Corning Incorporated - GLW STOCK NEWS

Lumen Technologies (NYSE: LUMN) has announced a significant agreement with Corning Incorporated (NYSE: GLW) for the supply of next-generation optical cable. This deal will more than double Lumen's U.S. intercity fiber miles, providing substantial capacity to major cloud data centers to meet the increasing demands of AI workloads and high-bandwidth applications. The agreement reserves 10% of Corning's global fiber capacity for each of the next two years.

This partnership aims to address the network infrastructure needs of major data center operators, including Microsoft, which recently announced an investment with Lumen. The new fiber-dense cable will enable Lumen to fit two-to-four times the amount of fiber into existing conduits, marking the first outside-plant deployment of Corning's new gen-AI fiber and cable system.

Lumen Technologies (NYSE: LUMN) has announced a significant agreement with Corning Incorporated (NYSE: GLW) to secure a substantial supply of next-generation optical cable. This deal will more than double Lumen's U.S. intercity fiber miles, addressing the growing demand for AI workloads and high-bandwidth applications in cloud data centers.

Key points of the agreement include:

• Lumen reserves 10% of Corning's global fiber capacity for each of the next two years
• The agreement is Lumen's largest cable purchase to date
• It will enable Lumen to meet the network infrastructure needs of major data center operators, including Microsoft
• The new fiber-dense cable will support the rapid advancement of generative AI, which requires at least 10 times more fiber connections within data centers

Corning Incorporated (NYSE: GLW) reported strong Q2 2024 results, exceeding April guidance and marking a return to year-over-year sales growth. Core sales reached $3.60 billion, up 4% year-over-year, while core EPS was $0.47, up 4%. The outperformance was primarily driven by strong adoption of new optical connectivity products for generative AI. For Q3 2024, management expects core sales to grow to ~$3.7 billion, with core EPS in the range of $0.50 to $0.54.

Highlights include:

• Record sales in Enterprise portion of Optical Communications, up 42% year-over-year
• Agreement with Lumen Technologies to reserve 10% of Corning's global fiber capacity for AI-enabled data centers
• Core gross margin improved to 37.9%, up 170 basis points year-over-year
• Adjusted free cash flow of $353 million

The results reinforce management's confidence in its 'Springboard' plan to add over $3 billion in annualized sales with strong incremental profit and cash flow in the next three years.

Corning (NYSE: GLW) has updated its second-quarter 2024 expectations, projecting core sales of approximately $3.6 billion, up from the previous guidance of $3.4 billion. Core EPS is now anticipated to be at the high end or slightly above the guided range of $0.42 to $0.46. This growth is driven by strong adoption of their new optical connectivity products for Generative AI. Corning's 'Springboard' framework, expected to generate over $3 billion in annualized sales, is also contributing to this positive outlook. The company is confident in its market position and anticipates strong incremental profit and cash flow. Corning started its share buyback program in Q2 2024, demonstrating confidence in value creation for shareholders. Detailed results will be reported on July 30, 2024.

Corning, NY-based Corning announced a quarterly dividend of $0.28 per share. This dividend will be paid on September 27, 2024, to shareholders who are recorded as of August 30, 2024. This declaration by Corning's Board of Directors reflects the company's ongoing commitment to returning value to its shareholders.

Corning Incorporated (NYSE: GLW) announced that CEO Wendell P. Weeks will participate in the J.P. Morgan 52nd Global Technology, Media and Communications Conference. Weeks highlighted Corning's strategy to increase annualized sales by over $3 billion and achieve substantial profit and cash flow within three years. He noted the company's existing capacity and capabilities to support this growth are already in place. The discussion will provide insights into Corning's market outlook, trends, and growth drivers. A live and recorded webcast of the event will be available on Corning's Investor Relations website.

Corning Incorporated (NYSE: GLW) has announced a quarterly dividend of $0.28 per share, payable on June 27, 2024, to shareholders of record on May 31, 2024.

Corning Incorporated (NYSE: GLW) reported first-quarter 2024 financial results with GAAP sales of $2.98 billion and core sales of $3.26 billion. The company expects core sales to grow in the second quarter to approximately $3.4 billion, with core EPS between $0.42 to $0.46. Corning is well positioned to add over $3 billion in annualized sales, aiming for significant profit and cash flow growth.