• Video and Film
  • 05 02 2016 429716a-cig-clearchoice-banner-902x177
  • mse-big-banner-new-03-17-2016-416716a-tonernews-web-banner-mse-212
  • big-banner-ad_2-sean
  • mse-big-new-banner-03-17-2016-416616a-tonernews-web-banner-mse-114
  • 2toner1-2
  • 4toner4
  • 7035-overstock-banner-902x177
  • cartridgewebsite-com-big-banner-02-09-07-2016
  • Print


 user 2006-08-02 at 11:22:00 am Views: 44
  • #16051

    Canon’s quarterly profit surges 29%
    O6Booming digital camera and printer sales lifted Canon Inc.’s earnings
    by 29 percent in the most recent quarter, beating its own expectations
    and keeping the company firmly on track for a seventh year of record

    A stronger dollar also helped lift Canon’s net
    profit for the quarter to 105.9 billion yen ($906 million) from 82.2
    billion yen a year ago, the Tokyo-based company said Thursday. The
    results set a record for the April-June period and beat the company’s
    initial projections by over 13 billion yen ($111.2 million), it said.
    Canon, Japan’s top precision equipment maker known for its IXY and EOS
    digital cameras, also raised its net profit outlook for 2006 to 440
    billion yen from 432 billion yen for a seventh consecutive year of
    record earnings, citing robust demand, especially from overseas.

    sales jumped 13 percent to 1.03 trillion yen ($8.8 billion). Digital
    camera and camcorder sales were especially strong, surging 21 percent
    to 460.3 billion yen ($3.9 billion). Sales of copy machines, computer
    peripherals and other office equipment rose 8.6 percent rise to 655.4
    billion yen ($5.6 billion). The successful rollout of new products like
    the high-end digital single-reflex camera EOS 30D and new network
    copiers helped offset the effect of falling prices in an intensely
    competitive digital goods market, Canon said. “Canon has posted a
    fantastic result in their camera business,” said Damian Thong, a senior
    technology analyst at Macquarie Securities Japan, adding the company
    could expect robust sales through the rest of the year. “Consumer
    tastes are shifting toward higher-end models, which is good for Canon
    because it has better-designed and more advanced cameras… we may even
    see Canon taking market share away from smaller camera makers,” Thong
    said. Tokyo-based Canon plans to soon extend its product line by
    entering the TV market next year with a new kind of flat-panel
    technology it’s developing with Japanese electronics maker Toshiba
    Corp. Today, flat TVs usually employ either liquid crystal displays or
    plasma displays. But Canon’s TVs will use SEDs, or surface-conduction
    electron-emitter displays, with a beam-emitting technology similar to
    old-style cathode-ray TVs that the company has argued offers better
    picture quality. Some analysts, however, have said Canon may struggle
    to bring down costs fast enough to seriously challenge other
    flat-screen technologies. “Canon is taking a risk,” Thong said. “But
    this is clearly something Canon wants to do to secure future growth.”
    Thursday’s earnings results were the first since Tsuneji Uchida, 64, a
    key figure in the upcoming SED television project, took over as the
    company’s new president and chief operating officer in May. Uchida
    succeeded Fujio Mitarai, who is credited with transforming Canon from a
    debt-ridden mess ten years ago to a globally competitive company
    through severe cost cuts and by focusing on profitable products like
    copiers, printers and cameras. Canon’s consistent profitability has
    been especially lauded because other Japanese electronics makers,
    including Sony Corp. and Matsush*ta Electric Industrial Co., saw their
    profits tumble about five years ago as prices plunged for digital
    gadgets and cheaper Asian rivals challenged Japanese makers’ domination
    on the global market. Mitarai resigned as Canon president in May to
    take over the leadership of Japan’s foremost business lobby, the Nippon
    Keidanren, though he still remains Canon’s chairman and CEO. Canon is
    also set to face tough competition in its mainstay printer business as
    Dell Inc. has entered the Japanese market for color laser printers,
    aiming to undercut competition with prices half those of its Japanese
    rivals. Dell has been selling ink jet and black-and-white laser
    printers in Japan since 2004, and is now entering the more lucrative
    color laser market. The greatest concern for the company is a potential
    slowdown in the U.S. economy which may hurt sales there, Canon senior
    executive for finance and accounting Toshizo Tanaka said on the
    sidelines of a press conference Thursday. Canon shares, which surged
    last year but have since taken a beating amid a general slump in
    Japanese markets, fell slightly to 5,390 yen ($46.11)