A little good news about Kodak (maybe)

[Prof_Pixel]

See Dead Link Removed "Kodak's U.S. operations show first sign of profitability"

 

[Hatchetman]

Unfortunately, those numbers don't tell you anything about core profitability. Could be write-downs, asset sales, or other things.

 

[BrianShaw]

yup, that's the problem interpreting those kind of numbers. Who knows what they really mean.

 

[Ektagraphic]

Kodak themselves has not really been releasing much information to the public about their status...There is even not much directed to people that have Kodak stock.

 

[Sal Santamaura]

I usually don't comment in this type of thread, but can't help noting that the company recorded net losses in the neighborhood of $100 million every month this year, swelling to $160 million for June, which the article is about.

Who cares about a gross profit if such things as taxes, R&D and selling/administrative expenses turn it into a huge loss? Certainly not shareholders or those overseeing the bankruptcy!

 

[BrianShaw]

After watching what one CPA could do with my (former) small business's proft-and-loss status, I can only imagine what rooms full of CPAs and lawyers can and will do.

 

[Diapositivo]

For June, Kodak's U.S. operations posted sales of $180.2 million and a net loss of $160 million.

This means that total cost for June was estimated at $340 million, and of those only $180 million were covered by sales. $160 of June costs remain uncovered by sales. Loss amounts to 88% of revenues.
That means by today numbers Kodak would have to increase its revenues by 88% just to break even, using the same accounting criteria.

 

[CGW]

After watching what one CPA could do with my (former) small business's proft-and-loss status, I can only imagine what rooms full of CPAs and lawyers can and will do.

What about GAAP, IFRS and AICPA standards for public companies? Too many people watching this one, not many watched your private small business.

 

[PKM-25]

"The company continues to slowly burn through its cash. The U.S. operations ended June with $510.2 million in cash and cash equivalents, down from $574.2 million at the end of May."

Slowly...?...That's more than 11% of it's cash and equivalents in one month...

 

[Roger Cole]

For June, Kodak's U.S. operations posted sales of $180.2 million and a net loss of $160 million.

This means that total cost for June was estimated at $340 million, and of those only $180 million were covered by sales. $160 of June costs remain uncovered by sales. Loss amounts to 88% of revenues.
That means by today numbers Kodak would have to increase its revenues by 88% just to break even, using the same accounting criteria.

Maybe one time write offs? Hard to imagine any other way you could lose 160 million on 180 million in sales.

 

[seadrive]

Maybe one time write offs? Hard to imagine any other way you could lose 160 million on 180 million in sales.

If you have a dollar in sales, and $160 million in fixed and (somewhat) variable overhead expenses, like salaries, pension expenses, office rent, depreciation, etc., etc., it's pretty easy to lose any amount of money, having nothing to do with your sales volume.

 

[zsas]

More good news:

Judge lets Kodak sell two disputed patents; stock jumps
http://www.rbj.net/article.asp?aID=192071

 

[CGW]

More good news:

Judge lets Kodak sell two disputed patents; stock jumps
http://www.rbj.net/article.asp?aID=192071

"Around 3 p.m., Kodak shares (OTC: EKDKQ) were trading at 52 cents, up from a close of 40 cents the day before."

 

[zsas]

What is your point?

 

[Brian C. Miller]

"I'm not dead yet!"

 

[Roger Cole]

What is your point?

His point is probably just "if 40 cents is the problem 52 cents ain't the answer."

While I concede that is true, it still represents a thirty percent increase in one day.

And if you pay a penny for something and sell it for two cents you've made 100% profit but you've still only made a penny.

But it's about as much positive move as one could hope for in a single day. It's a start, and it's much better than going down.

 

[zsas]

Not sure what CGW meant either, I hope he meant it as a positive thing, but who knows.

I believe when one multiplies the existing shares (271.9m) by the close $0.51, the company (in bankruptry no less), and compare it to yesteday (271.9 mill x $0.40) increased market cap by $30 million. Not a bad sign. Sure the company is a low stock, but those two patents are in theory worth $30 million (to traders)....maybe the patent sale will be good, there are 1,100 patents....