Slides
Page 2
Corning Reports Second-Quarter 2026 Financial Results Second-Quarter 2026 Investor Call July 28, 2026
Page 3
© 2026 Corning Incorporated Forward-Looking and Cautionary Statements The statements contained in this presentation and related comments by management that are not historical facts or information and contain words such as “will,” “believe,” “anticipate,” “expect,” “intend,” “plan,” “seek,” “see,” “would,” “target,” “estimate,” “forecast” or similar expressions are forward-looking statements. These forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and include estimates and assumptions related to economic, competitive and legislative developments. Such statements relate to future events that by their nature address matters that are, to different degrees, uncertain. These forward-looking statements relate to, among other things, the Company’s Springboard plan, projected financial and operating performance, anticipated sales opportunities, long-term growth strategy, expected capital deployment, innovation and commercialization plans, and anticipated impacts of customer agreements. Although the Company believes that these forward-looking statements are based upon reasonable assumptions regarding, among other things, current estimates and forecasts, general economic conditions, its knowledge of its business and key performance indicators that impact the Company, there can be no assurance that these forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change except as required by applicable securities laws. Some of the risks, uncertainties and other factors that could cause actual results to differ materially from those expressed in or implied by the forward-looking statements include, but are not limited to: global economic trends, competition and geopolitical risks, or an escalation of sanctions, tariffs or other trade tensions between the U.S. and other countries, and related impacts on our businesses’ global supply chains and strategies; changes in macroeconomic and market conditions and market volatility, including developments and volatility arising from health crisis events, inflation, interest rates, the value of securities and other financial assets, precious metals, oil, natural gas, raw materials and other commodity prices and exchange rates (particularly between the U.S. dollar and the Japanese yen, Mexican peso, Chinese yuan, South Korean won, euro and New Taiwan dollar), decreases or sudden increases of consumer demand, and the impact of such changes and volatility on our financial position and businesses; the availability of or adverse changes relating to government grants, tax credits or other government incentives; the duration and severity of health crisis events, such as an epidemic or pandemic, and its impact across our businesses on demand, personnel, operations, our global supply chains and stock price; possible disruption in commercial activities or our supply chain due to terrorist activity, cyber-attack, armed conflict, political or financial instability, natural disasters, international trade disputes or major health concerns; loss of intellectual property due to theft, cyber-attack, or disruption to our information technology infrastructure; ability to enforce patents and protect intellectual property and trade secrets; disruption to Corning’s, our suppliers’ and manufacturers’ supply chain, equipment, facilities, IT systems or operations; product demand and industry capacity; competitive products and pricing; availability and costs of critical components, materials, equipment, natural resources and utilities; new product development and commercialization; our solar business development, including manufacturing facility construction, ramp, and operations, and the achievement of solar revenue and profitability targets; order activity and demand from major customers; the amount and timing of our cash flows and earnings and other conditions, which may affect our ability to pay our quarterly dividend at the planned level or to repurchase shares at planned levels; the amount and timing of any future dividends; the effects of acquisitions, dispositions and other similar transactions; the effect of regulatory and legal developments; ability to pace capital spending to anticipated levels of customer demand; our ability to increase margins through implementation of operational changes, pricing actions and cost reduction measures; rate of technology change; adverse litigation; product and component performance issues; retention of key personnel; customer ability to maintain profitable operations and obtain financing to fund ongoing operations and manufacturing expansions and pay receivables when due; loss of significant customers; changes in tax laws, regulations and international tax standards; the impacts of audits by taxing authorities; the potential impact of legislation, government regulations, and other government action and investigations; and other risks detailed in Corning’s SEC filings. 3
