Eastman Kodak announces first quarter results

Excluding this extraordinay impact, first quarter sales decreased by 3 percent and digital revenue increased by 2 percent, the company said. In the first quarter, Eastman Kodak recorded a loss from continuing operations of US-$ 249 million (Euro 168.3 million), compared with earnings on the same basis of US-$ 119 million (Euro 80.4 million) in the same period last year.

The company’s Consumer Digital Imaging Group recorded sales of US-$ 330 million (Euro 223.1 million), compared with US-$ 884 million (Euro 597.5 million) in the prior year quarter. First-quarter loss from operations for the segment was US-$ 168 million (Euro 113.56 million), compared with earnings of US-$ 401 million (Euro 271 million) in the first quarter 2010. According to Kodak, this decline in revenue and earnings is primarily due to the US-$ 550 million non-recurring intellectual property transaction in the first quarter of 2010.

Kodak’s Film, Photofinishing and Entertainment Group recorded first-quarter sales of US-$ 367 million (Euro 248.1 million), a 14 percent decline from the year-ago quarter mainly due to continuing industry related declines. First-quarter loss from operations for the segment was US-$ 15 million (Euro 10.1 million), compared with earnings of US-$ 22 million (Euro 14.9 million) in the year-ago period. The decrease in earnings was primarily driven by significantly increased raw material costs, particularly silver, and industry-related declines in volumes, partially offset by cost reductions across the segment, Kodak said.

Antonio Perez, Chairman and CEO of Eastman Kodak Company commented: “Our strategy is working. I am particular pleased with the performance of our core digital growth businesses – Consumer and Commercial Inkjet, Packaging Solutions, and Workflow Software and Services. We also saw revenue growth in Prepress Solutions, Electrophotographic Printing, and Document Imaging. We are off to a good start in 2011, and we remain confident that we will complete our transformation into a sustainable, profible company in 2012.”