Name: Corning Inc. (NYSE:GLW) | Income Statement
Creator: Stock Analysis on Net

Income Statement

The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.

Download chart

Corning Inc., consolidated income statement

US$ in millions

12 months ended:	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net sales	12,588)	14,189)	14,082)	11,303)	11,503)
Cost of sales	(8,657)	(9,683)	(9,019)	(7,772)	(7,468)
Gross margin	3,931)	4,506)	5,063)	3,531)	4,035)
Selling, general and administrative expenses	(1,843)	(1,898)	(1,827)	(1,747)	(1,585)
Research, development and engineering expenses	(1,076)	(1,047)	(995)	(1,154)	(1,031)
Amortization of purchased intangibles	(122)	(123)	(129)	(121)	(113)
Operating expenses	(3,041)	(3,068)	(2,951)	(3,022)	(2,729)
Operating income	890)	1,438)	2,112)	509)	1,306)
Interest income	38)	15)	11)	15)	21)
Interest expense	(329)	(292)	(300)	(276)	(221)
Translated earnings contract gain (loss), net	161)	351)	354)	(38)	248)
Transaction-related gain, net	—)	—)	—)	498)	—)
Other income (expense), net	56)	285)	249)	(74)	(119)
Income before income taxes	816)	1,797)	2,426)	634)	1,235)
Provision for income taxes	(168)	(411)	(491)	(111)	(256)
Net income	648)	1,386)	1,935)	523)	979)
Net income attributable to non-controlling interest	(67)	(70)	(29)	(11)	(19)
Net income attributable to Corning Incorporated	581)	1,316)	1,906)	512)	960)
Series A convertible preferred stock dividend and excess consideration paid for redemption of preferred stock	—)	—)	(827)	(98)	(98)
Net income available to common shareholders	581)	1,316)	1,079)	414)	862)

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).

Revenue performance exhibits a period of growth followed by a recent contraction. Net sales remained relatively stable between 2019 and 2020, experienced a significant surge to peak at 14,189 million in 2022, and subsequently declined to 12,588 million in 2023. This volatility in the top line is mirrored in the gross margin, which reached a peak of 5,063 million in 2021 before trending downward to 3,931 million by the end of 2023, returning to levels comparable to those observed in 2019.

Operating Efficiency and Expense Management: Operating expenses have remained relatively consistent over the five-year period, fluctuating between 2,729 million and 3,068 million. Selling, general and administrative expenses showed a gradual increase from 2019 to 2022 before a slight reduction in 2023. Research, development, and engineering expenses have remained stable, consistently hovering around the 1 billion mark annually. Because operating expenses did not scale linearly with revenue growth, the company experienced significant operating leverage in 2021, where operating income peaked at 2,112 million.
Operating Income Volatility: Operating income demonstrates high variability, with a sharp dip in 2020 to 509 million followed by a rapid recovery to 2,112 million in 2021. However, a sustained downward trend is observed from 2021 through 2023, with operating income falling to 890 million. This decline suggests that the reduction in net sales in 2023 had a disproportionate impact on operating profitability due to the relative rigidity of the operating cost structure.
Non-Operating Impact and Bottom Line Performance: Net income attributable to the parent company reflects the volatility of operating results but is further influenced by non-operating items. A notable transaction-related gain of 498 million in 2020 partially offset the operating slump of that year. Additionally, translated earnings contract gains provided significant boosts in 2021 and 2022. Net income available to common shareholders peaked in 2022 at 1,316 million, though the overall trajectory from 2021's high of 1,906 million (attributable to the company) shows a marked decrease to 581 million by 2023.
Taxation and Interest Trends: The provision for income taxes has fluctuated in alignment with pre-tax income, peaking at 491 million in 2021 and dropping to 168 million in 2023. Interest expenses have trended upward, increasing from 221 million in 2019 to 329 million in 2023, indicating an increase in the cost of debt or a higher debt load over the analyzed period.

AI Ask an analyst for more

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.

How can I help you?