Page 4
© 2026 Corning Incorporated Use of Non-GAAP Financial Information Corning has included non-GAAP financial measures in this presentation to supplement Corning’s consolidated financial statements presented on a GAAP basis. Management uses non-GAAP financial measures (our “core performance measures”), together with GAAP financial measures, to evaluate operating performance, make financial and operational decisions, and allocate resources. Management believes that core performance measures, when considered together with the Company’s GAAP results, provide investors with useful supplemental information by facilitating a functional view of operating results and providing additional insight into factors and trends affecting the Company’s performance. Specifically, in managing the Company and assessing our financial performance, we supplement certain measures included in our consolidated financial statements by excluding specific items and making certain adjustments to arrive at our core performance measures. These measures are intended to supplement, and should not be viewed as a substitute for, the Company’s GAAP financial measures. Items excluded from certain core performance measures include realized and unrealized gains and losses on our undesignated foreign exchange forward or option contracts and cross-currency swaps, which we refer to as our translated earnings contracts, and on the translation of our foreign-denominated debt. Other excluded items include acquisition-related costs, certain discrete tax items and other tax-related adjustments, restructuring, impairment and other charges and credits, certain litigation, regulatory and other legal matters, pension mark-to-market adjustments, and other items that do not reflect the ongoing operating results of the Company. Prior to April 1, 2026, we included an adjustment to derive our core performance measures that utilized long-term management-determined core rates, which were used in our presentation of the “constant-currency adjustment.” These core rates were applied to all foreign currency exposures for which we were significantly hedged during the applicable period, even though we may have been less than 100% hedged. Effective April 1, 2026, we prospectively replaced constant-currency reporting with a new non-GAAP adjustment, which we refer to as our “adjustment for hedged exposures” as discussed in more detail below. The prior constant- currency adjustment and the current adjustment for hedged exposures are distinct non-GAAP adjustments determined using different methodologies. Because a significant portion of the Company’s revenues and expenses are denominated in currencies other than the U.S. dollar, the Company maintains a foreign currency risk management program whereby it hedges its foreign currency exposure to the Japanese yen, Mexican peso, Chinese yuan, South Korean won, euro and New Taiwan dollar. Management utilizes the adjustment for hedged exposures for the Optical Communications, Glass Innovations and Automotive segments to reflect the Company’s foreign currency risk management program with respect to these currencies, as applicable to each segment. The most significant adjustment relates to the Japanese yen exposure within the Glass Innovations segment. Management believes that this adjustment for hedged exposures is useful for analyzing underlying business trends and establishing operational goals and forecasts by illustrating results aligned with the currency environment established by the Company’s foreign currency risk management program. The adjustment for hedged exposures is calculated by applying our hedge rates (as defined below) to the portion of foreign currency exposure that is hedged by the Company’s hedging instruments during the applicable period. These hedging instruments include our translated earnings contracts and non-derivative instruments such as foreign-denominated debt. The identification of hedged exposures is consistent with the Company’s documented foreign exchange risk management practices. The remaining portion of foreign currency exposure that is not hedged is not adjusted and continues to be reflected