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Excelitas PCO GmbH - PCO.Edge 11-24 BIO LB

Digital Drives Kodak Profit

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ROCHESTER, N.Y., Nov. 1, 2007 -- A near tripling in digital earnings over this time last year helped Eastman Kodak Co. report a $37 million profit for the third quarter of 2007, the company announced today.

The 13 cents a share profit represents a direct turnaround from the $37 million (13 cents a share) loss the company posted in the third quarter of 2006. The company has reported losses for several years as it continues its transition from traditional film products to digital. (See "Kodak Posts Q1 Loss of $151M") 

Overall sales for the quarter were $2.58 billion, a decrease of 1 percent from the third quarter of 2006. Digital revenue for the quarter totaled $1.59 billion, a 12 percent increase over the same quarter last year, which Kodak said was driven by its digital plates, Nexpress digital color printing presses, digital camera sales and sales at its retail kiosks. Digital earnings for the third quarter nearly tripled, from $28 million a year ago to $82 million this quarter.

Revenue from traditional products such as film was down 16 percent from a year ago, sliding from $1.16 billion to $986 million.

“I am very pleased with our third-quarter performance, which represents a milestone in the emergence of the new Kodak,” said Antonio M. Perez, Kodak chairman and CEO. “We delivered solid, value-creating digital growth, powered by a 12 percent increase in digital revenue, as well as expanded gross margins and positive net earnings. Our relentless focus on digital business model innovation and the dramatic operational improvements we have achieved over the past four years have created a solid foundation for our future.”

Looking ahead to the end of the year, Kodak said it expects total restructuring charges for 2007 to be between $750 million and $850 million, down from its previous estimates of between $900 million and $1 billion.

The company said it expects digital earnings for the year to meet previous estimates of between $150 million and $250 million, and its digital revenue to beat last year's figures by between 3 and 5 percent.

For more information, visit: www.kodak.com
Excelitas Technologies Corp. - X-Cite Vitae  MR 11/24

Published: November 2007
Glossary
digital
Denoting the use of binary notation; i.e., the representation of data by bits (1 or 0).
photonics
The technology of generating and harnessing light and other forms of radiant energy whose quantum unit is the photon. The science includes light emission, transmission, deflection, amplification and detection by optical components and instruments, lasers and other light sources, fiber optics, electro-optical instrumentation, related hardware and electronics, and sophisticated systems. The range of applications of photonics extends from energy generation to detection to communications and...
Antonio PerezdigitalearningsEastman KodakEmploymentfilmKodaknetNews & Featuresphotonicsprofitrevenuethird quarter

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