Corning Inc Q1 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Steven Fox - Fox Advisors - Analyst : Hi, good morning, and thanks for all that detail. I guess for my question, Wendell, you talked a lot about the different aspects that could play out in this new world order. I guess, the one that maybe you left out, I was wondering if you can touch on is just your pricing power in uncertain markets and how you think all this plays out versus competition? Obviously, you got pricing settled on the display side, but how do you think about just where you're at with some of the other key markets like solar and auto, and especially, optical? Thanks.

Question: Steven Fox - Fox Advisors - Analyst : Great, that was very helpful. Thank you.

Question: Wamsi Mohan - Bank of America - Analyst : Yes, good morning. Thank you so much. You spoke about temporary capacity RAM costs and optical and solar. But your CapEx outlook did not change, it stayed at $1.3 billion. So is this largely an OpEx RAM? Is it a pull forward of any demand that you're seeing, or are there under the power changes in in CapEx allocation? And if I could, could you also address maybe just your visibility in Gen AI orders? Obviously, you had very strong growth. But there are some concerns around pullback in data center spending. I'm just trying to get some sense from you if you're seeing anything different in your order patterns at all. Thank you so much. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 12:30PM, GLW.N - Q1 2025 Corning Inc Earnings Call

Question: Wamsi Mohan - Bank of America - Analyst : Yes, absolutely. That was that was super helpful, Wendell, and if you could comment on the on the visibility of Gen AI orders too, that'd be great. Thank you.

Question: Wamsi Mohan - Bank of America - Analyst : Yeah. That's great, Wendell. Thank you so much.

Question: Asiya Merchant - Citi - Analyst : Oh, great. Thank you for taking my question. Just back on the comment on optical, obviously very strong demand here. And I'm wondering, is this an environment that's very supply constrained at this point, and if there is an opportunity to further press on pricing or further strengthen Coring's mode in this segment, thank you.

Question: Samic Chargidi - JPMorgan - Analyst : Hi, thank you for taking my question, and Wendell and thanks for all the, prepared remarks in terms of tariffs as well as a potential sort of recession. Maybe Wendell, if I can ask you, more in relation to what your customer conversations have been since Liberation Day tariffs and whether when you're sort of outlining the scenarios, in relation to recession. Is that a discussion that's becoming more frequent with your customers? And maybe even rate tariffs, what are you seeing in terms of customer behavior since liberation tariffs? Has that really changed compared to prior to that? And just adding on to that in terms of capital investment plans, when you think about your solar ramp, how should we think about sort of the flexibility in that plan [now] if we were to go into a more significant downturn? How should we think about flexibility around sort of moderating that plan? Thank you.

Question: Samic Chargidi - JPMorgan - Analyst : Yeah. And it's specifically on solar is that when you think about your plan there is it sensitive to the macro or given the long-term nature, should we think of it as largely -- you can continue on that plan? Thank you.

Question: Samic Chargidi - JPMorgan - Analyst : Thank you, thanks for the call. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 12:30PM, GLW.N - Q1 2025 Corning Inc Earnings Call

Question: Mehdi Hosseini - Susquehanna International Group - Analyst : Yes, sir, thanks for taking my question. Couple of follow ups. Wendell, can you, tell me what you hear from your panel customers regarding end-market demand? Obviously, the TV is part of the consumer electronics is very sensitive to macro trends. And I was wondering what you're hearing from your customers, and I have a follow up.

Question: Mehdi Hosseini - Susquehanna International Group - Analyst : So follow up here given your reported Q1 and assuming that there is a price increase embedded, and your outlook for flattish volume shipment. Does that imply a significant, uptake starting in Q2?

Question: Mehdi Hosseini - Susquehanna International Group - Analyst : Alright, great, thanks for the details, Wendell. And actually, going back to Ed, you talked about having confidence with a strong free cash flow. You're investing, in the operation, given your $1.3 billion CapEx. You have also done really well in beating and grazing. So given that context, why not step up and be more aggressive with buyback? What is holding you back if you're so confident with the Springboard, and how you and you actually execute it better than expected, why not reflect that in a more aggressive buyback? Any thoughts? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 12:30PM, GLW.N - Q1 2025 Corning Inc Earnings Call

Question: Mehdi Hosseini - Susquehanna International Group - Analyst : Thank you.

Question: John Roberts - Mizuho - Analyst : Thank you. I think of tariffs a little bit like scope 1, 2, and 3 emissions. You're $0.01 to $0.02 that's basically scope 1 and 2, and there's nothing from scope 3 or tariff impact on your customers in there, right?

Question: John Roberts - Mizuho - Analyst : And then something like --

Question: John Roberts - Mizuho - Analyst : I was going to say something like a customer moving their production from China to India that's there. Is that something that would be material to corning, or how would you have to adjust for that?

Question: John Roberts - Mizuho - Analyst : Great, thank you very much.