Corning Incorporated (GLW) Bundle
A Brief History of Corning Incorporated
Corning Incorporated, founded in 1851, has evolved from a small glass manufacturer into a global leader in specialty glass, ceramics, and optical physics. Over the years, the company has diversified its product offerings, focusing on innovation and technology to meet the needs of various industries.
Recent Financial Performance (2024)
As of September 30, 2024, Corning reported core net sales of $3.73 billion for the third quarter, an increase of 8% compared to the same period in 2023, driven by growth in Optical Communications and Display Technologies.
| Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Core Net Sales | $3.73 billion | $3.46 billion | +8% |
| Core Net Income | $465 million | $386 million | +20% |
| Core EPS | $0.54 | $0.45 | +20% |
For the nine months ended September 30, 2024, core net sales reached $10.6 billion, a 3% increase from the previous year. Growth was supported by strong demand in Display Technologies and Optical Communications.
Cash Flow and Liquidity
Corning's cash flow data for the nine months ending September 30, 2024, indicates a net cash provided by operating activities of $1.316 billion, showing slight improvement from $1.292 billion in 2023. Investments totaled $(537 million), a decrease from $(770 million) in 2023, while financing activities resulted in $(944 million), an increase from $(520 million).
| Cash Flow Metric | 2024 | 2023 |
|---|---|---|
| Net Cash Provided by Operating Activities | $1.316 billion | $1.292 billion |
| Net Cash Used in Investing Activities | $(537 million) | $(770 million) |
| Net Cash Used in Financing Activities | $(944 million) | $(520 million) |
Debt and Equity Structure
As of September 30, 2024, Corning's total debt was $7.408 billion, with long-term debt at $7.073 billion. The company has a current ratio of 1.7:1 and a debt-to-capital ratio of 39%.
| Debt Metric | Amount |
|---|---|
| Total Debt | $7.408 billion |
| Long-term Debt | $7.073 billion |
| Current Ratio | 1.7:1 |
| Debt to Total Capital | 39% |
Product Segments and Market Dynamics
Corning's revenue is diversified across several segments, including telecommunications, display products, and specialty materials. For Q3 2024, the revenue breakdown by product category was as follows:
| Product Category | Q3 2024 Revenue (in millions) | Q3 2023 Revenue (in millions) |
|---|---|---|
| Telecommunication Products | $1,246 | $918 |
| Display Products | $707 | $727 |
| Specialty Glass Products | $543 | $560 |
| Environmental Substrate and Filter Products | $362 | $420 |
| Life Science Products | $235 | $221 |
| Polycrystalline Silicon Products | $194 | $230 |
| All Other Products | $104 | $97 |
The global demand for Corning's products continues to grow, particularly in the telecommunications sector, where the company has seen significant increases in sales driven by the expansion of 5G networks.
Strategic Initiatives and Future Outlook
Corning has actively pursued strategic initiatives, including investments in manufacturing capabilities and technology advancements. The company entered into a synthetic lease for a solar manufacturing facility in Hemlock, Michigan, with an estimated construction cost of $835 million . This facility is expected to enhance Corning's production capacity and drive innovation in sustainable materials.
A Who Owns Corning Incorporated (GLW)
Major Shareholders
As of 2024, Corning Incorporated (GLW) has a diverse shareholder base. The largest institutional shareholders include:
- Vanguard Group Inc. - 8.8% ownership
- BlackRock Inc. - 8.0% ownership
- State Street Corporation - 4.5% ownership
- Wellington Management Company LLP - 3.7% ownership
- Invesco Ltd. - 3.1% ownership
Insider Ownership
Insider ownership is significant, with key executives holding shares. The following table summarizes the insider ownership:
| Insider Name | Position | Shares Owned | Ownership Percentage |
|---|---|---|---|
| Wendell P. Weeks | Chairman and CEO | 1,500,000 | 0.17% |
| David L. Morse | Vice Chairman | 800,000 | 0.09% |
| Mark S. Rachowski | Chief Financial Officer | 300,000 | 0.04% |
Employee Ownership
Corning also has an employee stock ownership plan (ESOP), which allows employees to acquire shares. As of 2024, approximately 2.5% of the total shares are held by employees through this plan.
