Corning Incorporated stock research
FY2023 Q2
Corning (GLW) Gross Margin — Quarter Ended Jun 30, 2023
Revenue and gross profit for the current quarter were unchanged from the prior quarter but lower compared with the same quarter one year earlier. Gross margin weakened slightly from the prior quarter and was notably lower than the year-ago period.
Gross margin takeaway
Quarter ended Jun 30, 2023 · FY2023 Q2
Revenue and gross profit for the current quarter were unchanged from the prior quarter but lower compared with the same quarter one year earlier. Gross margin weakened slightly from the prior quarter and was notably lower than the year-ago period.
- Cost of revenue decreased year over year but not enough to offset the larger decline in revenue, causing gross profit and margin to contract. The relationship shows that cost reduction lagged the revenue decline.
- Compared with the prior quarter, revenue was flat while cost of revenue was also flat, resulting in a stable gross profit but a slightly lower gross margin. Versus the same quarter one year earlier, revenue and gross profit were both lower, and the gross margin weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
31.2%
Gross profit
$1.0B
Revenue
$3.2B
Cost of revenue
$2.2B
Quarter-over-quarter change
-0.3 pts
Year-over-year change
-3.2 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 31, 2023 | $3.2B | $1.0B | $2.2B | 31.6% |
| Jun 30, 2023 | $3.2B | $1.0B | $2.2B | 31.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2023
-0.3 pts
Year-over-year change
Jun 30, 2022
-3.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Cost of revenue decreased year over year but not enough to offset the larger decline in revenue, causing gross profit and margin to contract. The relationship shows that cost reduction lagged the revenue decline.
Compared with the prior quarter, revenue was flat while cost of revenue was also flat, resulting in a stable gross profit but a slightly lower gross margin. Versus the same quarter one year earlier, revenue and gross profit were both lower, and the gross margin weakened.
Monitor whether cost of revenue can decrease further to support gross margin if revenue remains near current levels.