at the exchange rates used in the Company’s GAAP results during the applicable period. The currency rates used in calculating this adjustment for hedged exposures (our “hedge rates”) reflect the weighted average of the contractual exchange rates of the Company’s hedging instruments in place for foreign currency exposure for the applicable period. The realized and unrealized gains or losses from our translated earnings contracts and non-derivative instruments are excluded from our core performance measures in our GAAP to core reconciliation, and we include the adjustment for hedged exposures to reflect the underlying hedge rates related to these hedging instruments. The adjustment for hedged exposures, when applied to net sales, reflects only the impact of foreign currency exchange rate movements on the hedged portion of exposure Management believes the adjustment for hedged exposures provides investors with useful supplemental information regarding operating performance by reflecting the effect of the Company’s foreign currency risk management program on the portion of exposure actually hedged during the applicable period. With respect to the outlook for future periods, it is not possible to provide reconciliations for these non-GAAP measures because management does not forecast the movement of foreign currencies against the U.S. dollar, or other items that do not reflect ongoing operations, nor does it forecast items that have not yet occurred or are out of management’s control. As a result, management is unable to provide outlook information on a GAAP basis. 4
Page 5
Corning Reports Second-Quarter 2026 Financial Results Second-Quarter 2026 Investor Call July 28, 2026
Page 6
© 2026 Corning Incorporated Second-Quarter 2026 Core Performance $4.74B Q2 Core Sales 17% Increase YoY 20.9% Q2 Core Operating Margin 190 bps Increase YoY $0.78 Q2 Core EPS 30% Increase YoY 6 © 2026 Corning Incorporated 6 “In the second quarter, we delivered outstanding results, and we upgraded our Springboard Plan to grow sales to an annualized run rate of $20 billion by the end of 2026, $30 billion by the end of 2028, and $40 billion by the end of 2030. We’re entering a new phase of accelerating growth, and we expect to deliver a sales CAGR of 19% from Q4 2026 to Q4 2030 – while growing earnings faster than sales, with significantly higher returns on invested capital and substantially more free cash flow.” - Wendell Weeks, Chairman, CEO, and President CEO PERSPECTIVE
Page 7
© 2026 Corning Incorporated 7 CEO PERSPECTIVE Optical Communications MAP 7© 2026 Corning Incorporated • Q2 sales grew 32% and net income grew 77% year over year • Continue to see strong demand for our Gen AI products in Enterprise, and our orders are accelerating • Enterprise sales grew 65% year over year, with Gen AI sales nearly doubling • Results currently driven by Scale-Out, opportunity ahead with Scale-Up and Photonics
Page 8
© 2026 Corning Incorporated • Sales grew 90% year over year • Completed an extended maintenance shutdown and equipment upgrade at our solar wafer facility • Expect our sales and profitability to improve in Q3 8 CEO PERSPECTIVE Solar MAP 8© 2026 Corning Incorporated
Page 9
© 2026 Corning Incorporated • Last year, Apple expanded our longstanding relationship • In January, announced multiyear, up to $6B agreement with Meta • In May, Nvidia announced a multiyear commercial and technology partnership with Corning • In June, Amazon announced a multibillion- dollar agreement with Corning • Deep customer partnerships support the extraordinary growth outlined in our Springboard Plan CEO PERSPECTIVE Deep Customer Partnerships 9© 2026 Corning Incorporated
Page 10
Internal Springboard Plan $20B ANNUALIZED SALES RUN RATE $40B $13B $30B CEO PERSPECTIVE © 2026 Corning Incorporated 10
Page 11
Assumptions in Upgraded Internal Plan New innovations and form factors in Corning® Gorilla® Glass For 2027-2030, we incorporated a forward rate of 150 JPY/USD to account for a weaker Yen Flat TV, IT, and smartphone end markets, memory price impact included Declining ICE demand & increasing Corning Auto content Capturing a larger Solar opportunity with upgraded sales outlook Continued growth in FTTH and DCI in Carrier MAP CEO PERSPECTIVE © 2026 Corning Incorporated 11
Page 12
Internal Springboard Plan $20B $30B ANNUALIZED SALES RUN RATE $40B $13B CEO PERSPECTIVE © 2026 Corning Incorporated 12
Page 13
Internal Springboard Plan $13B $20B $30B ANNUALIZED SALES RUN RATE $40B CEO PERSPECTIVE © 2026 Corning Incorporated 13
Page 14
