Corning Loss Narrows In 1Q18
Corning has reported net loss of US$589 million for first-quarter of 2018, an improvement from the net loss of US$1.412 billion for the previous quarter.
Net sales for the quarter came to US$2.5 billion, down 5% sequentially but up 5% from a year ago, Corning disclosed.
First-quarter 2018 Display Technologies net sales were US$745 million - down 5% both sequentially and on year. Net income was US$185 million, down 11% sequentially and 24% on year. In the first quarter, LCD glass volume declined by a low-single digit percentage sequentially, in line with the market and normal seasonality, Corning said.
The first-quarter sequential price decline for the display segment was the most favorable since 2010, Corning said, adding the improvements in LCD glass pricing are expected to continue throughout 2018, reaching an important milestone as annual price declines improve to a mid-single-digit percentage.
For full-year 2018, Corning expects the LCD glass market volume growth to be in the mid-single digit percentages, as TV screen size growth continues. The company expects Corning's volume to grow faster than the market as Corning ramps production in tandem with BOE's 10.5G demand in Hefei, China.
In the Specialty Materials business, which includes its Gorilla Glass, first-quarter 2018 net sales were US$278 million, down 29 sequentially and 7% on year. Net income was US$46 million, down 48% sequentially and 19% on year.
The company expects on-year sales growth for Specialty Materials in 2018, with the rate dependent on customer adoption of Corning's innovations, including the next generation of Gorilla Glass, which remains on track for launch during the second half of 2018.