Digital growth keeps coming for Kodak

Commercial and consumer inkjet business brings in the money for Kodak, while it was not such a pretty picture for film and photofinishing.

In its third quarter 2010 results, Kodak reported sales of $1.758 billion, a 1 per cent decrease from the year-ago quarter. According to Antonio M. Perez, chairman and chief executive officer, Eastman Kodak Company (pictured), the results show that the company is on track for a strong fourth-quarter performance, and continued improvement.

“Our third-quarter performance was marked by continued acceleration in our strategic digital growth businesses, positive cash generation, improved profit margins, and continued operational improvements across the company,” he said.

“I am particularly pleased with the performance of our core growth businesses – Consumer Inkjet, Commercial Inkjet, Packaging Solutions, and Workflow Software and Services. Revenue growth in these businesses continues to accelerate and in the third-quarter grew by a combined 23 per cent. We also enjoyed growth in equipment unit placements, which will drive future consumable sales.”

Revenue from the company’s digital businesses grew 10 per cent in the third quarter, reflecting increased demand for the company’s consumer and commercial inkjet products, packaging solutions, and workflow software and services, along with a non-recurring intellectual property licensing agreement.

Revenue from the company’s digital commercial printing businesses grew by 13 per cent in the third quarter, including 23 per cent growth in commercial inkjet printing. Consumer inkjet printer and ink revenue grew by 26 per cent in the third quarter. Profits from the company’s digital portfolio showed year-over-year improvement for the fourth consecutive quarter. However, third-quarter revenue from the company’s film, photofinishing and entertainment group declined by 25 per cent.