Corning announced a five-year strategic agreement with Meta to supply high-performance fiber-optic cable and connectivity solutions for the social media giant’s U.S. data center expansion. Under the deal, Corning will deliver over 200 million feet of ultra-low-loss fiber annually, representing roughly 15% of its current optical communications segment volume. Management expects the partnership to contribute approximately $400 million in incremental revenue in year one and to drive mid-teens percentage growth in the optical communications unit over the life of the contract.

In its fiscal fourth quarter, Corning reported segment revenue of $2.1 billion for optical communications, up 18% year-over-year, as AI data center deployments accelerated. The optical communications margin expanded to 28.5%, up from 25.2% a year earlier, reflecting higher factory utilization and pricing improvements on specialty fiber products. While the display technologies division saw a 5% revenue decline due to softness in consumer electronics, overall adjusted operating income rose 12% sequentially.

Beyond fiber optics, Corning’s specialty glass and ceramics businesses delivered combined sales of $1.3 billion in Q4, up 7% year-over-year. Growth was driven by advanced cover glass for augmented reality devices and ceramic substrates used in electric vehicle power electronics. This diversification into high-growth end markets provides a hedge against cyclicality in display panels and supports a target of 5–7% annual revenue growth in non-optical segments over the next three years.

Corning ended the quarter with $3.8 billion in net cash and announced a 10% increase in its quarterly dividend, marking its 15th consecutive year of dividend growth. The company also authorized a $2 billion share repurchase program to be deployed over the next 18 months. With data center capex forecast to exceed $1 trillion industry-wide by 2025 and Corning holding an estimated 30% share of the global specialty fiber market, management reiterates its goal of returning 60% of free cash flow to shareholders through dividends and buybacks annually.