Record-Breaking Core Sales and Operating Margins Set a New Pace for Corning
Corning (NYSE: GLW) has just released its third-quarter 2025 results, revealing a surge in performance driven by innovative products and strong demand across multiple business lines. The company achieved a new high-water mark for both core sales and core earnings, strengthening its path toward an ambitious profitability target well ahead of schedule.
Q3 2025: Core Sales Up 14%, EPS Up 24%, Operating Margin Nears 20%
Corning reported third-quarter core sales of $4.27 billion, up 14% year over year, and core earnings per share (EPS) jumped 24% to $0.67. Importantly, the company’s core operating margin expanded by 130 basis points to 19.6%, and management now anticipates reaching its 20% Springboard margin target in Q4 2025—a full year ahead of its original plan.
| Financial Metric | Q3 2025 (Core) | Q3 2024 (Core) | Y/Y Change |
|---|---|---|---|
| Core Sales (billions) | $4.27 | $3.73 | +14% |
| Core Net Income (millions) | $585 | $465 | +26% |
| Core EPS | $0.67 | $0.54 | +24% |
| Core Operating Margin | 19.6% | 18.3% | +1.3 pts |
| Adjusted Free Cash Flow (millions) | $535 | Not provided | — |
Optical Communications, Gen AI, and Apple Partnerships Lead the Charge
The standout performer was the Optical Communications segment, where enterprise sales surged 58% year over year. This was fueled by growing adoption of Corning’s next-generation AI-enabled products. Other businesses also saw meaningful growth, including Specialty Materials and Automotive, underlining a balanced and broad-based upturn.
| Segment | Q3 2025 Net Sales (millions) | Y/Y Growth | Q3 2025 Net Income (millions) | Y/Y Growth |
|---|---|---|---|---|
| Optical Communications | $1,652 | +33% | $295 | +69% |
| Specialty Materials | $621 | +13% | $113 | +57% |
| Automotive | $454 | +6% | $68 | +33% |
| Hemlock & Emerging Growth | $364 | +46% | ($1) | n/a |
Management also highlighted a major boost from Apple, whose $2.5 billion commitment to manufacturing all iPhone and Apple Watch cover glass in Corning’s Kentucky facility represents a strategic long-term opportunity through 2026 and beyond.
Outlook: Q4 Targets and Springboard Milestones Point to Continued Growth
Looking ahead, Corning expects Q4 2025 core sales to hit approximately $4.35 billion and forecasts core EPS growth outpacing sales, guiding to a range of $0.68 to $0.72. Perhaps more impressive, the company is set to reach its Springboard plan operating margin goal of 20% in Q4—an improvement of 3.7 percentage points since the end of 2023, delivered a full year earlier than initially planned.
This margin expansion and sales momentum are underpinned by robust demand for Gen AI products, solar wafer sales, and strengthening partnerships with tech leaders like Apple. The company has also noted increased adjusted free cash flow, which bolsters both financial flexibility and the potential for further investments in growth.
Takeaway: Financial Discipline and Innovation Drive Corning's Upward Trajectory
Corning’s third-quarter results stand out for both their breadth and depth, driven by effective execution and alignment with major market trends in AI, communications, and consumer electronics. With sales and profits hitting record levels, the company’s commitment to both operational efficiency and cutting-edge innovation positions it strongly for the remainder of 2025 and well into 2026.
For investors and industry observers, Corning’s acceleration in margins, cash flow, and strategic partnerships are developments worth tracking. With more updates due at investor events in December and further gains on the horizon, Corning’s execution on its Springboard plan may be just the start of a sustained upswing.
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