Accelerating Springboard Growth $13B $20B $30B ANNUALIZED SALES RUN RATE $40B 15% CAGR CEO PERSPECTIVE © 2026 Corning Incorporated 14
Page 15
Accelerating Springboard Growth $13B $20B $30B ANNUALIZED SALES RUN RATE $40B 15% CAGR CEO PERSPECTIVE © 2026 Corning Incorporated 15 19% CAGR
Page 16
Growth across our MAPs ANNUALIZED SALES RUN RATE $20B $30B $40B 19% CAGR 15% CAGR Photonics Enterprise Carrier Solar Automotive Consumer Electronics Life Sciences $13B CEO PERSPECTIVE © 2026 Corning Incorporated 16
Page 17
Enterprise: We have the opportunity to grow faster than GPU Growth © 2026 Corning Incorporated 17 CEO PERSPECTIVE
Page 18
Enterprise: We have the opportunity to grow faster than GPU Growth © 2026 Corning Incorporated 18 CEO PERSPECTIVE
Page 19
Third Switch Layer to connect all the GPUs in a cluster >130K Leaf Switches LAYER 1 (1 x Connection) LAYER 2 (2 x Connections) LAYER 3 (3 x Connections) GPU PODs 1Spine Switches 2 3 N 1 NSuper Spine 1 2 3 N4 5 6 7 3-Layer Network GPU PODs 1 2 3 N 1 4 5 6 7 Spine Switches 2 3 N 2-Layer Network < 130K GPU Break Point* > *Assumes 512 Switch Port Radix 50% more content in very large clusters © 2026 Corning Incorporated 19 CEO PERSPECTIVE
Page 20
Enterprise: We have the opportunity to grow faster than GPU Growth © 2026 Corning Incorporated 20 CEO PERSPECTIVE
Page 21
We increase bandwidth by increasing lane rate (SerDes) or increasing the quantity of lanes Increases in quantity of lanes requires additional fiber or optical schematics to support (BiDi, etc.) © 2026 Corning Incorporated 21 CEO PERSPECTIVE
Page 22
Enterprise: We have the opportunity to grow faster than GPU Growth © 2026 Corning Incorporated 22 CEO PERSPECTIVE
Page 23
Brand new large optical network opportunity… timing and size hard to predict Scale-Out 1.6 Tb/s ÷ 200G = 8 Lanes @100% Optical 8 Lanes x 2f/Lane = 16f (SO) Rubin Ultra GPU Scale-Up 14.4Tb/s ÷ 200G = 72 Lanes @100% Copper 0f (SU) 0% Optical Scale-Up (~16 fibers/GPU) Reality Somewhere between 10x Fiber Scale-Out 1.6 Tb/s ÷ 200G = 8 Lanes @100% Optical 8 Lanes x 2f/Lane = 16f (SO) Scale-Up 14.4Tb/s ÷ 200G = 72 Lanes @100% Optical 72 Lanes x 2f/Lane = 144f (SU) 100% Optical Scale-Up (~160 fibers/GPU) Rubin Ultra GPU What’s been announced? ”Vera Rubin Ultra NVL576 will combine eight separate MGX NVL racks, each with 72 Rubin Ultra GPUs, all in a single 576-GPU NVLink domain with copper and direct optical connections.” (NVIDIA Vera Rubin POD | developer.nvidia.com) Scale-Out NIC ConnectX-9 will be ~1.6Tb/s (NVIDIA GTC 2026, Jensen Huang Keynote) Scale-Up GPU Bandwidth 14.4Tb/s at 200G SerDes (NVIDIA Vera Rubin POD | developer.nvidia.com) © 2026 Corning Incorporated 23 CEO PERSPECTIVE
Page 24
Enterprise: We have the opportunity to grow faster than GPU Growth © 2026 Corning Incorporated 24 CEO PERSPECTIVE Our estimate is that optical content will increase 1.3x to 1.5x per GPU by 2028
Page 25
Based on our assumptions and discussions with customers, we believe we have the opportunity for a $10B MAP by 2030 The Photonics MAP serves a new class of customers We are bringing Optics “inside the box” for a new generation of technology (CPO/NPO) Although CPO/NPO will likely start with Scale-Out, it is Scale-Up that drives the dramatic increase in size/scale Optical Scale-Up is a new technology that will likely have an exponential adoption curve, leading to timing challenges that are hard to predict Our New Photonics MAP © 2026 Corning Incorporated 25 CEO PERSPECTIVE
Page 26
New “Inside the Box” Optical functions create opportunity for Corning Passive Photonics to manage light • Light creation, modulation, and delivery of the encoded optical signal move “inside the box” at the Silicon Photonic Optical Engine • Tomorrow: All the passive photonics to move and manage the light inside the box © 2026 Corning Incorporated 26 CEO PERSPECTIVE
Page 27
© 2026 Corning Incorporated CEO Summary 27 CEO PERSPECTIVE Delivered a great Q2, results demonstrate progress on "20-30-40" Springboard Plan Plan to grow annualized sales run rate to $20B by end of 2026, $30B by end of 2028, $40B by end of 2030 We're entering a new phase of accelerating growth, with earnings growing faster than sales, significantly higher ROIC, more FCF Deep relationships with industry leaders supports extraordinary growth opportunity
Page 28
© 2026 Corning Incorporated CFO PERSPECTIVE Second-Quarter 2026 Core Performance $4.74B Q2 Core Sales 17% Increase YoY 20.9% Q2 Core Operating Margin 190 bps Increase YoY $0.78 Q2 Core EPS 30% Increase YoY “In the second quarter, we delivered our ninth consecutive quarter of year-over-year growth and continued to enhance our financial profile. Overall, we are off to a great start on our upgraded Springboard plan to capture a new phase of accelerating growth." - Ed Schlesinger, EVP and CFO © 2026 Corning Incorporated 28
