Corning Incorporated (NYSE: GLW) today announced results for
fourth-quarter and full-year 2016.
News Summary:
Overall Company – Fourth-quarter results provided a strong finish to
2016: Q4 GAAP EPS of $1.47, up 765%, and core EPS of $.50, up 47%, year over
year; Q4 GAAP and core sales up 11% and 6% respectively, year over year
Business segment performance highlights included record Corning®
Gorilla® Glass volume, driven by rapid adoption of Gorilla® Glass 5;
acceleration of Optical Communications growth; and continued moderation in
price declines in Display Technologies.
Year-over-year sales, net income, and EPS growth expected in the first
quarter of 2017
“Corning delivered outstanding fourth-quarter results, continuing the
momentum that began earlier in the year,” said Wendell P. Weeks, chairman,
chief executive officer and president. “Our very strong finish to the year was
highlighted by year-over-year core sales growth of 6%, core earnings growth of
24% and core EPS growth of 47%. We are encouraged by this strength, and expect
growth in these year-over-year measures in the first quarter of 2017.”
Strategy and Capital Allocation Framework Progress
Corning’s Strategy and Capital Allocation Framework outlines the
company’s 2016-2019 leadership priorities. Under the Framework, Corning plans
to deliver more than $12.5 billion to shareholders while investing $10 billion
in growth opportunities.
Since the Framework was announced, the company has achieved key
milestones including the return of $6 billion to shareholders by increasing the
dividend 12.5% and repurchasing 22% of its outstanding shares; and completing
the realignment of Dow Corning Corporation, which unlocked tremendous value for
shareholders.
“As we enter the second year under our Framework, the strategic and
financial benefits of Corning’s focused portfolio are even more apparent,” said
Weeks. “We’re particularly pleased to see our market-access platforms continue
to evolve as we anticipated. Progress on our initiatives include the rapid
adoption rate of Gorilla® Glass 5; new platform wins from major OEMs for gas
particulate filters; and customer commitments that support long-term growth
opportunities in Optical Communications. The strong response to our
cutting-edge glass innovations at the recent Consumer Electronics Show is yet
another illustration.”
“In 2017, we will continue to advance the objectives of our Strategy and
Capital Allocation Framework,” Weeks added. “We expect to increase the value of
Corning products used on mobile devices, accelerate growth in Optical
Communications, commercialize gas particulate filters, and make advancements in
pharmaceutical glass and Gorilla Glass for Automotive. Corning’s focused portfolio
positions the company well for the long-term.”
Optical
Communications:
Fourth-quarter 2016 sales in Optical Communications rose 11% and core
earnings rose 85% over 2015. Sales growth of fiber-to-the-home solutions in
North America, along with improved manufacturing performance, contributed to
the higher year-over-year profitability. Full-year 2016 sales were $3 billion
and core earnings were $297 million.
In the first quarter of 2017, year-over-year Optical Communications
sales growth is expected to be at least 25%. Full-year 2017 sales are expected
to increase by a low-teens percentage over 2016.
No comments:
Post a Comment