Research Frontiers (REFR) risk factors, FY2024 10-K

Research Frontiers's FY2024 10-K, filed Mar 06, 2025, lists 14 risk factors. There is no earlier 10-K to compare against, so the most company-specific risks are listed below.

Open REFR in Gloom →
Research Frontiers' chart, financials and news, free in your browser.Open REFR in Gloom →
Risk factors listed
140 groups
Section length
2k wordsItem 1A

Research Frontiers's biggest risks in the FY2024 10-K

  • The company relies heavily on the commercial success and manufacturing execution of third-party licensees for its SPD technology.
  • Operations are constrained by low cash reserves, an accumulated deficit of $125.6 million, and heavy customer concentration.
  • Growth depends on the limited supply chain of SPD film and market adoption across automotive, aerospace, and real estate sectors.

The risks most specific to Research Frontiers

  • As of December 31, 2024, we had approximately $2.0 million in cash and cash equivalents

    With only $2.0 million in cash and cash equivalents as of December 31, 2024, we may need external funding to sustain operations.

  • History of Operating Losses

    We have an accumulated deficit of $125.6 million since inception and expect ongoing operating losses from developing our SPD technology.

  • We do not directly manufacture products using SPD technology. We currently depend upon the activities of our licensees and their customers in order to be profitable

    We do not manufacture products directly and depend entirely on the sales decisions and activities of our licensees.

  • We have several large licensees that account for 10% or more of our annual fee income

    Four licensees accounted for 34%, 28%, 11%, and 11% of our fee income respectively during 2024.

  • Declining production of automobiles, airplanes, trains, boats and real estate could harm our business

    Our business depends on global production volumes in automotive, airplane, train, boat, and real estate construction markets.

  • Limited source of SPD film

    Only Showa Denko Chemical and Gauzy Ltd. currently supply commercial quantities of the SPD film required by our end-product licensees.

  • Dependence on SPD-Smart technology

    Our business relies entirely on SPD technology, the long-term reliability and market viability of which are still unproven.

All 14 risk factors

Headings as the filing states them, in filing order.

Other

  1. 01As of December 31, 2024, we had approximately $2.0 million in cash and cash equivalents
  2. 02History of Operating Losses
  3. 03We may not generate sufficient cash flows to cover our operating expenses
  4. 04We have never declared a cash dividend and do not intend to declare a cash dividend in the foreseeable future
  5. 05We do not directly manufacture products using SPD technology. We currently depend upon the activities of our licensees and their customers in order to be profitable
  6. 06SPD-Smart products have only recently been introduced
  7. 07We have several large licensees that account for 10% or more of our annual fee income
  8. 08SPD-Smart products face intense competition, which could affect our ability to increase our revenues
  9. 09Declining production of automobiles, airplanes, trains, boats and real estate could harm our business
  10. 10Limited source of SPD film
  11. 11We are dependent on key personnel
  12. 12Dependence on SPD-Smart technology
  13. 13Our patents and other protective measures may not adequately protect our proprietary intellectual property, and we may be infringing on the rights of others
  14. 14If we fail to maintain an effective system of internal control over financial reporting, the accuracy and timing of our financial reporting may be adversely affected

Other Research Frontiers 10-Ks

  • FY2025 10-K risk factors
    11 risks3 dropped7 reworded

    Accumulated deficit increased to $127.6 million with cash dropping to $0.7 million by the end of 2025.

    Filed Mar 05, 2026

About this page

The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.