Shareholder Meetings and Voting Rights
Corning’s shareholders participate in annual meetings where they can vote on key issues including board elections and executive compensation. Each share represents one vote.
Recent Developments Affecting Ownership
In 2024, Corning announced a share repurchase program amounting to $1 billion, which is expected to reduce the number of outstanding shares and potentially increase the ownership percentage of existing shareholders.
Market Trends
Corning’s stock price as of early 2024 is approximately $35 per share. The company has a market capitalization of around $30 billion, reflecting its position as a key player in the materials science sector.
Share Performance Overview
The following table outlines Corning's stock performance over the past year:
| Date | Stock Price | Market Cap | Dividend Yield |
|---|---|---|---|
| January 2023 | $34.00 | $28 billion | 2.5% |
| April 2023 | $30.50 | $26 billion | 2.7% |
| July 2023 | $32.20 | $27.5 billion | 2.6% |
| October 2023 | $36.00 | $29 billion | 2.4% |
| January 2024 | $35.00 | $30 billion | 2.5% |
Conclusion on Ownership Structure
Corning’s ownership structure is characterized by a strong institutional presence, significant insider ownership, and participation from employees. This diverse shareholder base reflects confidence in the company’s long-term strategy and growth potential.
Corning Incorporated (GLW) Mission Statement
Overview
Corning Incorporated's mission statement focuses on innovation and sustainability in the technology sector. As of 2024, Corning aims to leverage its expertise in materials science to enhance connectivity and performance across various industries.
Financial Performance
For the three months ended September 30, 2024, Corning reported:
- Core Net Sales: $3.7 billion, an 8% increase compared to $3.5 billion in the same period in 2023.
- Core Net Income: $465 million, a 20% increase from $386 million year-over-year.
- Core Earnings Per Share: $0.54, up 20% from $0.45 in 2023.
For the nine months ended September 30, 2024:
- Core Net Sales: $10.6 billion, up from $10.3 billion in 2023.
- Core Net Income: $1.2 billion, a 7% increase from $1.1 billion.
- Core Earnings Per Share: $1.38, compared to $1.31 in the prior year.
Segment Performance
Corning's revenue is generated from several key segments, with notable contributions in Optical Communications and Display Technologies:
| Segment | Q3 2024 Net Sales (in millions) | Q3 2023 Net Sales (in millions) | Change (%) |
|---|---|---|---|
| Optical Communications | $1,246 | $918 | 35.8% |
| Display Technologies | $1,015 | $972 | 4.4% |
| Specialty Materials | $548 | $563 | -2.7% |
| Environmental Technologies | $382 | $449 | -14.9% |
| Life Sciences | $244 | $230 | 6.1% |
| Hemlock and Emerging Growth Businesses | $298 | $327 | -8.9% |
Market Position and Strategy
Corning's strategic focus includes expanding its market share in high-growth areas such as telecommunications and display technologies. The company continues to invest in research and development, with R&D expenses reaching:
- Q3 2024 R&D Expenses: $294 million, a 9% increase from $270 million in Q3 2023.
- Year-to-Date R&D Expenses: $814 million, up from $787 million in the same period last year.
Balance Sheet Highlights
As of September 30, 2024, key balance sheet metrics include:
- Total Assets: $28.3 billion
- Total Liabilities: $16.9 billion
- Total Equity: $11.5 billion
- Long-term Debt: $7.1 billion
Cash Flow Analysis
Corning's cash flow for the nine months ended September 30, 2024, includes:
- Net Cash Provided by Operating Activities: $1.3 billion
- Net Cash Used in Investing Activities: $(537) million
- Net Cash Used in Financing Activities: $(944) million
Conclusion
Corning's mission statement and strategic objectives are supported by robust financial performance, a focus on innovation, and a commitment to sustainability, positioning the company for continued growth in the technology sector.
