Julia Brown
UNIVERSAL DISPLAY CORP \PA\About Julia Brown
Julia J. Brown, Ph.D., is Executive Vice President and Chief Technical Officer of Universal Display Corporation (OLED). She became EVP in April 2021, has served as CTO since June 2002, and joined UDC in June 1998 as Vice President of Technology Development . As of February 20, 2025, she is 63 years old . Dr. Brown holds a B.S.E.E. from Cornell University and an M.S. and Ph.D. in Electrical Engineering/Electrophysics from the University of Southern California; she is a Fellow of IEEE and SID and a member of the National Academy of Engineers . In 2024, UDC achieved $648 million in revenue and $283 million in adjusted operating income, driving an Annual Incentive Plan payout of approximately 146% of target for NEOs; Dr. Brown’s cash bonus for 2024 performance was $1,320,550 . Pay-versus-Performance disclosures show revenue of $648 million and net income of $222 million in 2024 (vs. $576 million and $203 million in 2023), and the value of a $100 TSR investment at $73.54 in 2024 (vs. $95.35 in 2023) .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Universal Display Corporation | EVP | 2021–present | Senior executive leadership over technology strategy and execution . |
| Universal Display Corporation | CTO | 2002–present | Leads technology; long-tenured stewardship of OLED materials and device R&D . |
| Universal Display Corporation | SVP | 2008–2021 | Senior technical leadership and scale-up of technology development . |
| Universal Display Corporation | VP, Technology Development | 1998–2002 | Established and advanced UDC’s core technology development programs . |
| Hughes Research Laboratories | Research Dept. Manager | 1991–1998 | Directed pilot-line production of high-speed InP-based ICs for advanced radar and satellite communications . |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| IEEE | Fellow | N/A | Recognized technical excellence; enhances industry credibility and network . |
| Society for Information Display (SID) | Fellow | N/A | Display-industry leadership signaling deep domain expertise . |
| National Academy of Engineers (NAE) | Member | N/A | Prestigious recognition of engineering contributions . |
Fixed Compensation
Summary Compensation (USD)
| Component | 2022 | 2023 | 2024 |
|---|---|---|---|
| Salary | $651,697 | $679,276 | $709,625 |
| Stock Awards | $4,936,835 | $4,759,752 | $4,506,534 |
| Non-Equity Incentive (AIP) | $1,435,412 | $1,192,303 | $1,320,550 |
| All Other Compensation | $17,973 | $20,411 | $19,712 |
| Total | $7,041,917 | $6,651,742 | $6,556,421 |
Annual Incentive Plan (AIP) – 2024
| Item | Value |
|---|---|
| Base Salary used for target | $724,085 |
| Target Bonus % | 125% |
| Target Bonus ($) | $905,106 |
| Actual AIP Payout ($) | $1,320,550 |
| Company AIP outcome | ~146% of target for NEOs |
| Performance drivers | Exceeded revenue threshold; achieved $648m revenue and $283m adjusted operating income |
Performance Compensation
2024 Long-Term Incentive Grants
| Award Type | Grant Date | Shares/Target | Grant-Date Fair Value | Vesting | Performance Metrics / Mechanics |
|---|---|---|---|---|---|
| RSUs | 3/4/2024 | 8,113 | $1,403,792 | Time-based; 1/3 on Mar 4, 2025/2026/2027 | N/A (time-based) |
| PSUs (Target) | 3/4/2024 | 16,227 | $3,102,742 | End of 3-year performance (2024–2026) | 50% cumulative adjusted EBITDA; 25% TSR vs Nasdaq Electronics Components Index; 25% cumulative total gross margin; 0x–3x multiplier |
Outstanding Equity Awards at FY-End (12/31/2024)
| Grant Date | RSUs Unvested (#) | RSUs Market Value ($) | PSUs Unearned (#) | PSUs Payout Value ($) |
|---|---|---|---|---|
| 2/16/2022 | 3,154 | $461,115 (at $146.20) | 18,927 | $2,767,127 |
| 3/7/2023 | 6,750 | $986,850 | 20,251 | $2,960,696 |
| 3/4/2024 | 8,113 | $1,186,121 | 16,227 | $2,372,387 |
Note: Market values based on $146.20 closing price on 12/31/2024 .
Stock Vested in 2024
| Shares Vested (#) | Value Realized ($) |
|---|---|
| 15,801 | $2,789,417 |
PSU Results – 2022 Grant (Performance Period 2022–2024)
| Metric | Weight | Result | Payout Multiplier |
|---|---|---|---|
| Adjusted EBITDA (FY 2024) | 50% | Below threshold | 0% |
| Cash from Operations (FY 2024) | 25% | Above target | 109% |
| TSR vs Nasdaq Electronics Components Index (3-year) | 25% | 72nd percentile | 275% |
| Overall | — | Vested at 96% of target (aggregate) | 96% |
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership (Direct/Indirect) | 74,025 shares; less than 1% of outstanding |
| Ownership % of Shares Outstanding | ~0.16% (74,025 / 47,571,821) |
| Options Outstanding | None for NEOs; no options held |
| Pledging | No pledging disclosed for Dr. Brown; separate disclosure notes pledging by a director (Hartley), not an executive |
| Ownership Guidelines | Not disclosed in retrieved filings (ND) |
Employment Terms
Change-in-Control (CIC) Structure
- Double-trigger: benefits only if a CIC and qualifying termination/substantial reduction in responsibilities occur .
