CORNING, N.Y. (AP) — Corning Inc., which makes glass screens for electronics, said Tuesday that its second-quarter net income fell 74 percent from a year ago as demand for tablets weakened.
Its shares fell nearly 10 percent after releasing its results.
The company's Gorilla Glass is used in tablets and smartphones made by Samsung, Acer, HTC, Lenovo and others, according to the Corning's website. This month, Samsung reported that sales of its tablets and smartphones weakened on increased competition.
Corning miscalculated how much the tablet market would grow, Chief Financial Officer James Flaws said in a conference call with analysts.
"We just got that really wrong about what was happening in the tablet market," he said.
The company said net income fell to $169 million, or 11 cents per share, from $638 million, or 43 cents per share, in the same quarter a year ago.
Earnings, adjusted for non-recurring costs, were 37 cents per share. The average estimate of analysts surveyed by Zacks Investment Research was for earnings of 37 cents per share.
Revenue rose 25 percent to $2.48 billion from $1.98 billion in the same quarter a year earlier. That was below the $2.53 billion analysts expected, according to Zacks.
Shares of the Corning, New York-based company fell $2.16, or 9.8 percent, to $19.89 in afternoon trading Thursday. Its shares had been up almost 24 percent so far this year through Monday's close.