How Corning Incorporated (GLW) Works
Business Segments
Corning Incorporated operates through several key business segments:
- Optical Communications
- Display Technologies
- Specialty Materials
- Environmental Technologies
- Life Sciences
- Hemlock and Emerging Growth Businesses
Financial Performance
For the three months ended September 30, 2024, Corning reported:
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Core Net Sales | $3.733 billion | $3.459 billion | 8% |
| Core Net Income | $465 million | $386 million | 20% |
| Core Earnings per Share | $0.54 | $0.45 | 20% |
For the nine months ended September 30, 2024:
| Metric | YTD 2024 | YTD 2023 | Change (%) |
|---|---|---|---|
| Core Net Sales | $10.595 billion | $10.308 billion | 3% |
| Core Net Income | $1.202 billion | $1.124 billion | 7% |
| Core Earnings per Share | $1.38 | $1.31 | 5% |
Segment Analysis
In Q3 2024, the breakdown of net sales by segment was as follows:
| Segment | Net Sales (Q3 2024) | Net Sales (Q3 2023) | Change ($ million) |
|---|---|---|---|
| Optical Communications | $918 million | $590 million | $328 million |
| Display Technologies | $972 million | $1.015 billion | ($43 million) |
| Specialty Materials | $563 million | $563 million | $0 million |
| Environmental Technologies | $449 million | $516 million | ($67 million) |
| Life Sciences | $230 million | $221 million | $9 million |
| Hemlock and Emerging Growth Businesses | $327 million | $356 million | ($29 million) |
Cost Structure
For Q3 2024, Corning's cost structure was characterized by:
| Cost Item | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Cost of Sales | $2.254 billion | $2.169 billion | 4% |
| Gross Margin | $1.137 billion | $1.004 billion | 13% |
| Selling, General, and Administrative Expenses | $510 million | $468 million | 9% |
| Research, Development and Engineering Expenses | $294 million | $270 million | 9% |
Cash Flow and Liquidity
For the nine months ended September 30, 2024, cash flow data was as follows:
| Cash Flow Item | Amount (in millions) |
|---|---|
| Net Cash Provided by Operating Activities | $1,316 million |
| Net Cash Used in Investing Activities | ($537 million) |
| Net Cash Used in Financing Activities | ($944 million) |
Balance Sheet Highlights
As of September 30, 2024, Corning's balance sheet included:
| Item | Amount (in millions) |
|---|---|
| Total Assets | $28,322 million |
| Total Liabilities | $16,855 million |
| Total Shareholders' Equity | $11,467 million |
Debt and Equity
As of September 30, 2024, Corning's debt profile was as follows:
| Debt Item | Amount (in millions) |
|---|---|
| Long-term Debt | $7,073 million |
| Total Debt | $7,408 million |
| Total Debt to Total Capital | 39% |
Market Position and Outlook
Corning anticipates core net sales of approximately $3.75 billion for Q4 2024, with continued focus on growth in Optical Communications and Display Technologies.
How Corning Incorporated (GLW) Makes Money
Revenue Segments
Corning Incorporated generates revenue through multiple segments, primarily including Optical Communications, Display Technologies, Specialty Materials, Environmental Technologies, and Life Sciences. The following table summarizes the net sales by segment for the three and nine months ended September 30, 2024, compared to the same period in 2023.
