Corning Incorporated manufactures and sells specialty glasses, ceramics, and related materials in North America, the Asia Pacific, Europe, and internationally. The company operates through five segments: Display Technologies, Optical Communications, Environmental Technologies, Specialty Materials, and Life Sciences. The Display Technologies segment manufactures glass substrates for liquid crystal displays (LCDs) used in LCD televisions, notebook computers, and flat panel desktop monitors. The Optical Communications segment manufactures optical fiber and cable; and hardware and equipment products comprising cable assemblies, fiber optic hardware and connectors, optical components and couplers, closures, network interface devices, and other accessories for various carrier network applications. This segment also offers subscriber demarcation, connection and protection devices, passive solutions, and outside plant enclosures; and coaxial RF interconnects for the cable television industry and microwave applications. The Environmental Technologies segment manufactures ceramic substrates and filter products for emissions control in mobile and stationary, and gasoline and diesel applications. The Specialty Materials segment manufactures products that provide approximately 150 material formulations for glass, glass ceramics, and fluoride crystals. The Life Sciences segment manufactures and supplies scientific laboratory products consisting of consumables, such as plastic vessels, specialty surfaces, and media, as well as general labware and equipment for cell culture research, bioprocessing, genomics, medication discovery, microbiology, and chemistry; and develops and produces technologies for biologic medication production markets. The company was formerly known as Corning Glass Works and changed its name to Corning Incorporated in April 1989. Corning Incorporated was founded in 1851 and is headquartered in Corning, New York.
BUSINESS ANALYSIS OF CORNING
The Technology Sector is witnessing a major shakeup, new age business models in the industry are transforming both customers and businesses. Faced with this uncertainity, companies are investing resources to transform their business. An in-depth business analysis is a valuable resource to identify and articulate the need for a business model change. At R&P Research we believe, the starting point for a business analysis is Benchmarking. Business benchmarking can be done at various levels: 1) Industry Benchmarking 2) Peer Benchmarking 3) Disruptors Benchmarking. In this report, we share the snapshot of how Corning compares against the industry on the major performance indicators. This analysis, along with peer group/disruptors benchmarking and revenue model understanding can help identify growth and cost optimization opportunities to maximize the value delivered by Corning to its stakeholders. R&P Research Industry Intelligence Platform provides historical data for last 15 years with an easy to use benchmarking interface for an in-depth comparative business analysis.
- Revenue Growth: Corning reported a revenue growth of 3.1% year-on-year during 2016. Other Industry grew at 0.0% in the same period
- COGS share of Revenues: As a percentage of revenue, Corning spent 60.1% of its total revenues on COGS. Other industry average (COGS share of revenue) in the same period was 80.7%
- R&D; share of Revenues: As a percentage of revenue, Corning spent 7.9% of its total revenues on R&D.; Other industry average R&D; spending in the same period was 2.4%
- SG&A; share of Revenues: As a percentage of revenue, Corning spent 15.7% of its total revenues on Sales, Marketing, and General Administration (SG&A;). Other industry average SG&A; spending in the same period was 10.3%
- Inventory share of Revenues: As a percentage of revenue, Corning spent 15.7% of its total revenues on Inventories. Other industry average Inventory spending in the same period was 10.4%
- Accounts Payable share of Revenues: As a percentage of revenue, Corning invested 11.5% of its total revenues on Accounts Payable (A/P) Other industry average Accounts Payable investment in the same period was 13.2%
- Accounts Receivable share of Revenues: As a percentage of revenue, Corning invested 15.8% of its total revenues on Accounts Receivable (A/R). Other industry average Accounts Receivable investment in the same period was 15.6%
- PP&E; share of Revenues: As a percentage of revenue, Corning invested 133.6% of its total revenues on Property, Plants, and Equipments (PP&E;). Other industry average PPE investment in the same period was 13.4%
- Intangibles share of Revenues: As a percentage of revenue, Corning invested 25.3% of its total revenues on Intangibles. Other industry average Intangibles investment in the same period was 22.4%
- Net Margins: Corning Net Margins in the year 2016 were 39.4%. Other industry average Net Margins in the same period were 4.6%
SECTOR AND INDUSTRY ASSOCIATION OF CORNING
For the purpose of performance benchmarking of a company with a sector or industry average, R&P; Research associates every company with one sector and one industry. An industry consists of companies with related/similar business models. A sector comprises of a group of related/similar industries.
Corning is associated with Technology Sector and Technology-Other Industry.
Technology sector is comprised of the following industries: Computers Systems and Peripherals; Software; Semiconductor; IT Consulting and Outsourcing Services; Networking Equipment and Services; Internet; Other. The definitions for each of the industries is as follows:
- Computers Systems and Peripherals industry includes companies primarily engaged in manufacturing of personal computers, servers, mainframes, workstations, and other computer accessories and peripherals such as storage drives, mice, keyboards and printers. It also includes manufacturers of mobile phones and tablets.
