Kodak Reports First-Quarter 2025 Financial Results

Kodak has reported financial results for the first quarter 2025.

First quarter 2025 highlights include:

• Consolidated revenues of $247 million, compared with $249 million for Q1 2024, roughly flat year over year
• Gross profit of $46 million, compared with $49 million for Q1 2024, a decrease of $3 million or 6 per cent
• Gross profit percentage of 19 per cent, compared with 20 per cent for Q1 2024, roughly flat year over year
• GAAP net loss of $7 million, compared with net income of $32 million for Q1 2024, a decrease of $39 million or 122 per cent
• Operational EBITDA of $2 million, compared with $4 million for Q1 2024, a decrease of $2 million or 50 per cent
• A quarter-end cash balance of $158 million, compared with $201 million on December 31, 2024, a decrease of $43 million; cash flow from operations decreased by $55 million from the prior-year period

"In the first quarter, we continued to focus on key elements of our long-term plan: streamlining our operations, shedding unprofitable businesses and investing in long-term growth initiatives," said Jim Continenza, Kodak’s Executive Chairman and CEO.

"Our Advanced Materials & Chemicals unit continues to leverage our strengths in layering, coating and chemicals to drive growth now and develop new businesses for the future. The group’s new cGMP manufacturing facility, which we expect to be online later this year, will expand our current pharma business into manufacturing FDA-regulated diagnostic test reagents. Our investment in the new pharma facility is just one example of our commitment to investing in U.S.-based manufacturing. We also manufacture all our film products and the world's fastest inkjet presses in the U.S., and we are the last remaining U.S. manufacturer of lithographic printing plates.

Our commitment to manufacturing in-country gives our customers the highest quality and a more reliable supply and reduces our environmental impact. In the first quarter, Kodak also continued to progress as planned in the termination of our KRIP U.S. pension plan and establishment of a comparable new plan for our employees. Looking ahead, we will continue to navigate an uncertain short-term business environment by unwavering focus on execution of our long-term plan."

For the quarter ended March 31, 2025, revenues were $247 million, a decrease of $2 million or 1 per cent compared to the same period in 2024. Adjusting for the unfavourable impact of foreign exchange of $3 million, revenues increased by $1 million, or essentially flat when compared to the prior year.

GAAP net loss was $7 million for the quarter, compared to net income of $32 million in 2024, a decrease of $39 million or 122 per cent. Operational EBITDA for the quarter ended March 31, 2025, was $2 million, compared to $4 million in 2024, a decrease of $2 million or 50 per cent. Adjusting for the unfavourable impact of foreign exchange of $1 million, Operational EBITDA decreased by $1 million or 25% compared to the prior year. The decrease in Operational EBITDA was primarily driven by higher aluminium and manufacturing costs partially offset by price increases and volume improvements.

Kodak ended the quarter with a cash balance of $158 million, a decrease of $43 million from December 31, 2024. The decrease was primarily driven by capital expenditures to fund growth initiatives, investments in technology systems and organisational structure, increased investment in inventory, impact of higher costs and lower profitability from operations.

"In the first quarter of 2025, Kodak continued to invest in increasing operational efficiency and developing new businesses," said David Bullwinkle, Kodak’s CFO. "The decline in revenue has slowed, which is in line with expectations and reflects our ongoing focus on generating smart revenue in our Print business to drive stronger profitability as well as volume growth in our AM&C business. Kodak ended the quarter with a cash balance of $158 million, compared with $201 million on December 31, 2024. Our use of cash was primarily driven by our continuing investments in AM&C growth initiatives and increased commodity and manufacturing costs. For the balance of the year, we plan to further optimise our business processes to create more efficient operations and continue to invest in our future."