Research Frontiers Reports Fourth Quarter and Full Year 2021 Financial Results

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

WOODBURY, N.Y., March 09, 2022 (GLOBE NEWSWIRE) -- Research Frontiers Inc. (Nasdaq: REFR) announced its financial results for its fourth quarter and year December 31, 2021. 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
• Date/Time:March 9, 2022, 4:30 PM ET
• Dial-in Information:1-888-334-5785
• Replay: Available on Thursday, March 9, 2022 for 90 days athttps://smartglass-ir.com/

Key Comments:

1. The Company’s fee income from licensing activities increased by $434,584 (52%) for the year ended December 31, 2021 to $1,263,034 as compared to $828,450 for the year ended December 31, 2020. Higher fees in the automotive, architectural and display markets were partially offset by lower fees in the aircraft market. Higher fee income in the architectural and automotive markets was predominantly from one-time settlements from two licensees for royalty payments due, as well as for a current special government contract in the automotive area.
   
   
2. Total expenses decreased by $303,990, or approximately 9%, for the year ended December 31, 2021 as compared to the same period in 2020. 2021 was the seventh consecutive year that expenses were lower than the year before at Research Frontiers.
   
   
3. The Company’s net loss decreased by $494,512 to $1,846,352 ($0.06 per common share) for the year ended December 31, 2021 as compared to $2,340,864 ($0.07 per common share) for the year ended December 31, 2020. The net loss for 2021 was Research Frontiers’ lowest net loss in 27 years.
   
   
4. As of December 31, 2021, the Company had cash and marketable investments of approximately $3.0 million and working capital of approximately $3.7 million. The Company expects to have sufficient working capital for at least the next 22 months of operations.
   
   
5. Since Research Frontiers last conference call, new products using the Company’s SPD-Smart light control technology were featured at the CES Consumer Electronics Show including automotive and consumer electronics applications.
   

For more details, please see the Company’s Annual Report on Form 10-K 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:
Joseph M. Harary
President and CEO
Research Frontiers Inc.
+1-516-364-1902
Info@SmartGlass.com

RESEARCH FRONTIERS INCORPORATED
Consolidated Balance Sheets
December 31, 2021 and 2020

		December 31, 2021				December 31, 2020
Assets
Current assets:
Cash and cash equivalents		$	269,964			$	4,772,705
Marketable securities			2,755,111				-
Royalties receivable, net of reserves of $1,016,678 in 2021 and $972,202 in 2020			831,636				598,292
Prepaid expenses and other current assets			92,931				56,512
Total current assets			3,949,642				5,427,509
Fixed assets, net			92,954				121,772
Operating lease ROU assets			469,824				616,442
Deposits and other assets			33,567				33,567
Total assets		$	4,545,987			$	6,199,290
Liabilities and Shareholders’ Equity
Current liabilities:
Current portion of operating lease liability		$	182,091			$	166,377
Accounts payable			66,460				33,410
Accrued expenses and other			49,385				26,279
Total current liabilities			297,936				226,066
Operating lease liability, net of current portion			464,128				646,219
Total liabilities			762,064				872,285
Shareholders’ equity:
Common stock, par value $0.0001 per share; authorized 100,000,000 shares, issued and outstanding 31,650,396 in 2021 and 31,575,786 in 2020			3,165				3,158
Additional paid-in capital			123,467,886				123,164,623
Accumulated deficit			(119,687,128	)			(117,840,776	)
Total shareholders’ equity			3,783,923				5,327,005
Total liabilities and shareholders’ equity		$	4,545,987			$	6,199,290

RESEARCH FRONTIERS INCORPORATED
Consolidated Statements of Operations
Years ended December 31, 2021 and 2020

		2021				2020
Fee income		$	1,263,034			$	828,450
Operating expenses			2,521,849				2,777,535
Research and development			580,000				628,304
Total expenses			3,101,849				3,405,839
Operating loss			(1,838,815	)			(2,577,389	)
PPP loan forgiveness			-				202,052
Net investment income (loss)			(7,537	)			34,473
Net loss		$	(1,846,352	)		$	(2,340,864	)
Basic and diluted net loss per common share		$	(0.06	)		$	(0.07	)
Weighted average number of common shares outstanding			31,646,520				31,487,785

RESEARCH FRONTIERS INCORPORATED
Consolidated Statements of Shareholders’ Equity
Years ended December 31, 2021 and 2020

		Common Stock								Additional				Accumulated
		Shares				Amount				Paid-in Capital				Deficit				Total
Balance, January 1, 2020			31,254,262			$	3,125			$	122,552,895			$	(115,499,912	)		$	7,056,108
Exercise of options and warrants			321,524				33				284,174				-				284,207
Share-based compensation			-				-				327,554				-				327,554
Net loss			-				-				-				(2,340,864	)			(2,340,864	)
Balance, December 31, 2020			31,575,786				3,158				123,164,623				(117,840,776	)			5,327,005
Exercise of options			74,610				7				86,255				-				86,262
Share-based compensation			-				-				217,008				-				217,008
Net loss			-				-				-				(1,846,352	)			(1,846,352	)
Balance, December 31, 2021			31,650,396			$	3,165			$	123,467,886			$	(119,687,128	)		$	3,783,923

RESEARCH FRONTIERS INCORPORATED
Consolidated Statements of Cash Flows
Years ended December 31, 2021 and 2020

		2021				2020
Cash flows from operating activities:
Net loss		$	(1,846,352	)		$	(2,340,864	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization			10,136				67,082
Unrealized loss on marketable securities			28,522				-
Share-based compensation			217,008				327,554
Bad debts			44,476				81,367
Other income - PPP loan forgiveness			-				(202,052	)
Change in assets and liabilities:
Royalty receivables			(277,819	)			(23,597	)
Prepaid expenses and other current assets			(36,420	)			2,323
Accounts payable and accrued expenses			56,156				(156,770	)
Deferred revenue			-				(7,734	)
Net cash used in operating activities			(1,804,293	)			(2,252,691	)
Cash flows from investing activities:
Purchases of fixed assets			(1,077	)			(56,536	)
Purchases of marketable securities			(3,433,633	)			-
Sales of marketable securities			650,000				-
Proceeds from sale of fixed asset			-				3,713
Net cash used in investing activities			(2,784,710	)			(52,823	)
Cash flows from financing activities:
Net proceeds from exercise of options and warrants			86,262				284,207
Proceeds from PPP loan			-				202,052
Net cash provided by financing activities			86,262				486,259
Net decrease in cash and cash equivalents			(4,502,741	)			(1,819,255	)
Cash and cash equivalents at beginning of year			4,772,705				6,591,960
Cash and cash equivalents at end of year		$	269,964			$	4,772,705