Eastman Kodak Company (KODK) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenue was $267 million, down 9% year-over-year, with gross profit of $58 million and a gross margin of 22%, marking the seventh consecutive year-over-year margin increase despite lower volumes and higher costs.

• Net income for Q2 2024 was $26 million, a 26% decrease from Q2 2023; operational EBITDA fell 45% to $12 million.

• Strategic focus remains on operational efficiencies, innovation, and investment in Advanced Materials & Chemicals, with new product launches and a cGMP facility for diagnostic test reagents expected to begin production in 2025.

• Print segment revenues declined 13% year-over-year, while Advanced Materials & Chemicals saw modest growth.

• Cash and cash equivalents at quarter-end were $251 million, down $4 million from year-end 2023.

Financial highlights

• Q2 2024 revenue was $267 million, down $28 million (9%) year-over-year; six-month revenue was $516 million, down $57 million (10%).

• Q2 2024 gross profit was $58 million (22% margin), down 8% year-over-year; six-month gross profit was $107 million (21% margin).

• Net income for Q2 2024 was $26 million; six-month net income was $58 million, down from $68 million in the prior year.

• Operational EBITDA for Q2 2024 was $12 million, a $10 million (45%) decrease year-over-year; six-month operational EBITDA was $16 million, down 48%.

• Q2 2024 basic EPS was $0.25; diluted EPS was $0.23.

Outlook and guidance

• Continued investment in long-term growth initiatives, especially in Advanced Materials & Chemicals and information technology, with a cGMP facility scheduled for 2025.

• Management expects ongoing challenges from global economic volatility, inflation, and supply chain disruptions, with a focus on pricing, cost control, and operational improvements.

• Capital expenditures for 2024 are projected at $40–$55 million.