Corning Q2 2026 earnings beat but stock falls on guidance

Wall Street had expected adjusted net of $0.76 per share. Analyst statement called for income of $4.63 billion, according to Barron's.

The disappointment centered connected guidance. Corning's third-quarter outlook called for halfway EPS successful a scope of $0.85 to $0.89 and halfway income betwixt $4.9 cardinal and $5 billion. Analysts had expected third-quarter income of $4.99 cardinal and net of $0.85 per share, according to Barron's.

Corning's Optical Communications conception led results, with nett income of $2.07 cardinal successful the 2nd quarter, up 32% from a twelvemonth earlier. Enterprise Networks wrong that conception grew 65%, the institution said. The Solar conception posted income of $438 million, up 90% twelvemonth implicit year, though the conception recorded a nett nonaccomplishment of $7 million. Corning said it expects Solar profitability to amended successful the 3rd 4th pursuing the completion of an extended attraction shutdown and instrumentality upgrade astatine its star wafer facility.

On a GAAP basis, nett income were $4.51 cardinal and diluted EPS was $0.64.

Chairman and Chief Executive Officer Wendell P. Weeks said successful a connection that the institution is "entering a caller signifier of accelerating growth" and expects a income compound yearly maturation complaint of 19% from the 4th fourth of 2026 to the 4th fourth of 2030. The company's Springboard Plan targets an annualized income tally complaint of $20 cardinal by the extremity of 2026, $30 cardinal by the extremity of 2028, and $40 cardinal by the extremity of 2030.

In the quarter, Corning announced agreements with Amazon and NVIDIA. Amazon entered a multiyear, multibillion-dollar statement nether which Corning volition proviso optical fiber, cable, and connectivity solutions for its U.S. information centers. NVIDIA and Corning announced a semipermanent concern nether which Corning volition grow its U.S. optical connectivity manufacturing capableness tenfold and summation home fibre accumulation capableness by much than 50%.

Corning reported first-quarter halfway income of $4.35 cardinal and halfway EPS of $0.70 earlier this year, driven by request for fiber-optic products tied to AI information halfway construction. At the time, the institution besides announced 2 hyperscaler deals comparable successful standard to an earlier multiyear statement with Meta and outlined plans to widen its Springboard maturation program done 2030.

Other optical networking stocks fell Tuesday alongside Corning. Ciena mislaid 5.9%, Coherent shed 5.7%, and Lumentum retreated 4.7%.