Canon latest financial results are out, stock down 5% after the company cut its net profit forecast
Canon announced their Q3 2018 financial results:
Japan’s Canon Inc on Thursday lowered its full-year earnings outlook for the second time this year, citing lower sales of single-lens reflex (SLR) cameras and lean demand for semiconductor-producing equipment. The camera and printer manufacturer slashed its annual profit forecast to 335.5 billion yen ($2.99 billion) from 378.5 billion yen. The revised outlook compared with analysts’ estimate of 375.4 billion yen, according to Refinitiv data. (Reuters)
Canon Inc tumbled 5 percent to the lowest level since February 2017 after it cut its net profit forecast for the year ending December to 251 billion yen ($2.24 billion) from 280 billion yen, due to weak digital camera sales. (Reuters)
Within the Imaging System Business Unit, Canon maintained the top share of the overall interchangeable-lens digital camera market, mainly in major countries in Europe and the Americas and in Japan. Within this, sales of mirrorless cameras increased mainly supported by sales of such new products as the EOS Kiss M. However, unit sales decreased overall compared with the same period of the previous year due to a temporary slowdown in demand, mainly for entry-level models. As for digital compact cameras, although unit sales decreased compared with the same period of the previous year amid the shrinking market, sales of high-value-added models such as the PowerShot G-series enjoyed solid demand. For inkjet printers, unit sales increased compared with the same period of the previous year, supported by steady sales of home-use models and refillable ink tank models due to the implementation of revised sales strategies tailored to each region. As a result, sales for the business unit decreased by 15.6% to ¥228.3 billion year on year, while operating profit totaled ¥21.4 billion, a year-on-year decrease of 45.3%. Sales for the combined first nine months of the year totaled ¥710.6 billion, a year-on-year decrease of 10.6%, while operating profit totaled ¥80.9 billion, a year-on-year decrease of 30.8%. (Canon)
Canon also announced a new CMOS Sensor Business Platform where they will sell sensors to the industrial marketplace.