Canon Revenue Down 13%, Profit Drops 42% to $908 million

Canon released its quarterly financial results yesterday, and things aren’t looking so rosy based on Q3 2012. Revenue has fallen 13% to $10.3 billion from the same period last year, and profit dropped 42% to $908 million.

Here’s what the company had to say about the performance of its camera businesses:

Within the Imaging System Business Unit, despite efforts to achieve sales growth with the competitively priced EOS Digital Rebel series along with the EOS 5D Mark III and EOS 60D advanced-amateur models, sales volumes of interchangeable-lens digital cameras decreased from the year-ago period due to a delayed new-product launch. As for compact digital cameras, while highly functional PowerShot-series models contributed to healthy sales, unit sales for the third quarter declined from the corresponding period of the previous year due to sluggish market demand

The company says that some of its financial shortcomings this past quarter had to do with “a delayed new-product launch,” so perhaps some of the sales got pushed back to Q4.

Here’s Canon’s outlook for the next quarter:

Demand for interchangeable-lens digital cameras is expected to continue increasing across most regions, although prospects remain uncertain in some areas. Demand for compact digital cameras is anticipated to increase for models offering high functionality and high added value.

There was no mention in the document of smartphones drinking the company’s milkshake.

(via Canon Rumors via Engadget)

P.S. Here’s a crazy fact: Apple made nearly as much in profit over the past quarter as Canon brought in as revenue.

Image credit: Canon HQ by Coal Miki

  • usedTo Love Cannon

    maybe if they actually listened to their customers and released cameras whos hardware wasnt limited by the software – maybe people would buy more Canons

  • Martin

    Competitively priced, sure

  • sum_it

    I’m a huge canon fan but the high prices of their new lenses/bodies is disappointing. It was a mistake to price the 5DIII at $3500 when the II was originally priced at $2699. Then the non L wide angle primes at around $800 a piece. The new 24-70mm 2.8L II priced at $2299. What are they thinking?

    This is a gross oversimplification, but its hard to justify forking over so much money when the older models (5DII, 24-70 2.8L etc) do a VERY good job to begin with.

    Canon, either introduce some total game changer products and I’ll happily pay for it. Or price your products that are in agreement with predecessor models. Otherwise, this is what will continue to happen.

    I wonder how Nikon did this quarter….

  • 3ric15

    They need to make more accessories that don’t cost a fortune (e.g. The lens hood for a 72 mm diameter filter thread size is $25). C’mon, $25 for a piece of plastic? Ok, if this was Leica, fair game. But it’s not, it’s Canon. They should also drop the prices on older models such as the T2i and it has been out for over two years. Though I think the price has already dropped, they should do it more to get more market share compared to Nikon and other companies. The T2i is a very desirable DSLR, I know three people that own/did own a T2i (and I’m in high school!). I would love to get one myself, but they’re too expensive, so I’m stuck with an XS.

  • sayithere

    a while ago, I was thinking to switch to canon (I’m all time pentax user), but I was shocked after looking at the lens prices. the nikon’s are even more pricey!

  • Matthew Wagg

    Oh no, I feel so sorry for Canon, profits down to 902 million? How ever will they cope?

  • Adam Gasson

    Perhaps if Canon didn’t increase their prices 3-4x above inflation every year they’d get more sales. The 600EX price is a joke. I know a couple of camera shops nearby who say they’re barely selling them simply because of the cost.

  • jusuff12

    they have to produce cheaper and sell more expensive.. like apple does.
    the PT guys seem to like the idea…..

  • jusuff12

    so if it´s leica it´s ok.. sorry but are you on dope?