- Software industry includes businesses providing software products such as operating systems, productivity suites, enterprise software, data and analysis software, advertising and marketing software, engineering and manufacturing software, networking software, and IT management software. It also includes companies providing industry-specific software focused on different sectors such as Financials, Automotive, Telecom, Utilities, Travel, Real Estate, Media, and Publishing.
- Semiconductor industry includes companies primarily engaged in manufacturing and distribution of semiconductor products such as microprocessors, chipsets, motherboards, flash memory, and wired and wireless connectivity products. It also includes companies that provide semiconductor equipment and services to the semiconductor industry.
- IT Consulting and Outsourcing Services industry includes companies primarily engaged in providing information technology consulting and outsourcing services to other businesses. The services include IT consulting, systems integration, application development and management, IT infrastructure management, and network operations management.
- Networking Equipment and Services industry includes companies primarily engaged in manufacturing and distribution of networking and communications equipment for transporting data, voice, and video traffic across intranets, extranets, and the Internet. The key products include routers and switches for local and wide-area networks, cable modems, teleconferencing equipment, and wireless access points.
- Internet industry includes Internet-based businesses providing products and services such as search engines, social networking, web hosting, email, domain name registration, and eCommerce. It also includes industry information/services portals focused on different sectors such as Financials, Automotive, Travel, Health, Real Estate, Media, and Publishing.
- Other industry includes companies providing products such as photocopiers, fax machines, point of sale machines, audio/video technologies, and video games. It also includes technology companies that are not part of other six technology industries.
INDUSTRY RANKING OF CORNING
With $9.4 billion revenues, Corning ranked number 10 of all the companies in the US Technology-Other industry. There were a total of 44 public companies in the US Technology-Other industry that had revenues greater than $50 million during 2016.
The top-10 companies in the US Technology-Other industry by revenues during 2016 were:
- Tech Data ($26.4 billion)
- Avnet ($26.2 billion)
- Flex ($24.4 billion)
- Arrow Electronics ($23.8 billion)
- Jabil Circuit ($18.4 billion)
- SYNNEX ($14.1 billion)
- CDW ($14 billion)
- TE Connectivity ($12.2 billion)
- Xerox ($10.8 billion)
- Corning ($9.4 billion)
BUSINESS MODEL ANALYSIS (BMA) FRAMEWORK
We use the following framework to assess the business model of a company. Business Model Analysis framework can be used by organizations to articulate growth strategies and identify cost optimization opportunities. Technology and consulting companies can use this framework to identify the value drivers and pain points of their targeted customers. Entrepreneurs can use this framework to understand the language of business and identify promising business opportunities. This framework can be used by any professional aspiring to take up a leadership role to better understand the businesses challenges, articulate growth strategy, and monitor the business improvement requirements for the organization.
INDUSTRY PEERS AND COMPETITORS OF CORNING
CDW (CDW) Business Analysis – Analyze Historical Performance, Strategic Priorities, And…
CDW Corp with $14 billion revenues in the year 2016 was the number 7 Other company. Read this report to know the top competitors of CDW and identify growth and cost optimization opportunities of CDW
TE Connectivity (TEL) Business Analysis – Analyze Historical Performance, Strategic Priorities,…
TE Connectivity Ltd. with $12 billion revenues in the year 2016 was the number 8 Other company. Read this report to know the top competitors of TE Connectivity and identify growth and cost optimization opportunities of TE Connectivity
Xerox (XRX) Business Analysis – Analyze Historical Performance, Strategic Priorities, And…
Xerox Corp with $11 billion revenues in the year 2016 was the number 9 Other company. Read this report to know the top competitors of Xerox and identify growth and cost optimization opportunities of Xerox
Activision Blizzard (ATVI) Business Analysis – Analyze Historical Performance, Strategic Priorities,…
Activision Blizzard, Inc. with $7 billion revenues in the year 2016 was the number 11 Other company. Read this report to know the top competitors of Activision Blizzard and identify growth and cost optimization opportunities of Activision Blizzard
Electronic Arts (EA) Business Analysis – Analyze Historical Performance, Strategic Priorities,…
Electronic Arts Inc. with $4 billion revenues in the year 2016 was the number 12 Other company. Read this report to know the top competitors of Electronic Arts and identify growth and cost optimization opportunities of Electronic Arts
Scientific Games (SGMS) Business Analysis – Analyze Historical Performance, Strategic Priorities,…
Scientific Games Corp with $3 billion revenues in the year 2016 was the number 13 Other company. Read this report to know the top competitors of Scientific Games and identify growth and cost optimization opportunities of Scientific Games
REVENUES ANALYSIS
Corning (GLW) Revenues And Revenue Growth From 2012 To 2016
This report provides the last five years revenues and revenue growth of Corning Inc (GLW) from 2012 to 2016. Corning generated a total of $9.4 billion revenues during 2016. Corning reported a revenue growth of 3.1% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.
Corning (GLW) Revenues And Revenue Growth From 2002 To 2016
This report provides the last fifteen years revenues and revenue growth of Corning Inc (GLW) from 2002 to 2016. Corning generated a total of $9.4 billion revenues during 2016. Corning reported a revenue growth of 3.1% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.
