Corning revenue drops 3% to $3.25 bn in first-quarter

Corning has reported revenue of $3,258 million (down 3 percent) during the first quarter of 2024.
The US-based specialty glass maker forecast second-quarter core sales of $3.4 billion, banking on price increases and healthy demand for its fiber optic cables amid recovery in spending from telecom clients.

Ed Schlesinger, chief financial officer, said, “Our actions to increase price and improve our productivity ratios are paying off. In the first quarter, despite lower year-over-year core sales, we grew core gross margin by 160 basis points. We also grew adjusted free cash flow by more than $300 million versus the first quarter of 2023.”

Corning’s Optical Communications sales were $930 million, up 3 percent sequentially, driven by growing sales in carrier and enterprise. Sales were down 17 percent year over year, reflecting temporarily lower carrier demand as customers continued to draw down inventory. First-quarter net income was $100 million, down 37 percent year over year, reflecting the lower volume.

Corning’s Display Technologies sales were $872 million, up 14 percent year over year, and net income was $201 million, up 26 percent, driven by higher volume and pricing actions taken in the second half of 2023.

Corning’s Specialty Materials sales were $454 million, up 12 percent, driven by demand for premium smartphone cover materials and semiconductor-related products. First-quarter net income was $44 million, up 13 percent, driven by higher volume.

“We’re seeing signs of improving market conditions. We are executing our plans to add more than $3 billion in annualized sales within the next three years,” said Corning CEO Wendell Weeks.