Page 29
© 2025 Corning Incorporated SEGMENT RECAP Optical Communications $2.07B Q2 Net Sales Up 32% YoY $438M Q2 Net Income Up 77% YoY 29 © 2026 Corning Incorporated Segment delivered record profitability in Q2 Enterprise grew 65% year over year, and sales related to AI data centers nearly doubled Continued strong demand for our Gen AI innovations and orders are accelerating Longer term, expect Carrier to grow sales mid- single digits, driven by FTTH deployments and DCI
Page 30
© 2025 Corning Incorporated Glass Innovations Year over year growth driven by higher Display glass sales Expect memory prices to impact the handheld market in 2026, but for Corning to outperform Shift toward larger-size TVs favors Corning's Gen 10.5 glass Expect strong demand for advanced memory to support long-term demand from chipmakers and semiconductor equipment suppliers $1.46B Q2 Net Sales Up 1% YoY $354M Q2 Net Income Up 9% YoY 30 SEGMENT RECAP © 2026 Corning Incorporated
Page 31
© 2025 Corning Incorporated Automotive Sales to the automotive market were up 2% year over year and, driven by More Corning content, outperformed the global automotive vehicle market Diesel sales grew 3% year over year and 13% sequentially, driven by improving North American Class 8 orders Remain focused on executing our More Corning growth strategy $471M Q2 Net Sales Up 2% YoY $82M Q2 Net Income Up 4% YoY 31 SEGMENT RECAP © 2026 Corning Incorporated
Page 32
© 2025 Corning Incorporated Solar $438M Q2 Net Sales $(7)M Q2 Net Loss 32 SEGMENT RECAP © 2026 Corning Incorporated Customer demand is strong across the MAP, sales grew 90% year over year Expect sales and profit to improve beginning in Q3 Remain on track to build a $3B revenue stream, with profitability above the corporate average
Page 33
© 2025 Corning Incorporated Life Sciences and Emerging Growth Businesses $294M Q2 Net Sales $(21)M Q2 Net Loss 33 SEGMENT RECAP © 2026 Corning Incorporated Sales were up 8% sequentially, driven by strong performance in our Life Sciences Research business Net Income improved 13% sequentially
Page 34
© 2026 Corning Incorporated CFO PERSPECTIVE Outlook ~$4.9B - $5.0B Q3 Core Sales $0.85 - $0.89 Q3 Core EPS Looking Ahead • Solar sales and profit improving in Q3 • For CapEx, expect to increase our investment run rate in Q3 and Q4, to ~$2B for the full year, to support growth in Optical Communications • For the full year, remain on track to generate significantly more free cash flow year over year © 2026 Corning Incorporated 34
Page 35
Upgraded High-Confidence Plan $30B ANNUALIZED SALES RUN RATE $40B $27B $35B High-Confidence Plan Includes: • Macroeconomic slowdowns • Changes in government policy • Timing of secular trends • Rate of adoption for innovations • Timing of Scale-Up opportunity $17.6B $20B CFO PERSPECTIVE 35© 2026 Corning Incorporated
Page 36
© 2025 Corning Incorporated 36 Transformed Our Financial Profile Since Springboard Launch Q4’23 Q2’26 Sales $3.27B $4.74B +45% Operating Margin 16.3% 20.9% +460bps EPS $0.39 $0.78 +100% ROIC 8.8% 14.9% +610bps © 2026 Corning Incorporated CFO PERSPECTIVE
Page 37
Operating Margin Sales EPS Free Cash Flow (FY) ROIC Metrics Improving Financial Profile At or above 20% Accelerating sales growth 19% CAGR Q4'26 - Q4'30 Growing faster than sales Free cash flow grows as we grow sales Improving to high teens CFO PERSPECTIVE © 2026 Corning Incorporated 37
Page 38
© 2026 Corning Incorporated Q&A Session
Page 39
© 2026 Corning Incorporated 39 Corning’s 2026 Investor Outreach Plans September 9 – Citi 2026 Global TMT Conference Management visits to investor offices in select cities © 2026 Corning Incorporated
Page 40
Appendix
Page 41
© 2026 Corning Incorporated 2026 Supplemental Corporate Metrics (as of July 28, 2026)(1)(2) Q3 2026 • Core Sales: ~$4.9B - $5.0B • Operating expenses: consistent with Q2 2026 • Other income/expense: (~$90M - $100M) • Non-controlling interest: (~$60M - $70M) • Core EPS: $0.85 - $0.89 • WASO: ~875M shares Full-Year 2026 • Operating expenses: ~$3.4B • Other income/expense: (~$370M - $390M) • Non-controlling interest: (~$215M - $235M) • Tax rate: ~18.5% • Capital expenditures: ~$2B (1) Corning does not forecast the movement of foreign currencies against the U.S. dollar, or other items that do not reflect ongoing operations. As a result, the company is unable to provide guidance on a GAAP basis. (2) Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. 41
