Stock Analysis on Net

Corning Inc. (NYSE:GLW)

This company has been moved to the archive! The financial data has not been updated since May 2, 2024.

Analysis of Operating Leases

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An operating lease is treated like a rental contract. Neither the leased asset nor the associated liability is reported on the lessee balance sheet, but the rights may be very similar to the rights of an owner. The lessee only records the lease payments as a rental expense in income statement.


Adjustments to Financial Statements for Operating Leases

Corning Inc., adjustments to financial statements

US$ in millions

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Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Adjustment to Total Assets
Total assets (as reported) 28,500 29,499 30,154 30,775 28,898
Add: Operating lease right-of-use asset (before adoption of FASB Topic 842)1
Total assets (adjusted) 28,500 29,499 30,154 30,775 28,898
Adjustment to Total Debt
Total debt (as reported) 7,526 6,911 7,044 7,972 7,740
Add: Operating lease liability (before adoption of FASB Topic 842)2
Add: Short-term operating lease liabilities 112 111 94 96 62
Add: Long-term operating lease liabilities 846 795 691 633 450
Total debt (adjusted) 8,484 7,817 7,829 8,701 8,252

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1, 2 Equal to total present value of future operating lease payments.


Corning Inc., Financial Data: Reported vs. Adjusted


Adjusted Financial Ratios for Operating Leases (Summary)

Corning Inc., adjusted financial ratios

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Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Total Asset Turnover1
Reported total asset turnover 0.44 0.48 0.47 0.37 0.40
Adjusted total asset turnover 0.44 0.48 0.47 0.37 0.40
Debt to Equity2
Reported debt to equity 0.65 0.58 0.57 0.60 0.60
Adjusted debt to equity 0.73 0.65 0.63 0.66 0.64
Return on Assets3 (ROA)
Reported ROA 2.04% 4.46% 6.32% 1.66% 3.32%
Adjusted ROA 2.04% 4.46% 6.32% 1.66% 3.32%

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Corning Inc. adjusted total asset turnover ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.
Adjusted debt to equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. Corning Inc. adjusted debt to equity ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Corning Inc. adjusted ROA deteriorated from 2021 to 2022 and from 2022 to 2023.

Corning Inc., Financial Ratios: Reported vs. Adjusted


Adjusted Total Asset Turnover

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Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
As Reported
Selected Financial Data (US$ in millions)
Net sales 12,588 14,189 14,082 11,303 11,503
Total assets 28,500 29,499 30,154 30,775 28,898
Activity Ratio
Total asset turnover1 0.44 0.48 0.47 0.37 0.40
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Net sales 12,588 14,189 14,082 11,303 11,503
Adjusted total assets 28,500 29,499 30,154 30,775 28,898
Activity Ratio
Adjusted total asset turnover2 0.44 0.48 0.47 0.37 0.40

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

2023 Calculations

1 Total asset turnover = Net sales ÷ Total assets
= 12,588 ÷ 28,500 = 0.44

2 Adjusted total asset turnover = Net sales ÷ Adjusted total assets
= 12,588 ÷ 28,500 = 0.44

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Corning Inc. adjusted total asset turnover ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

Adjusted Debt to Equity

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
As Reported
Selected Financial Data (US$ in millions)
Total debt 7,526 6,911 7,044 7,972 7,740
Total Corning Incorporated shareholders’ equity 11,551 12,008 12,333 13,257 12,907
Solvency Ratio
Debt to equity1 0.65 0.58 0.57 0.60 0.60
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Adjusted total debt 8,484 7,817 7,829 8,701 8,252
Total Corning Incorporated shareholders’ equity 11,551 12,008 12,333 13,257 12,907
Solvency Ratio
Adjusted debt to equity2 0.73 0.65 0.63 0.66 0.64

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

2023 Calculations

1 Debt to equity = Total debt ÷ Total Corning Incorporated shareholders’ equity
= 7,526 ÷ 11,551 = 0.65

2 Adjusted debt to equity = Adjusted total debt ÷ Total Corning Incorporated shareholders’ equity
= 8,484 ÷ 11,551 = 0.73

Solvency ratio Description The company
Adjusted debt-to-equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. Corning Inc. adjusted debt-to-equity ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to Corning Incorporated 581 1,316 1,906 512 960
Total assets 28,500 29,499 30,154 30,775 28,898
Profitability Ratio
ROA1 2.04% 4.46% 6.32% 1.66% 3.32%
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Net income attributable to Corning Incorporated 581 1,316 1,906 512 960
Adjusted total assets 28,500 29,499 30,154 30,775 28,898
Profitability Ratio
Adjusted ROA2 2.04% 4.46% 6.32% 1.66% 3.32%

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

2023 Calculations

1 ROA = 100 × Net income attributable to Corning Incorporated ÷ Total assets
= 100 × 581 ÷ 28,500 = 2.04%

2 Adjusted ROA = 100 × Net income attributable to Corning Incorporated ÷ Adjusted total assets
= 100 × 581 ÷ 28,500 = 2.04%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Corning Inc. adjusted ROA deteriorated from 2021 to 2022 and from 2022 to 2023.