Pricing Actions To Aid Corning’s Q2?

Corning Stock (NYSE: GLW) will report its Q2 2023 results on Tuesday, July 25. We expect the company’s revenues to come in at $3.6 billion, slightly ahead of the consensus estimate of $3.5 billion. This would mark a year-over-year decline of about 1%. Earnings will likely come in at about $0.48 per share, marginally beating the consensus estimate of $0.46. See our interactive dashboard analysis on Corning’s Earnings Preview for more details on how the company’s revenues and earnings will likely trend for the quarter. So, what are some of the trends that are likely to drive Corning’s results?

Corning should benefit from higher panel maker utilization and pricing actions. The top-line will likely be bolstered by increased adoption of gasoline particulate filters. Looking at Q1’23, Corning’s revenues of $3.2 billion reflected a 7% y-o-y decline, with lower sales for most of its segments. However, pricing actions helped the company expand its margin profile, with core gross margin expanding by 160 bps and core operating margin up by 150 bps during the quarter. On a reported basis operating margin was lower due to the impact of currency headwinds. Our Corning Operating Income Comparison dashboard has more details. Looking at the bottom line, Corning reported earnings of $0.41 per share in Q1’23, compared to $0.47 per share in the prior-year quarter. Corning should continue to benefit from pricing actions and improvement in the demand outlook for some of its segments, including display technologies.