- Benefits include: 2× average base salary and 2× average annual bonus; insurance continuation equivalents; 401(k) contribution equivalents; accelerated vesting for time-based awards; performance awards governed by plan terms; medical/dental continuation; outplacement; SERP benefits; excise tax gross-up for all NEOs except Millard .
Estimated CIC Payments (Assuming CIC on 12/31/2024)
| Component | Amount (USD) |
|---|---|
| 2× Annual Base Salary | $1,460,170 |
| 2× Annual Bonus | $2,870,824 |
| Accrued PTO/Sick Time | $157,885 |
| Insurance Continuation (after-tax equivalent) | $17,716 |
| 401(k) Contribution Equivalents (2 years) | $20,700 |
| Group Medical/Dental Continuation (after-tax equivalent) | $40,679 |
| Accelerated Vesting Value (Unvested Awards) | $10,734,296 |
| Outplacement | $10,000 |
| SERP Payout | $10,403,982 |
| Tax Reimbursement (Excise/Other) | $12,841,523 |
| Total | $38,557,775 |
SERP and Deferred Compensation
- SERP credited service: 26 years; present value of accumulated benefit: $10,403,982; participants’ ages listed (Brown: 64) in proxy SERP section .
- Nonqualified Deferred Compensation Plan (effective 1/1/2024) allows elective deferral of salary and cash incentives; distributions upon termination or CIC; discretionary Company contributions may vest per schedule; assets remain general creditor claims .
- Perquisites and benefits: auto allowance $500/month; life and disability insurance premiums; nonelective employer 401(k) contributions of $10,350 for NEOs in 2024 .
Performance & Track Record
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Revenue ($mm) | 617 | 576 | 648 |
| Net Income ($mm) | 210 | 203 | 222 |
| TSR – Value of $100 Investment ($) | 53.38 | 95.35 | 73.54 |
| Peer Group TSR – Value of $100 Investment ($) | 134.97 | 162.17 | 237.86 |
Notes: 2024 AIP tied to exceeding revenue threshold and adjusted operating income ($283m AOI achieved) . Human Capital Committee and Board oversee compensation with Korn Ferry assistance; long-term equity awards annually with no option grants in 2024 .
Compensation Committee Analysis
- Human Capital Committee members include independent directors; responsibilities encompass executive pay design, equity awards, and plan administration; Korn Ferry advises on target setting and metrics .
- Long-term equity typically granted annually (mid-Feb), with off-cycle awards rare; mix of RSUs (time-based) and PSUs (performance-based) .
Risk Indicators & Red Flags
- Excise tax gross-up applies for Brown’s CIC benefits (shareholder-unfriendly feature) .
- No options outstanding reduces risk of repricing; performance awards governed by plan rather than automatic acceleration for PSUs in CIC .
- No pledging disclosed for Brown; director pledging noted separately, not an executive .
- SERP value is significant ($10.4m), raising potential perception of pension inflation but also strong retention tether .
Say-on-Pay & Shareholder Feedback
- Board recommends “FOR” annual advisory votes on NEO compensation and maintains annual frequency; shareholders agreed in 2023; continued annual vote in 2025 .
Investment Implications
- Alignment: High proportion of equity compensation in PSUs tied to cumulative adjusted EBITDA, gross margin, and relative TSR with a 0x–3x multiplier indicates strong pay-for-performance linkage; RSU tranches across 2025–2027 further anchor retention .
- Retention risk: Significant CIC economics ($38.6m estimate) and SERP value ($10.4m) reduce voluntary departure risk; double-trigger structure discourages CIC windfalls without separation .
- Selling pressure: March annual RSU vesting (one-third each year) and PSU settlements can introduce predictable windows of potential insider selling, evidenced by 15,801 shares vesting for Brown in 2024 worth $2.79m .
- Performance signals: 2024 AIP payout (~146% of target) reflected revenue ($648m) and adjusted operating income ($283m) achievements; 2022 PSU cycle rewarded strong TSR (72nd percentile, 275% multiplier) despite EBITDA shortfall, highlighting shareholder-return sensitivity in incentives .
- Ownership: Direct beneficial ownership of ~0.16% (74,025 shares of 47,571,821 outstanding) is modest but complemented by sizable outstanding RSU/PSU holdings; no pledging or options reduces governance and repricing risks .