By Tess Stynes
Corning Inc. (GLW) raised its fourth-quarter sales outlook for its specialty materials business amid stronger-than-anticipated demand for glass used in flat-panel televisions and special glass used in mobile devices.
Shares were up 7.5% at $12.22 in recent premarket trading. Through the close Monday, the stock is down 13% this year.
The company provided the outlook ahead of a technology conference Tuesday.
Corning now expects LCD glass-market volume will increase in the low single digits on a percentage basis from the third quarter, compared with its prior view for a decline in the low to mid-single digits.
The company also expects that specialty materials segment sales will increase 5% over third quarter levels, compared with its prior view for sales to be similar to the quarter earlier. Segment sales continue to be driven by sales of the company's so-called Gorilla glass, which are expected to soar roughly 60% during the period.
Corning expects that the growth in the LCD glass and Gorilla glass businesses should offset seasonal declines in its other business segments.
The company affirmed its views for its telecommunications and environmental technologies units, but now expects its life sciences segment revenue to increase more than 15% from the third quarter thanks to a recent acquisition, compared with its earlier expectations for a decline of about 5%.
Write to Tess Stynes at [email protected]
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