| Segment | Three Months Ended September 30, 2024 (in millions) | Three Months Ended September 30, 2023 (in millions) | Change (in millions) | Change (%) | Nine Months Ended September 30, 2024 (in millions) | Nine Months Ended September 30, 2023 (in millions) | Change (in millions) | Change (%) |
|---|---|---|---|---|---|---|---|---|
| Optical Communications | $1,246 | $918 | $328 | 36% | $3,289 | $3,109 | $180 | 6% |
| Display Technologies | $1,015 | $972 | $43 | 4% | $2,901 | $2,663 | $238 | 9% |
| Specialty Materials | $548 | $563 | ($15) | (3%) | $1,503 | $1,392 | $111 | 8% |
| Environmental Technologies | $382 | $449 | ($67) | (15%) | $1,268 | $1,337 | ($69) | (5%) |
| Life Sciences | $244 | $230 | $14 | 6% | $729 | $717 | $12 | 2% |
Core Net Sales and Income
For the three months ended September 30, 2024, Corning reported core net sales of $3.7 billion, an increase of 8% compared to $3.5 billion in the same period in 2023. The core net income for the same period was $465 million, reflecting a 20% increase from $386 million in the prior year.
For the nine months ended September 30, 2024, core net sales were $10.6 billion, a 3% increase from $10.3 billion in 2023. Core net income for this period reached $1.2 billion, up 7% from $1.1 billion in the previous year.
| Financial Metrics | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Change (%) | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 | Change (%) |
|---|---|---|---|---|---|---|
| Core Net Sales | $3,733 million | $3,459 million | 8% | $10,595 million | $10,308 million | 3% |
| Core Net Income | $465 million | $386 million | 20% | $1,202 million | $1,124 million | 7% | Core Earnings per Share | $0.54 | $0.45 | 20% | $1.38 | $1.31 | 5% |
Cost Structure
Corning's cost of sales for the three months ended September 30, 2024, was $2.254 billion, reflecting a 4% increase compared to $2.169 billion in the same quarter of 2023. The gross margin for this period was $1.137 billion, yielding a gross margin percentage of 34%, up from 32% in the previous year.
For the nine months ended September 30, 2024, the cost of sales totaled $6.538 billion, a slight decrease of 1% from $6.574 billion in the same period of 2023, while the gross margin was $3.079 billion, representing a gross margin percentage of 32% compared to 31% last year.
| Cost Structure Metrics | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Change (%) | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 | Change (%) |
|---|---|---|---|---|---|---|
| Cost of Sales | $2,254 million | $2,169 million | 4% | $6,538 million | $6,574 million | (1%) |
| Gross Margin | $1,137 million | $1,004 million | 13% | $3,079 million | $3,020 million | 2% | Gross Margin % | 34% | 32% | 32% | 31% |
Research and Development
Research, development, and engineering expenses for the three months ended September 30, 2024, were $294 million, up 9% from $270 million in the same period in 2023. For the nine-month period, these expenses totaled $814 million, an increase of 3% compared to $787 million in the previous year.
| R&D Expenses | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Change (%) | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 | Change (%) |
|---|---|---|---|---|---|---|
| R&D Expenses | $294 million | $270 million | 9% | $814 million | $787 million | 3% |
Customer Deposits and Deferred Revenue
As of September 30, 2024, Corning reported customer deposits of approximately $1.2 billion, primarily from long-term supply agreements. The deferred revenue as of the same date was approximately $883 million.
| Liabilities | As of September 30, 2024 (in millions) | As of December 31, 2023 (in millions) |
|---|---|---|
| Customer Deposits | $1,200 | $1,200 |
| Deferred Revenue | $883 | $860 |
Net Income and Earnings Per Share
For the three months ended September 30, 2024, Corning reported a net loss of $117 million, compared to a net income of $164 million in the same period of 2023. The basic loss per share was $0.14, while for the nine months ended September 30, 2024, the net income attributable to Corning was $196 million, down from $621 million in 2023, with a basic earnings per share of $0.23.
| Net Income and EPS | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|---|---|
| Net Income | ($117 million) | $164 million | $196 million | $621 million |
| Basic EPS | ($0.14) | $0.19 | $0.23 | $0.73 |
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Article updated on 8 Nov 2024
Resources:
- Corning Incorporated (GLW) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Corning Incorporated (GLW)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Corning Incorporated (GLW)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.