Dallas, Texas 02/19/2014 (FINANCIALSTRENDS) – The S&P 500 index tracked Corning Incorporated (NYSE:GLW) reported its 4Q and full year FY13 results on 10th February. Its year ending quarter sales figures came in at $1.59 billion, which represents a 7 percent increase over its 4QFY12 numbers. Its net income for the 4Q had come in at $110 million. Its adjusted net income of $103 million meant a 50 percent increase over its 4Q12 achievement. Sales for the full year came in at $5.71 billion, which represented a 7 percent dip in comparison to FY12. Net income for the full year also came in at $376 million.
The highlight of the earnings call was the clear underlining of the significant challenges that Corning Incorporated (NYSE:GLW) is facing with respect to margin pressures across its various product verticals. Commenting about the challenging macroeconomic scenario that is buffeting the firm’s operations, Corning Incorporated (NYSE:GLW) Chief Financial Officer and Executive VP J. Donald Sheets has been quoted to have said that, :In a year characterized by significant oversupply and pricing pressure in our industry, Dow Corning competed well to maintain its industry leading financial foundation. We moved decisively to reduce our cost structure in 2013, providing us the ability to focus on growth through serving our customers in 2014 and beyond.”
Corning Incorporated (NYSE:GLW) executive management team took pains to clarify to the investment community that their operations are financially on a very strong footing and have highlighted that htey have paid back debt ahead of schedule in the past fiscal year and are currently maintaining strong balance sheet with sustainable levels of cash reserves.
The firm has identified the cyclical weakness that their Silicones segment is going through currently as a big drawback and hopes to work on increasing the efficiency of their manufacturing process to overcome this challenge.