Corning Q4 Core Results Beat Market; Sees Q1 Earnings In Line Or Above Street; Stock Up

Corning

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(RTTNews) - Technology company Corning, Inc. (GLW), while reporting a profit in its fourth quarter compared to prior year's loss, on Wednesday issued first-quarter core earnings view, in line or above market. The company also projects first-quarter core sales to beat the Street view.

In pre-market activity on the NYSE, Corning shares were gaining around 8 percent to trade at $55.27.

Wendell Weeks, chairman and chief executive officer, said, "Clearly, we're off to a terrific start on our high-confidence 'Springboard' plan to add more than $3 billion in annualized sales and to achieve operating margin of 20 percent, by the end of 2026. Based on our outperformance, we plan to upgrade this high-confidence plan at our investor event in March. We're capturing significant sales growth, with powerful incremental profit and cash flow, as upward cyclical and secular trends drive demand for our products and capabilities."

Looking ahead, for the first quarter, the company projects core earnings per share to grow around 30 percent to a range of $0.48 to $0.52, and core sales to grow approximately 10 percent year-over-year to $3.6 billion.

The Wall Street analysts on average expect the company to report earnings of $0.48 per share on sales of $3.54 billion, representing a growth of 8.80 percent from the prior year. Analysts' estimates typically exclude special items.

In Display Technologies, the company expects to deliver segment net income of $900 million to $950 million in 2025 and to maintain net income margin of 25 percent.

For the fourth quarter, net income attributable to Corning was $310 million or $0.36 per share, compared to prior year's loss of $40 million or $0.05 per share.

Core net income was $497 million or $0.57 per share, compared to prior year's $339 million or $0.39 per share.

Net sales grew to $3.50 billion from last year's $2.99 billion. Core sales climbed 18 percent to $3.87 billion from last year's $3.27 billion.

The Street was looking for earnings of $0.56 per share on sales of $3.77 billion for the quarter.

The company said it outperformed in the fourth quarter, driven by strong adoption of its new products for Gen AI, which drove sales growth of 93 percent year-over-year in the Enterprise portion of Optical Communications.

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