Page 42
© 2026 Corning Incorporated Q2 2026 Core Performance Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. 42 $ in millions, except EPS Q2 2026 Q1 2026 Q2 2025 Core Net Sales $4,738 $4,345 $4,045 Core Gross Margin $1,874 $1,700 $1,552 Gross Margin % 39.6% 39.1% 38.4% Core SG&A $590 $546 $508 % of Sales 12.5% 12.6% 12.6% Core RD&E $295 $278 $274 % of Sales 6.2% 6.4% 6.8% Core Operating Income $989 $876 $770 Operating Margin % 20.9% 20.2% 19.0% Core Gross Equity (Losses) Earnings $(3) $4 $3 Core Net Profit Before Taxes $898 $797 $689 Core Net Income attributable to Corning Incorporated $680 $612 $523 Core EPS 0.78 0.70 0.60 Weighted-Average Shares Outstanding 875 871 865
Page 43
© 2026 Corning Incorporated Q2 2026 Operating Performance by Segment Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. 43 Segment Net Sales $ in millions Q2 2026 Q1 2026 % change Q2 2025 % change Optical Communications $2,072 $1,846 12% $1,566 32% Carrier Network $803 $884 (9%) $797 1% Enterprise Network $1,269 $962 32% $769 65% Glass Innovations $1,463 $1,420 3% $1,443 1% Automotive $471 $437 8% $460 2% Auto, Glass and Other $318 $301 6% $311 2% Diesel $153 $136 13% $149 3% Solar $438 $370 18% $231 90% Life Sciences and Emerging Growth Businesses $294 $272 8% $345 (15%) Segment Net Sales and Life Sciences and Emerging Growth Businesses $4,738 $4,345 9% $4,045 17% Segment Net Income (Loss) $ in millions Q2 2026 Q1 2026 % change Q2 2025 % change Optical Communications $438 $387 13% $247 77% Glass Innovations $354 $324 9% $324 9% Automotive $82 $70 17% $79 4% Solar $(7) $7 * $2 * Life Sciences and Emerging Growth Businesses $(21) $(24) 13% $6 * Segment Net Income (Loss) and Life Sciences and Emerging Growth Businesses $846 $764 11% $658 29% * Not meaningful Effective in the first quarter of 2026, Corning revised its segment reporting structure to align with its current operating and management structure. As a result, the company created a Glass Innovations segment, combining its former Display and Specialty Materials segments. Corning also created a Solar segment, which includes Hemlock Semiconductor Group and the company’s solar wafer and module manufacturing businesses. Optical Communications and Automotive remain unchanged. All other results will be grouped as Life Sciences and Emerging Growth Businesses. Prior-period results have been recast to conform to the current presentation.
Page 44
© 2026 Corning Incorporated Q2 2026 Core Performance Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. 44 $ in millions, except EPS YTD Q2 2026 YTD Q2 2025 Core Net Sales $9,083 $7,724 Core Gross Margin $3,574 $2,947 Gross Margin % 39.3% 38.2% Core SG&A $1,136 $971 % of Sales 12.5% 12.6% Core RD&E $573 $545 % of Sales 6.3% 7.1% Core Operating Income $1,865 $1,431 Operating Margin % 20.5% 18.5% Core Gross Equity Earnings $1 $5 Core Net Profit Before Taxes $1,695 $1,305 Core Net Income attributable to Corning Incorporated $1,292 $990 Core EPS 1.47 1.14 Weighted-Average Shares Outstanding 877 866
Page 45
© 2026 Corning Incorporated Year-to-Date Operating Performance by Segment Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. 45 Segment Net Sales $ in millions YTD Q2 2026 YTD Q2 2025 % change Optical Communications $3,918 $2,921 34% Carrier Network $1,687 $1,447 17% Enterprise Network $2,231 $1,474 51% Glass Innovations $2,883 $2,849 1% Automotive $908 $900 1% Auto, Glass and Other $619 $616 —% Diesel $289 $284 2% Solar $808 $437 85% Life Sciences and Emerging Growth Businesses $566 $617 (8%) Segment Net Sales and Life Sciences and Emerging Growth Businesses $9,083 $7,724 18% Segment Net Income $ in millions YTD Q2 2026 YTD Q2 2025 % change Optical Communications $825 $448 84% Glass Innovations $678 $641 6% Automotive $152 $147 3% Solar $— $29 (100%) Life Sciences and Emerging Growth Businesses ($45) ($24) (88%) Segment Net Income and Life Sciences and Emerging Growth Businesses $1,610 $1,241 30% Effective in the first quarter of 2026, Corning revised its segment reporting structure to align with its current operating and management structure. As a result, the company created a Glass Innovations segment, combining its former Display and Specialty Materials segments. Corning also created a Solar segment, which includes Hemlock Semiconductor Group and the company’s solar wafer and module manufacturing businesses. Optical Communications and Automotive remain unchanged. All other results will be grouped as Life Sciences and Emerging Growth Businesses. Prior-period results have been recast to conform to the current presentation.
