Profit decline at Imation


25 January 2005 – Oakdale (MN): Imation has reported a decline in Q4 profit, down to restructuring charges, start-up costs and lower revenue stemming from a poor product mix, the company said.

Net income fell to $5.1 million, or EPS of $0.15, down from $24.7 million, or EPS of $0.68, a year ago. Restructuring charges hit the quarter by $0.36 per share.

Revenue was down to $326.2 million from $334.4 million.

Chairman and CEO Bruce Henderson said: "We are pleased with Q4. The Imation team accomplished a major restructuring, a global reorganisation, launched new products and delivered strong financial results. The positive quarter gives us solid momentum going into 2005.

"Revenue and profit, before restructuring and other charges, improved from Q3, as we had projected at the end of last quarter," he added.