7 November 2005
Eastman Kodak recorded a net loss of US-$ 1.029 billion for the third quarter 2005, compared with earnings of US-$ 458 million in the same period last year. According to Kodak CFO Robert H. Brust, US-$ 900 million of the loss are related to deferred tax assets in the U.S. without any cash impact.
Total sales increased five percent to US-$ 3.55 billion in the third quarter, with a 47 percent increase in digital revenue to US-$ 1.888 billion. Sales of traditional products declined 20 percent to US-$ 1.661 billion. The company's loss from continuing operations in the quarter was US-$ 103 million, compared with earnings from operations of US-$ 3 million in the year-ago quarter.
Kodak's Digital & Film Imaging business recorded total sales of US-$ 1.995 billion, down 16 percent. Earnings from operations for the segment were US-$ 108 million, compared with US-$ 230 million a year ago. Sales of Kodak Picture Maker Kiosks and related media showed a 48 percent increase, while the turnover with home printing products and media, including Kodak EasyShare Printer Docks, grew 45 percent. Sales of consumer digital capture products, including Kodak EasyShare cameras, recorded a 20 percent increase.
Kodak's Graphic Communications Group reached sales of US-$ 886 million, up 158 percent, largely reflecting the acquisition of KPG and Creo. Earnings from operations in the third quarter were US-$ 15 million, compared with a loss of US-$ 16 million in the year-ago quarter.
The sales of Kodak's Health Group were down one percent to US-$ 635 million with earnings from operations of US-$ 90 million, after US-$ 106 million in the same period last year.
Source: European Newsline