Nikon recently released its annual results which are a key metric in determining how well the manufacturer is doing both in terms of short-term finances as well as implementing its medium-term strategy. The quick takeaway is that it's making more money, but that camera market share is worryingly low. What does this mean for it going forward?
Just a year after Nikon posted the largest loss in its history, financials are looking strong. Nikon increased its expected revenue for the next quarter and is building a massive new headquarters in Japan, slated to be completed in 2024.
Nikon's worrisome financial situation has cascaded as a result of the deflated camera market caused by the fallout from COVID-19, and in an effort to recover from what is expected to be its worst financial year ever, Nikon plans to focus its efforts on mirrorless.
This past year has not been kind to any camera manufacturer, but Nikon is reportedly in "dire straits" as it had yet to financially recover from previous business decisions even before it was hit with the worst slump in camera sales in years thanks to the proliferation of COVID-19.
Nikon will cut more than 2,000 workers outside of Japan by March of 2022 as well as shift some of its production from its factory in the Miyagi province of Japan to Thailand. The changes come as the company grapples with the rise of smartphones and the effects of the coronavirus pandemic.
Nikon has been conspicuously silent since the Japanese camera giant suddenly cancelled their long-awaited Nikon DL line released a "recognition of extraordinary loss." But Nikon executives broke their silence yesterday in the Japanese press, revealing, among other things, what's next for Nikon's camera business.