Corning: improved 2Q and 3Q LCD volume performance
At the end of June 2009, Corning Incorporated vice chairman and CFO James B. Flaws updated the company``s guidance of second-quarter LCD glass volume growth, referring to important improvement in LCD ...
At the end of June 2009, Corning Incorporated vice chairman and CFO James B. Flaws updated the company``s guidance of second-quarter LCD glass volume growth, referring to important improvement in LCD glass demand. Second-quarter glass demand is much stronger than we anticipated even a few weeks ago, Flaws reported. As a result, we now expect second-quarter sequential volume to be up approximately 100% at our wholly owned business. He noted that the company has met a great deal of the improved demand by drawing down its existing inventory. Moreover, the company has also begun shipping glass from melting tanks that were restarted earlier in the quarter. Corning had originally forecast an increase of more than 50% in second-quarter volume, and revised volume growth expectations to more than 75% at the end of May. Second-quarter sequential glass volume for Samsung Corning Precision Glass Co., Ltd. (SCP) is expected to increase about 50%, up from the more than 40% figure announced in May 2009, and the more than 25% growth originally expected. Flaws pointed out that, in the first quarter, SCP``s volume did not decline as much as Corning``s wholly owned business. Speaking about LCD glass pricing, Flaws said that second-quarter prices were moderate and substantially below first-quarter price decreases. As we exit this quarter, Flaws added, our model indicates that the industry``s second-quarter supply chain inventory is equivalent to inventory levels at the beginning of this...
At the end of June 2009, Corning Incorporated vice chairman and CFO James B. Flaws updated the company``s guidance of second-quarter LCD glass volume growth, referring to important improvement in LCD glass demand. Second-quarter glass demand is much stronger than we anticipated even a few weeks ago, Flaws reported. As a result, we now expect second-quarter sequential volume to be up approximately 100% at our wholly owned business. He noted that the company has met a great deal of the improved demand by drawing down its existing inventory. Moreover, the company has also begun shipping glass from melting tanks that were restarted earlier in the quarter. Corning had originally forecast an increase of more than 50% in second-quarter volume, and revised volume growth expectations to more than 75% at the end of May. Second-quarter sequential glass volume for Samsung Corning Precision Glass Co., Ltd. (SCP) is expected to increase about 50%, up from the more than 40% figure announced in May 2009, and the more than 25% growth originally expected. Flaws pointed out that, in the first quarter, SCP``s volume did not decline as much as Corning``s wholly owned business. Speaking about LCD glass pricing, Flaws said that second-quarter prices were moderate and substantially below first-quarter price decreases. As we exit this quarter, Flaws added, our model indicates that the industry``s second-quarter supply chain inventory is equivalent to inventory levels at the beginning of this year. We see this as a positive sign. Industry growth required a supply-chain expansion after the significant contractions we saw in the first quarter. As we go forward, we expect some further supply-chain expansion as the industry prepares for the seasonally stronger fourth quarter. Flaws said that continued demand for LCD televisions in the retail sectors is helping to prevent excessive build-up of inventory. He noted that various industry reports on retail data demonstrated that in April 2009 LCD TV unit sales increased 22% in Europe, and 77% in China. In May, LCD TV sales grew 48% in Japan. While retail LCD TV sales growth in the United States had slowed somewhat in April after a very strong first quarter, reports that we have received indicate a significant upward spike in domestic LCD TV sales in late May and the first three weeks of June, Flaws noted. The company has not changed its 2009 forecast that the global LCD glass market will be between 2.1 billion and 2.2 billion sq.ft., But given the continued strong demand for LCD TVs in recent months, especially in China, we believe there could be an upside to this forecast, Flaws said. We will continue to monitor retail trends and provide any updates in our second-quarter conference call. Looking ahead, Flaws said that Corning expects its third-quarter LCD glass shipments to be consistent with the improved forecast for the second quarter. We significantly reduced our inventories in the second quarter to meet the increased needs of our customers. We also are strategically restarting capacity in response to some of the improved market demand. However, we expect to be capacity constrained in the third quarter as demand will remain higher than our ability to manufacture. According to Flaws, as a result, Corning is prioritizing its glass allocation to its customers with long-term supply agreements. It is important to point out that our initial forecast of third-quarter glass shipments called for moderate sequential growth. This assumption was made off a much lower second-quarter growth rate than what has occurred. We now believe that third-quarter shipments will be on par with our significantly improved second-quarter results, he added. LCD glass volume at SCP for the third-quarter is also expected to be consistent with the stronger-than-expected second-quarter results. The company expects third-quarter glass pricing to be quite flat versus the second quarter at its wholly owned business and SCP. It is far too soon to forecast fourth-quarter performance, Flaws said, but if retail demand for LCD TVs continues to be stronger than forecasted, we could see a more muted seasonal decline for LCD glass demand. Corning also announced that its second-quarter financial results will be release during a second-quarter conference call and webcast at 8:30 a.m. on Monday, 27 July 2009 before the financial market openings. Details will be posted on the company website at the investor relations page, http://www.corning.com/investor_relations.