Page 46
© 2026 Corning Incorporated Adjusted Free Cash Flow Reconciliation Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. 46 $ in millions Q2 2026 Q2 2025 YTD 2026 YTD 2025 Cash flows from operating activities $1,717 $708 $2,079 $859 Realized gains on translated earnings contracts and other $128 $51 $278 $107 Adjusted cash flows from operating activities $1,845 $759 $2,357 $966 Less: Capital expenditures $422 $308 $754 $516 Plus: Proceeds from government incentives $0 $0 $8 $0 Adjusted free cash flow $1,423 $451 $1,611 $450
Page 47
© 2026 Corning Incorporated Reconciliation of Non-GAAP Measures Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. 47 Q2 2026 Net sales Gross margin Gross margin % SG&A RD&E Operating income Operating margin % Equity losses Income before income taxes Net income attributable to Corning Incorporated Tax Rate (a) Per Share As reported - GAAP $4,505 $1,628 36.1% $608 $299 $698 15.5% ($5) $649 $559 6.2% $0.64 Adjustment for hedged exposures 233 207 1 206 2 208 159 0.18 Translation loss on foreign denominated debt, net 1 1 0.00 Translated earnings contract gain, net (90) (68) (0.08) Acquisition-related costs (1) 24 26 18 0.02 Discrete tax items and other tax-related adjustments (79) (0.09) Restructuring, impairment and other charges and credits 39 39 71 60 0.07 Pension mark-to-market adjustment (18) (4) 22 22 18 0.02 Loss on investments 13 13 0.01 Gain on sale of business (2) (1) (0.00) Core performance measures $4,738 $1,874 39.6% $590 $295 $989 20.9% ($3) $898 $680 18.5% $0.78 (a) The calculation of the effective tax rate for GAAP and Core excludes net income attributable to non-controlling interest of approximately $50 million and $51 million, respectively. Q2 2026 YTD Net sales Gross margin Gross margin % SG&A RD&E Operating income Operating margin % Equity (losses) earnings Income before income taxes Net income attributable to Corning Incorporated Effective tax rate (a) Per Share As reported - GAAP $8,649 $3,156 36.5% $1,196 $577 $1,337 15.5% ($3) $1,178 $930 13.7% $1.06 Adjustment for hedged exposures 233 207 1 206 2 208 159 0.18 Constant-currency adjustment 201 177 1 176 2 180 135 0.15 Translation gain on foreign denominated debt, net (5) (4) 0.00 Translated earnings contract gain, net (74) (56) (0.06) Acquisition-related costs (20) 66 71 52 0.06 Discrete tax items and other tax-related adjustments (49) (0.06) Restructuring, impairment and other charges and credits 50 (25) 75 115 102 0.12 Pension mark-to-market adjustment (17) (4) 21 21 17 0.02 Loss on investments 19 19 0.02 Gain on sale of business (2) (1) 0.00 Gain on sale of assets (16) (16) (16) (12) (0.01) Core performance measures $9,083 $3,574 39.3% $1,136 $573 $1,865 20.5% $1 $1,695 $1,292 18.5% $1.47 (a) The calculation of the effective tax rate for GAAP and Core excludes net income attributable to non-controlling interest of approximately $87 million and $89 million, respectively.
