Kodak will lay off 425 employees after reporting millions in losses
Kodak recently disclosed its third quarter fiscal results, revealing that it had a GAAP net loss of $46 million on $379 million in revenues during its Q3 2017. This marks a sharp downturn of fortunes for Kodak, which saw $12 million in net earnings during the same quarter last year. “An overall print market slowdown and rising aluminum costs have impacted our commercial print business,” explained Kodak CEO Jeff Clarke in a release.
Clarke went on to explain that Kodak is, “taking immediate actions to accelerate cost reduction and reduce investments to sharpen our focus as we continue to actively pursue changes to the Kodak product and divisional portfolio.” According to New York Upstate, “accelerate cost reduction” translates to the Eastman Kodak Company cutting 425 jobs.
The quarter had its upsides for Kodak, however, which reports that its Kodak Sonora Plates saw a 24% growth in Q3 and its Flexcel NX revenue grew 2% year-on-year. Overall, Kodak’s CFO David Bullwinkle said the company anticipates generating cash during Q4 2017. “We plan to improve our cash balance through reducing working capital and through cost actions,” Bullwinkle explained, “including focusing investments in technologies most likely to deliver near-term returns.”