A Focus on Corning's Strategy | Investor Relations | Corning

We use cookies to ensure the best experience on our website.
View Cookie Policy
_self
Accept Cookie Policy
Change My Settings
ESSENTIAL COOKIES
Required for the site to function.
PREFERENCE AND ANALYTICS COOKIES
Augment your site experience.
SOCIAL AND MARKETING COOKIES
Lets Corning work with partners to enable social features and marketing messages.
ALWAYS ON
ON
OFF

Esta página possui melhor visualização com última versão do Google Chrome e do Mozilla Firefox.

Close[x]

“The Strategy and Capital Allocation Framework defines our portfolio and underscores our commitment to excellent capital stewardship.”
— Wendell P. Weeks, Chairman and Chief Executive Officer

Our Mandate: Focus Our Portfolio and Utilize Our Financial Strength

Our Mandate

"More than a decade of outstanding industrial performance has given us a strong foundation on which to build," Wendell P. Weeks told investors at the company’s Annual Investor Day in New York on February 5, 2016.

Looking ahead, he said: "Our overall mandate is simple: we will focus our portfolio and utilize our financial strength."

Weeks explained that Corning expects to generate more than $20 billion through 2019. The company plans to invest $10 billion to grow and sustain its leadership, while also distributing more than $10 billion to shareholders. Weeks noted key actions including the recently completed $1.25 billion accelerated share repurchase and the 12.5% dividend increase as evidence that Corning was executing on that plan.

He then went on to describe Corning’s plans to focus its portfolio. "The core of what Corning does is invent, make, and sell. We create value by inventing category-defining products, using transformative manufacturing platforms, and building strong, trust-based relationships with customers who are leaders in their industries," explained Weeks. "Now we’re seeking to augment that value-creation through a more focused and cohesive portfolio that improves our probability of success, reduces the cost of innovation, and increases the barriers to entry."

How We’re Leveraging Our Market Access Platforms

How We’re Leveraging Our Market Access Platforms

Jim Clappin, President, Corning Glass Technologies

Display and Mobile Consumer Electronics

“We built market leadership in Display and realized that we could formulate a tough glass to address needs created by the disruptive advent of smartphones, using our existing fusion assets to produce the new glass. Now we will leverage our framework to increase our revenue per display by enabling the display industry to deliver even more lifelike images and advantaged form factors."

Clark Kinlin, Executive Vice President, Corning Incorporated

Optical Communications

“Over 40 years ago, we leveraged our deep knowledge of optical physics, glass science, and low-cost vapor deposition to disrupt the telecommunications industry with optical fiber. We intend to continue to deliver more disruptive innovations that really matter to our customers.”

Eric Musser, Executive Vice President, Corning Technologies & International

Life Sciences Vessels

“New approaches and new drugs create new disruptions in an adjacent market: glass vessels for the storage and delivery of injectable drugs. We believe we can apply our world-class capabilities and 100 years of leadership in the life sciences industry to invent a new kind of pharmaceutical glass vessel to pursue this opportunity.”

Marty Curran, Executive Vice President, Corning Innovation Officer

Automotive

“Corning got started in Automotive because of a disruption from the Clean Air Act. We’ve built a billion-dollar business with terrific customer relations and high returns, and we’re going to leverage that platform to address a new set of disruptions: cleaner cars, safer cars, and connected cars."

A Review of Our Capital Allocation Plan

A Review of Our Capital Allocation Plan

“Despite macro-economic headwinds in 2016, we expect meaningful growth over the next four years driven by our strong share position and lowest cost manufacturing,” Tony Tripeny, chief financial officer, said in his remarks concluding Corning’s Annual Investor Day presentations. 

Tripeny noted that Corning is well positioned in its key markets and expects meaningful growth over the next four years. “We have five powerful market access platforms and have built leadership positions in our businesses,” Tripeny said. “We have world-class capabilities that we can leverage to capture attractive new opportunities, and we have a focused, cohesive portfolio that increases our return on innovation.”

In describing the key elements of Corning’s Capital Allocation Plan, Tripeny highlighted strong shareholder returns. “We are confident in our ability to generate significant operating cash flow, and we have significantly reduced our cash flow risk by expanding our hedging program,” said Tripeny. “We expect to deploy $22 to $26 billion or more in cash in our capital allocation plan over the next four years. We’re investing in a great set of opportunities that will grow our company and expand our leadership position.” 

With a plan to direct more than $10 billion to shareholders over the next four years, Tripeny remarked, “Through 2019, we’ll increase our dividend by more than 50%, with our total cash returns to shareholders at roughly a 10% average annual cash yield.” 

Published February 2016 

More About Our Strategy

Corning headquarters

Corning's Strategy and Capital Allocation Framework

Corning's Strategy and Capital Allocation Framework

November 2015 - Focused around the core of what we do, our Strategy and Capital Allocation Framework is about creating value, generating cash flow, and managing through global economic shifts.

November 2015 - Focused around the core of what we do, our Strategy and Capital Allocation Framework is about creating value, generating cash flow, and managing through global economic shifts.

Corning's Capital Stewardship

Corning's Capital Stewardship

November 2015 - Chief Financial Officer Tony Tripeny explains how our plans deliver strong financial performance and capital stewardship through increased shareholder returns and continued investments in our focused portfolio.

November 2015 - Chief Financial Officer Tony Tripeny explains how our plans deliver strong financial performance and capital stewardship through increased shareholder returns and continued investments in our focused portfolio.

Corning’s Four-Year Strategy and Capital Allocation Framework

Corning’s Four-Year Strategy and Capital Allocation Framework

November 2015 - Chief Strategy Officer Dr. Jeffrey Evenson discusses our four-year Strategy and Capital Allocation Framework.

November 2015 - Chief Strategy Officer Dr. Jeffrey Evenson discusses our four-year Strategy and Capital Allocation Framework.