Corning (GLW) Revenue Growth Comparison With Industry Growth From 2012 To…
This report provides a comparison of Corning Inc (GLW) revenue growth with Technology-Other industry growth during the last five years from 2012 to 2016. Corning reported a revenue growth of 3.1% year-over-year during 2016. The Technology-Other industry growth was 0% year-over-year during 2016. Corning growth was faster than the industry during 2016.
PROFIT ANALYSIS
Corning (GLW) Net Profit And Net Margin From 2012 To 2016
This report provides the last five years net profit and net margin of Corning Inc (GLW) from 2012 to 2016. Corning reported a total net income of $3.7 billion during 2016. Corning generated a total of $9.4 billion revenues during 2016. Corning net profit margin was 39.4% during 2016. The net profit and the net profit margin correspond to the fiscal year ending in December.
Corning (GLW) Net Profit And Net Margin From 2002 To 2016
This report provides the last fifteen years net profit and net margin of Corning Inc (GLW) from 2002 to 2016. Corning reported a total net income of $3.7 billion during 2016. Corning generated a total of $9.4 billion revenues during 2016. Corning net profit margin was 39.4% during 2016. The net profit and the net profit margin correspond to the fiscal year ending in December.
Corning (GLW) Net Profit Margin Comparison With Industry From 2012 To…
This report provides a comparison of Corning Inc (GLW) net profit margin with Technology-Other industry net profit margin during the last five years from 2012 to 2016. Corning reported a net profit margin of 39.4% during 2016. The Technology-Other industry net profit margin was 4.6% during 2016. Corning was more profitable than the industry during 2016.
COST & EXPENSES ANALYSIS
Corning (GLW) Cost of Sales (COGS) Analysis From 2012 To 2016
This report provides the last five years cost of sales (COGS) analysis of Corning Inc (GLW) from 2012 to 2016. Corning spent a total of $5.6 billion on COGS during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning spent 60.1% of its total revenues on COGS during 2016. The cost of sales (COGS) numbers are for the fiscal year ending in December.
Corning (GLW) Research & Development (R&D) Spending Analysis From 2012 To…
This report provides the last five years research and development (R&D;) expenses of Corning Inc (GLW) from 2012 to 2016. Corning spent a total of $742 million on research and development (R&D;) activities during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning spent 7.9% of its total revenues on R&D; activities during 2016. The R&D; spending numbers are for the fiscal year ending in December.
Corning (GLW) Sales, Marketing, General & Administrative (SG&A) Spending Analysis From…
This report provides the last five years sales, marketing, general & administrative (SG&A;) expenses of Corning Inc (GLW) from 2012 to 2016. Corning spent a total of $1.5 billion on sales, marketing, general, and administrative (SG&A;) activities during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning spent 15.7% of its total revenues on SG&A; activities during 2016. The SG&A; spending numbers are for the fiscal year ending in December.
WORKING CAPITAL ANALYSIS
Corning (GLW) Inventory Spending Analysis From 2012 To 2016
This report provides the last five years inventory spending analysis of Corning Inc (GLW) from 2012 to 2016. Corning invested a total of $1.5 billion on inventories during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning invested 15.7% of its total revenues on inventories during 2016. The inventory numbers are for the fiscal year ending in December.
Corning (GLW) Accounts Receivable (A/R) Analysis From 2012 To 2016
This report provides the last five years Accounts Receivable (A/R) analysis of Corning Inc (GLW) from 2012 to 2016. Corning invested a total of $1.5 billion on accounts receivable during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning invested 15.8% of its total revenues on accounts receivable during 2016. The accounts receivable numbers are for the fiscal year ending in December.
Corning (GLW) Accounts Payable (A/P) Analysis From 2012 To 2016
This report provides the last five years Accounts Payable (A/P) analysis of Corning Inc (GLW) from 2012 to 2016. Corning invested a total of $1.1 billion on accounts payable during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning invested 11.5% of its total revenues on accounts payable activities during 2016. The accounts payable numbers are for the fiscal year ending in December.
ASSET MANAGEMENT ANALYSIS
Corning (GLW) Property, Plant & Equipment (PP&E) Investment Analysis From 2012…
This report provides the last five years property, plant & equipment (PP&E;) investment analysis of Corning Inc (GLW) from 2012 to 2016. Corning invested a total of $12.5 billion on property, plant & equipment (PP&E;) activities during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning invested 133.6% of its total revenues on PP&E; activities during 2016. The PP&E; investment numbers are for the fiscal year ending in December.
Corning (GLW) Intangible Assets Analysis From 2012 To 2016
This report provides the last five years Intangible assets analysis of Corning Inc (GLW) from 2012 to 2016. Corning invested a total of $2.4 billion on Intangible assets during 2016. Corning generated a total of $9.4 billion revenues during 2016. As a percentage of revenues, Corning invested 25.3% of its total revenues on intangible assets during 2016. The Intangible asset numbers are for the fiscal year ending in December.
