v3.26.1
Note 19 - Segment Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information

NOTE 19: SEGMENT INFORMATION

Kodak has three reportable segments: Print, Advanced Materials and Chemicals and Brand. Kodak’s reportable segments are based on a combination of factors that the chief operating decision maker (“CODM”) uses to evaluate and manage the business operations, including but not limited to, Kodak’s organizational structure, customer base, markets, products and services and related technologies. Kodak does not aggregate operating segments. A description of Kodak’s reportable segments follows.

Print: The Print segment is comprised of four lines of business: the Prepress Solutions business, the PROSPER business, the Software business and the Electrophotographic Printing Solutions business.

Advanced Materials and Chemicals: The Advanced Materials and Chemicals segment is comprised of five lines of business: the Industrial Film and Chemicals business, the Motion Picture business, the Pharmaceuticals business, the Advanced Materials and Functional Printing business and the IP Licensing and Analytical Services business.

Brand: The Brand segment contains the brand licensing business.

The balance of Kodak’s continuing operations, which primarily represent the operations of Eastman Business Park ("EBP") and do not meet the criteria of a reportable segment, are reported in All Other revenues and All Other Operational EBITDA.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note 1 included in the 2025 Form 10-K. There are no intersegment sales between the segments.

Kodak’s CODM is the Executive Chairman and Chief Executive Officer. Kodak’s segment measure of profit and loss is an adjusted earnings before interest, taxes, depreciation and amortization (“Operational EBITDA”). Operational EBITDA represents the consolidated earnings (loss) from operations excluding the provision for income taxes; non-service cost components of pension and other postemployment benefits (“OPEB”) income; depreciation and amortization expense; restructuring costs and other; stock-based compensation expense; consulting and other costs; idle costs; interest expense; loss on early extinguishment of debt; other operating expense, net and other income (charges), net.

The CODM uses Operational EBITDA in assessing segment performance and deciding how to allocate resources for each segment predominantly through the annual budget and forecasting process. The CODM evaluates Operational EBITDA budget-to-actual variances and changes in Operational EBITDA from prior periods when comparing the results of each segment with one another.

Segment financial information is shown below. Asset information by reportable segment is not disclosed below as this information is not regularly provided to or used by the CODM in assessing performance and allocating resources.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Segment Revenues, Operational EBITDA and Consolidated Earnings (Loss) from Continuing Operations Before Income Taxes

 

 

Three Months Ended

 

 

Six Months Ended

 

 

June 30,

 

 

June 30,

 

2026

 

 

2025

 

 

2026

 

 

2025

 

(in millions)

 

 

 

 

 

 

 

 

 

 

 

Print:

 

 

 

 

 

 

 

 

 

 

 

    Revenues from external customers

$

195

 

 

$

178

 

 

 

375

 

 

 

343

 

    Cost of revenues

 

153

 

 

 

147

 

 

 

296

 

 

 

284

 

    Selling, general and administrative expenses

 

31

 

 

 

31

 

 

 

62

 

 

 

64

 

    Research and development expenses

 

3

 

 

 

4

 

 

 

6

 

 

 

8

 

        Operational EBITDA

 

8

 

 

 

(4

)

 

 

11

 

 

 

(13

)

 

 

 

 

 

 

 

 

 

 

 

 

Advanced Materials and Chemicals:

 

 

 

 

 

 

 

 

 

 

 

    Revenues from external customers

 

105

 

 

 

75

 

 

 

181

 

 

 

149

 

    Cost of revenues

 

69

 

 

 

56

 

 

 

125

 

 

 

111

 

    Selling, general and administrative expenses

 

10

 

 

 

8

 

 

 

20

 

 

 

17

 

    Research and development expenses

 

4

 

 

 

3

 

 

 

7

 

 

 

6

 

        Operational EBITDA

 

22

 

 

 

8

 

 

 

29

 

 

 

15

 

 

 

 

 

 

 

 

 

 

 

 

 

Brand:

 

 

 

 

 

 

 

 

 

 

 

    Revenues from external customers

 

7

 

 

 

6

 

 

 

13

 

 

 

10

 

    Selling, general and administrative expenses

 

1

 

 

 

1

 

 

 

2

 

 

 

1

 

        Operational EBITDA

 

6

 

 

 

5

 

 

 

11

 

 

 

9

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Operational EBITDA for Reportable Segments

 

36

 

 

 

9

 

 

 

51

 

 

 

11

 

    All Other Operational EBITDA

 

1

 

 

 

—

 

 

 

(1

)

 

 

—

 

    Depreciation and amortization

 

(6

)

 

 

(7

)

 

 

(13

)

 

 

(14

)

    Restructuring costs and other

 

(1

)

 

 

(6

)

 

 