Page 48
© 2026 Corning Incorporated At Corning Return on Invested Capital (ROIC) is calculated based on the Core performance. We define ROIC as follows: Return on Invested Capital Numerator = Return (Operating Income Tax Adjusted) Operating Income + Equity in earnings of affiliated companies – Tax = Operating Income Tax Adjusted Denominator = Invested Capital Equity + Long and Short term Debt = Invested Capital Operating Income Tax Adjusted (Return) Equity+Debt (Invested Capital) ROIC = 48
Page 49
© 2026 Corning Incorporated Q2 2026 and 2025 Return on Invested Capital (ROIC) 2026 2025 GAAP GAAP to Core Adjustments Core GAAP GAAP to Core Adjustments Core Operating income $698 $291 $989 $573 $197 $770 Equity in (losses) earnings of affiliated companies ($5) $2 ($3) ($11) $14 $3 Operating income before interest and taxes $693 $293 $986 $562 $211 $773 Tax Rate 18.5% 19.5% -Tax $182 $151 Operating Income - Tax Adjusted $804 $622 Equity $13,127 $11,545 +Debt $8,424 $7,500 Invested Capital (IC) $21,551 $19,045 Return (Q2 Operating Income - Tax Adjusted x4) $3,216 $2,488 Invested Capital $21,551 $19,045 Core ROIC 14.9% 13.1% 49
Page 50
© 2026 Corning Incorporated Q2 2026 and 2025 GAAP to Core Reconciliation Core performance measures are non-GAAP measures. Definitions and reconciliations are provided on our website. Q2 2026 Net sales Gross margin Gross margin % SG&A RD&E Operating income Operating margin % Equity losses Income before income taxes Net income attributable to Corning Incorporated Tax Rate (a) Per Share As reported - GAAP $4,505 $1,628 36.1% $608 $299 $698 15.5% $(5) $649 $559 6.2% $0.64 Adjustment for hedged exposures 233 207 1 206 2 208 159 0.18 Translation loss on foreign denominated debt, net 1 1 0.00 Translated earnings contract gain, net (90) (68) (0.08) Acquisition-related costs (1) 24 26 18 0.02 Discrete tax items and other tax-related adjustments (79) (0.09) Restructuring, impairment and other charges and credits 39 39 71 60 0.07 Pension mark-to-market adjustment (18) (4) 22 22 18 0.02 Loss on investments 13 13 0.01 Gain on sale of business (2) (1) (0.00) Core performance measures $4,738 $1,874 39.6% $590 $295 $989 20.9% ($3) $898 $680 18.5% $0.78 (a) The calculation of the effective tax rate for GAAP and Core excludes net income attributable to non-controlling interest of approximately $50 million and $51 million, respectively. Q2 2025 Net sales Gross margin Gross margin % SG&A RD&E Operating income Operating margin % Equity (losses) earnings Income before income taxes Net income attributable to Corning Incorporated Tax Rate (a) Per Share As reported - GAAP $3,862 $1,392 36.0% $515 $276 $573 14.8% $(11) 584 469 14.4% $0.54 Constant-currency adjustment 183 159 1 158 2 159 125 0.14 Translation loss on foreign denominated debt, net 27 21 0.02 Translated earnings contract gain, net (131) (100) (0.12) Acquisition-related costs 1 27 29 21 0.02 Discrete tax items and other tax-related adjustments (28) (0.03) Restructuring, impairment and other charges and credits 1 1 0.00 Pension mark-to-market adjustment (11) (3) 14 16 12 0.01 Gain on investments (6) (6) (0.01) Loss on sale of assets 1 1 1 1 0.00 Litigation, regulatory and other legal matters 3 (3) (3) (2) (0.00) Equity in losses of affiliated companies 12 12 9 0.01 Core performance measures $4,045 $1,552 38.4% $508 $274 $770 19.0% $3 $689 $523 19.5% $0.60 (a) The calculation of the effective tax rate for GAAP and Core excludes net income attributable to non-controlling interest of approximately $31 million and $32 million, respectively. 50
Page 51
© 2026 Corning Incorporated Q2 2026 and 2025 Income Statement Consolidated Statements of Income Corning Incorporated and Subsidiary Companies (Unaudited; in millions, except per share amounts) Three months ended June 30, Six months ended June 30, 2026 2025 2026 2025 Net sales $ 4,505 $ 3,862 $ 8,649 $ 7,314 Cost of sales 2,877 2,470 5,493 4,708 Gross margin 1,628 1,392 3,156 2,606 Operating expenses: Selling, general and administrative expenses 608 515 1,196 986 Research, development and engineering expenses 299 276 577 546 Amortization of purchased intangibles 23 28 46 56 Operating income 698 573 1,337 1,018 Interest income 12 5 21 17 Interest expense (94) (83) (186) (165) Translated earnings contract gain, net 90 131 74 30 Other expense, net (57) (42) (68) (76) Income before income taxes 649 584 1,178 824 Provision for income taxes (40) (84) (161) (139) Net income 609 500 1,017 685 Net income attributable to non-controlling interest (50) (31) (87) (59) Net income attributable to Corning Incorporated $ 559 $ 469 $ 930 $ 626 Earnings per common share available to common shareholders: Basic $ 0.65 $ 0.55 $ 1.08 $ 0.73 Diluted $ 0.64 $ 0.54 $ 1.06 $ 0.72 51