Corning Reports Q1’23 Results, Expects Sales Growth in Q2 Amid Tough Market Conditions

Corning reported Q1’23 sales of $3.2 billion, and core sales of $3.4 billion, both declining 7% sequentially. Display Technologies’ sales declined 3% sequentially, while Optical Communications’ sales decreased 6% sequentially. Environmental Technologies’ sales increased 9% sequentially. Display Technologies’ volumes increased significantly in March as conditions in China improved and panel maker utilization resumed its recovery. In the reported quarter, Samsung unveiled its new Galaxy S23 smartphone range, incorporating Corning’s latest Gorilla Glass Victus 2. Meanwhile, Corning made progress in enhancing the performance and expanding the manufacturing of cover glass for flexible devices.

(in $millions)Q1 2023Q4 2022% ChangeQ1 2022% Change
Net Sales$763$783-3%$959-20%
Net Income$160$171-6%$236-32%
Display Technologies sales and income broken out from the total volume of sales. (Source: Corning)

For the second quarter of 2023, management expects core sales in the range of $3.4 billion to $3.6 billion. Despite lower sales, core gross margin and core operating margin increased 160 and 150 basis points sequentially to 35.2% and 15.5%, respectively, driven by the company’s pricing and productivity-improvement actions. The company expects results to improve in the second quarter, driven by profit-improvement initiatives and continued recovery in Display Technologies.