Kodak is reporting a return to profitability in its latest quarter.
Kodak is reporting that profit even though sales were down for the second quarter. The company saw net profits of $8 million, compared to a $23 million loss a year ago.
Revenues of $397 million were down nine percent compared to a year ago.
CEO Jeff Clarke told investors and analysts that Kodak had good success at a major trade show held in Germany earlier this year.
“We launched more than 20 new products and technologies at this show, which were well received by our customers and we exceeded our sales targets. With the introduction of our new products and technologies we’re well positioned at the forefront of the print, publishing and packaging industries.”
Clarke says he’s pleased with the continued improvement of the quality of earnings and despite the revenue decline, he says Kodak showed growth in some key businesses.
At Brighton Securities, George Conboy says that overall, it was a good quarter for Kodak, but he says keeping costs under control is an ongoing effort.
“Cost cutting remains important to Kodak with a focus on trying to drive some new markets, but you’re not going to see that cost cutting pressure go away anytime soon, so they’re not out of the woods yet, but boy, they may be able to see a little daylight through the trees.”
Conboy says it looks like Kodak's sales decline, which has occurred over a number of years, may eventually be coming to an end.
Kodak now focuses on commercial printing and packaging.
