Kodak Q4/Full Year 2025 Shareholder Letter and Infographic

Dear Shareholders,

In 2025 we continued to execute our long-term plan to bring Kodak back to its rightful place as an iconic global brand. I’m pleased to report that our plan is on track.

Today Kodak has a stronger balance sheet than we’ve had in years. We have an unmatched portfolio of solutions for commercial print, our AM&C unit is growing and developing new businesses and our Brand Licensing unit is thriving.

As you can see in our earnings press release, we delivered strong performance in both the fourth quarter and full year 2025. Continuing increases in both revenue and gross profit are key indicators of our progress. I am optimistic about Kodak’s future.

Over the last seven years we have focused on de-levering the company while continuing to invest in our infrastructure and new product innovation. Those investments are now paying dividends.

We now have more cash than debt, thereby reducing our annual interest expense by approximately $40 million, and it is our intention to continue to de-lever the balance sheet. Our print business has launched 14 new products in the past few years, and our AM&C unit has introduced a range of still films and developed a number of growth initiatives in promising new industries.

We have updated our internal IT and reporting systems which allows us to streamline processes, reduce operating expenses and better serve our customers.

Creating a stronger balance sheet is an important achievement. However, we recognize that we must build on that foundation and drive growth by generating cash through operations. That means understanding our customers, anticipating their needs and acting quickly to meet them. All three of our businesses (Print, AM&C and Brand Licensing) are contributing today and all have the potential to contribute to our long-term success.

Our Print business, our biggest revenue driver, is still vitally important to Kodak and we will continue to invest in it. While commercial print is a mature industry, our complete portfolio of traditional and digital solutions includes many areas of growth. Our biggest product line, plates, is growing in North America and we'll continue to invest in improving our industry-leading SONORA Process Free Plates. We remain committed to regional manufacturing and distribution of plates in the U.S., Europe and Asia to ensure a reliable supply for our customers. Our line of leading-edge platesetters is performing well.

In digital, we are seeing significant growth in imprinting systems which enable hybrid digital/traditional applications. Our PROSPER inkjet presses remain the fastest and most productive in the industry and our PROSPER 520 Press, which delivers the quality and output you'd expect from offset, is moving from controlled introduction into production.

We recently launched a new rapid-response service system that will drive greater customer satisfaction and higher margins. We are also incorporating AI and machine learning into our customer service processes to reduce response times and improve uptime.

Some of our largest investments have been in our AM&C unit, both in existing businesses and new ones. We have invested, for example, in modernizing and increasing the capacity of our film manufacturing plant to meet growing demand for both still and motion picture films. The recent launch of still films sold directly to distributors reflects our commitment to supporting the long-term health of the film industry. We also continue to OEM film for our licensee and others.

The completion of our cGMP pharmaceuticals manufacturing facility has attracted considerable attention, and we are proud of that achievement. However, the pharma business is a long-term investment that will take years to develop, and we don't expect its revenue to be significant this year. Our focus for the near term is on obtaining Class 2 certification, which will allow us to produce higher-margin specialty products in the future.

Although it is our smallest business unit, our brand licensing business continues to punch above its weight in terms of profitability. In addition to its financial contribution, brand licensing adds value by increasing awareness of Kodak in the minds of customers and prospects worldwide, including the next generation of consumers who are embracing the brand. A great example is the KODAK Charmera Keychain Digital Camera, a miniature camera that attracted a huge amount of attention to Kodak during the holiday season.

We have worked hard over the last seven years to create a strong foundation for Kodak. Now we are at the beginning of a new chapter focused on growth. We have the balance sheet, the products, the infrastructure and the people we need to win in all the markets we serve. I look forward to completing our long-term plan and working with our employees to create value for our shareholders and a bright future for Kodak.

Sincerely,
Jim Continenza
Executive Chairman and CEO

This letter contains statements of a forward-looking nature. Please see our year-end earnings press release or SEC filings for a description of factors that could cause actual results or outcomes to differ materially from those implied by such statements.