(1

)

 

 

(11

)

    Stock-based compensation

 

(9

)

 

 

(1

)

 

 

(14

)

 

 

(3

)

    Consulting and other costs (1)

 

—

 

 

 

1

 

 

 

1

 

 

 

1

 

    Idle costs (2)

 

(2

)

 

 

(1

)

 

 

(3

)

 

 

(2

)

    Other operating expense, net (3)

 

(4

)

 

 

—

 

 

 

(6

)

 

 

—

 

    Interest expense (3)

 

(6

)

 

 

(15

)

 

 

(12

)

 

 

(29

)

    Pension income excluding service cost component (3)

 

5

 

 

 

16

 

 

 

9

 

 

 

38

 

    Loss on early extinguishment of debt (3)

 

(1

)

 

 

—

 

 

 

(2

)

 

 

—

 

    Other income (charges), net (3)

 

8

 

 

 

(20

)

 

 

(1

)

 

 

(20

)

Consolidated earnings (loss) from continuing operations before
   income taxes

$

21

 

 

$

(24

)

 

$

8

 

 

$

(29

)

 

(1)
Consulting and other costs are professional services and internal costs associated with corporate strategic initiatives and

litigation. Consulting and other costs included $1 million of income in the six months ended June 30, 2026 and the three and six

months ended June 30, 2025, representing insurance reimbursement of legal costs previously paid by the Company associated

with investigations and litigation matters.

 

(2)
Consists of third-party costs such as security, maintenance and utilities required to maintain land and buildings in certain locations not used in any Kodak operations and the costs, net of any rental income received, of underutilized portions of certain properties.

 

(3)
As reported in the Consolidated Statement of Operations.

 

A reconciliation of reportable segment revenues to consolidated revenues follows:

 

 

Three Months Ended

 

 

Six Months Ended

 

 

June 30,

 

 

June 30,

 

(in millions)

2026

 

 

2025

 

 

2026

 

 

2025

 

Total Reportable Segment Revenues

$

307

 

 

$

259

 

 

$

569

 

 

$

502

 

All Other Revenues

 

4

 

 

 

4

 

 

 

7

 

 

 

8

 

    Total Consolidated Revenues

$

311

 

 

$

263

 

 

$

576

 

 

$

510

 

 

Kodak decreased employee benefit reserves by approximately $1 million in both the three and six months ended June 30, 2026 due to a decrease in workers' compensation reserves driven by changes in discount rates. The decrease in reserves in both the three and six months ended June 30, 2026 impacted gross profit by approximately $1 million.

 

Kodak increased employee benefit reserves by approximately $1 million in the six months ended June 30, 2025 due to an increase in workers' compensation reserves driven by changes in discount rates. The increase in reserves in the six months ended June 30, 2025 impacted gross profit by approximately $1 million. There was no change to employee benefit reserves in the three months ended June 30, 2025.

 

Amortization and depreciation expense by segment are not included in the segment measure of profit and loss but are regularly provided to the CODM.

 

 

Three Months Ended

 

 

Six Months Ended

 

(in millions)

June 30,

 

 

June 30,

 

Intangible asset amortization expense from
   continuing operations:

2026

 

 

2025

 

 

2026

 

 

2025

 

Print

$

-

 

 

$

1

 

 

$

-

 

 

$

2

 

Total

$

-

 

 

$

1

 

 

$

-

 

 

$

2

 

 

 

 

Three Months Ended

 

 

Six Months Ended

 

(in millions)

June 30,

 

 

June 30,

 

Depreciation expense from continuing operations:

2026

 

 

2025

 

 

2026

 

 

2025

 

Print

$

3

 

 

$

4

 

 

$

6

 

 

$

8

 

Advanced Materials and Chemicals

 

2

 

 

 

2

 

 

 

6

 

 

 

4

 

Other

 

1

 

 

 

—

 

 

 

1

 

 

 

—

 

Total

$

6

 

 

$

6

 

 

$

13

 

 

$

12

 

 

 

(in millions)

June 30,

 

 

December 31,

 

Long-lived assets located in: (1)

2026

 

 

2025

 

The United States

$

145

 

 

$

142

 

Europe, Middle East and Africa

 

5

 

 

 

5

 

Asia Pacific

 

3

 

 

 

4

 

Canada and Latin America

 

43

 

 

 

40

 

Non-U.S. countries total (2)

 

51

 

 

 

49

 

Total

$

196

 

 

$

191

 

 

(1) Long-lived assets are comprised of property, plant and equipment, net.

(2) Of the total non-U.S. property, plant and equipment as of June 30, 2026, $42 million was located in Brazil. Of the total

non-U.S. property, plant and equipment as of December 31, 2025, $39 million was located in Brazil.