Channel: Company news
2.335 Total news items for this channel since 1996
Page 1 2 3 4 5 6 7 8 9 10... Last of 56
IRIS Inspection: specialist support for customers...
IRIS is strengthening engineering support and spare parts to hollow glass industry companies in South East Asia with a...
Agr opens testing laboratory in Delft, Netherlands
Agr International's new testing laboratory is equipped with modern analysis and testing equipment to carry out a range...
Corning adds jobs to Valor Glass site
Corning has announced that it will create new jobs at its Innovation Support Center and at its Research and Development...
NSG/Pilkington to reopen Ottawa plant
After being damaged by a tornado in February this year, and undergoing furnace cold repair in May, NSG...
Xinyi Glass Holdings to open new float plant in...
Xinyi Glass Holdings plans to develop its first North American manufacturing facility - a float glass plant - in...
Thermoseal: new DecraLed website and future...
DecraLed now has a new website, with a simple interim site to showcase its core decorative product ranges. This...
Global Sparklike Webinar
Sparklike will be holding a webinar to discuss its devices, services and new add-ons on 12 December.
Bangkok Float Glass plans second furnace and...
Bangkok Float Glass will invest in facility expansion in the next five years, including a new furnace, to boost sales...
Glaston sells FC Series™ double-chamber furnace t...
Glaston has announced that it has closed a deal with SYP Group for an FC Series™ double-chamber tempering furnace.
Roto sees growth for 2018
Roto Group sees growth in upcoming months, expecting the increase to be in the mid-single-digit range.
Tvitec Glass presents its new corporate video
Tvitec has released its new corporate video which can be viewed on the company webpage and on the YouTube page of...
Promat UK completes major new factory programme
Promat UK has created new headquarters and manufacturing plant in Lancashire thanks to a multi-million pound...
Sisecam to build new furnace at Eskisehir glass...
The building of a new furnace at its Eskisehir glass packaging factory in Turkey will enable Sisecam to increase its...
O-I CFO to present at the Citi 2017 Basic...
Owens-Illinois' CFO will be presenting during next week's Citi 2017 Basic Materials Conference in New York.
Pittsburgh Glass Works to close Creighton plant
PGW has confirmed the phased close-out of production at Creighton, which will take place during 2018.
Jeffoptics to attend Glasstech Asia 2017
At Glasstech Asia 2017 in Marina Bay Sands, Singapore, Jeffoptics company will be displaying two of its...
AGC North America launches new website
AGC North America's new website provides extensive information, imagery, and downloadable content regarding AGC p...
Asahi India Glass starts production at Taloja...
Asahi India Glass' Taloja plant will add to the company's scale and flexibility in providing supplies to customers in th...
Henkel invests in advanced materials start-up NBD...
Henkel is continuing to invest in innovations with its recent interest in NBD Nanotechnologies, demonstrating its...
Stewart Engineers: turnkey facility update for...
Stewart Engineers has announced the completion of the process steel installation for Orda Glass.
National Glass Group experiences exponential...
National Glass Group,a purchasing group representing some of the largest independent glass processors in the UK, has...
Forel - Vitrum 2017 post-show report
At this year's Vitrum show, Forel had on show its top machinery with an IG line, vertical processing, washing machine, f...
AGC Flat Glass Italia officially inaugurates new...
After some months of renovation work, a cold repair process of three months and an investment of around EUR 25 million,...
Stölzle Masnieres provides more flexibility in ...
Stölzle's Masnieres site in France - Stölzle's centre of excellence for perfumery and cosmetics, is now able to offer it...
CTIEC: contract for float glass project in...
CTIEC will be providing the second 600tpd float glass line for Nasir Float Glass Industries after signing the contract...
Schott opens Chinese pharmaceutical glass plant
Schott has opened a new packaging production plant in China, highlighting its philosophy of keeping production sites...
Cugher Glass at Vitrum 2017 with Project 4x4.0
At the recently-held Vitrum event, Cugher took part in an important joint venture established with Triulzi Special...
Quanex promotes Technical Services team members
Quanex has promoted several people within its Technical Services team, all with considerable experience in their past...
Roto Frank carries out strategic takeover
After the acquisition of Chinese hardware supplier Union, Roto Frank is making another acquisition with the purchase of...
O-I to build Mexican furnace by 2019
O-I is scheduled to build a new fifth furnace at its container production plant in Nava, Mexico.
GPS secures major contract with BGC
GPS Glassproduktions-Service will be installing its IS machines and state-of-the-art technology at BG Container Glass' n...
Bangkok Glass aims to trade on Thai stock...
In a move to raise proceeds for future expansion and double sales in the next five years, BGC is aiming to list on the...
Fratelli Pezza: e-shop is on line
Fratelli Pezza now provides its customers with the possibility of purchasing its equipment and machinery online at its...
The new CEO of Turomas presents their plans for...
Antonio Ortega, the new CEO of Turomas, gave us an overview of the company and its network, its products, and what the...