Eastman Kodak Company (KODK) swung to a net profit for the year ended Dec. 31, 2016. The company has made a net profit of $15 million in the year, against a net loss of $80 million in the last year.
Revenue during the year dropped 9.71 percent to $1,543 million from $1,709 million in the previous year. Gross margin for the year expanded 270 basis points over the previous year to 24.82 percent. Total expenses were 90.93 percent of annual revenues, down from 94.68 percent for the last year. This has led to an improvement of 375 basis points in operating margin to 9.07 percent.
Operating income for the year was $140 million, compared with $91 million in the previous year.
"I'm pleased we delivered a GAAP profit and met our revenue and Operational EBITDA goals for 2016," said Jeff Clarke, Kodak chief executive officer. "We continue to drive growth in our SONORA Plates and FLEXCEL NX packaging businesses and improve the quality of our earnings."
Eastman Kodak Company projects revenue to be in the range of $1,400 million to $1,500 million for financial year 2017.
Working capital declinesEastman Kodak Company has witnessed a decline in the working capital over the last year. It stood at $695 million as at Dec. 31, 2016, down 15.14 percent or $124 million from $819 million on Dec. 31, 2015. Current ratio was at 2.64 as on Dec. 31, 2016, down from 2.78 on Dec. 31, 2015. Cash conversion cycle (CCC) has decreased to 42 days for the year from 48 days for the last year. Days sales outstanding went down to 35 days for the year compared with 37 days for the same period last year.
Days inventory outstanding has increased to 37 days for the year compared with 36 days for the previous year period. At the same time, days payable outstanding went up to 30 days for the year from 26 for the same period last year.
Debt comes down significantlyEastman Kodak Company has recorded a decline in total debt over the last one year. It stood at $407 million as on Dec. 31, 2016, down 40.58 percent or $278 million from $685 million on Dec. 31, 2015. Total debt was 22.92 percent of total assets as on Dec. 31, 2016, compared with 32.04 percent on Dec. 31, 2015. Interest coverage ratio improved to 2.33 for the year from 1.44 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
