash payment of dividends in the current year of $4.1 million, an increase in the payment of withholding taxes related to stock-based compensation to employees of $2.1 million and a decrease in the proceeds from issuance of common stock of $113,000.

Current wording

Cash used in financing activities was $72.1 million for the nine months ended September 30, 2025, as compared to $64.3 million for the nine months ended September 30, 2024. The increase was due to an increase in the cash payment of dividends in the current year of $6.4 million, an increase in the payment of withholding taxes related to stock-based compensation to employees of $1.2 million and a decrease in the proceeds from issuance of common stock of $159,000.

Previous wording

Working capital was $885.2 million as of June 30, 2025, as compared to $774.4 million as of December 31, 2024. The increase was primarily due to increases in short-term investments, accounts receivable, inventory and other current assets.

Current wording

Working capital was $928.7 million as of September 30, 2025, as compared to $774.4 million as of December 31, 2024. The increase was primarily due to increases in short-term investments, other current assets, inventory, and cash and cash equivalents, partially offset by a decrease in accounts receivable.