Corning's revenue and profits rose in Q4 2018 despite poor iPhone sales
Corning managed to increase its revenue and profits in Q4 2018 despite the poor iPhone sales and slowdown in the Chinese economy.
While most Apple suppliers did not fare well in Q4 2018, U.S glass maker Corning proves to be an exception.
According to Reuters, Corning exceeded expectations for both revenue and profit in the holiday quarter despite the sluggish sales of the iPhones and a slowdown in the Chinese economy.
Net sales from its optical communications unit increased 26% to $1.17 billion as Corning secured more contracts from telecom companies which are upgrading their existing infrastructure to the next generation 5G networks.
Its specialty materials unit, which manufactures Gorilla Glass used in most mobile devices today, saw a small increase of 2% in net sales to $399 million. Overall, Corning reported a net income of $292 million and net sales of $3.04 billion.
Other Apple suppliers did not fare as well; Intel, which is the exclusive supplier of radio modems for the 2018 iPhone lineup, reported lower-than-expected revenue due to "weaker modem demand and a slowdown in China". Foxconn reported its first revenue drop in 10 months due to a big drop in the consumer category products. Largan Precision, a supplier of camera lenses for Apple, said sales dropped almost 34% compared to a year ago.
Source: Reuters
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