Speciality glassmaker Corning Inc. has announced that its profit jumped 41% in the fourth quarter, boosted by stronger sales of glass for flat-panel televisions and ultra-strong Gorilla cover glass fo…
Speciality glassmaker Corning Inc. has announced that its profit jumped 41% in the fourth quarter, boosted by stronger sales of glass for flat-panel televisions and ultra-strong Gorilla cover glass for cell phones and tablet devices. The company said its net income rose to USD 1.04 billion, or 66 cents per share, in the October-December period, which is an increase compared to USD 740 million, or 47 cents, a year earlier. Excluding unusual items, earnings were 46 cents a share, a penny short of Wall Street expectations. Revenue increased 15% to USD 1.77 billion from USD 1.53 billion, topping analysts“ estimates of USD 1.6 billion. Revenue in Corning“s display technologies segment – its biggest by far – was up 5% to USD 750 million, recouping USD 324 million in a settlement related to insurance claims from a 2009 earthquake that disrupted two plants in Japan and Taiwan. Speciality materials revenue surged 79% to USD 197 million in the quarter, propelled by Gorilla glass. This scratch-resistant glass generated about USD 250 million in revenue in 2010 but soaring demand is expected to increase revenue to USD 1 billion in 2011 as it begins to be used for high-end TVs with frameless screens. Environmental technologies revenue was up 28% to USD 232 million, driven by gains for auto-pollution filters for diesel engines. Revenue in Corning“s telecommunications unit increased 9% to USD 443 million, helped by a milder than usual seasonal downturn. Life-sciences revenue was up 20% to USD 140 million, reflecting Corning“s acquisition of Axygen BioScience Inc., bought for about USD 400 million in September 2009. For all of 2010, Corning“s net income jumped 77% to USD 3.56 billion, or USD 2.25 per share, from USD 2 billion, or USD 1.28 per share, in 2009. Sales increased 23% to USD 6.63 billion from USD 5.4 billion. With four of Corning“s five business units posting record annual sales, “2010 represented one of the most successful periods in the company“s 159-year history,” Jim Flaws, Corning“s chief financial officer, said. “We ended the year with USD 6.3 billion in cash, which provides us with the financial flexibility to not only continue to fund our R&D and capital expansion needs but also supplement our organic growth.” Annual sales of LCD glass increased 24% to USD 3.01 billion in 2010. Based in the western New York town of the same name, Corning employs 24,500 people.