ROCHESTER, N.Y.—Eastman Kodak Co. is banking on replacing the huge profits it once made from film with ink revenue, which more than doubled in the third quarter. More than 3 million people own Kodak home inkjet printers, and analysts estimate 5.3 million units will be in use by year-end.
CEO Antonio Perez discussed Kodak's inkjet printer business during a conference call with analysts Tuesday.
QUESTION: How is Kodak's consumer inkjet business progressing?
PEREZ: Our consumer inkjet printer growth continued to significantly outpace the market. ... We have increased our printer shipments by more than 50 percent, far exceeding the overall industry growth in this very large market.
Most importantly, as we have said before, ink gross profit is the best measure of progress that we're making in this market and that best forecasts our future profitability.
Our ink gross-profit dollars continue to grow as we increase our installed base by selling to customers that print the most. We doubled our ink gross-profit dollars in the third quarter as we have for the first nine months of the year.
When we look at the fourth quarter, we expect that our consumer inkjet product line as a whole will have a positive gross profit for the first time since we launched the product line (in 2007). This is a very important milestone for this business.