# Canon Q1 2017 Results: Canon Raises Annual Profit Outlook



## Canon Rumors Guy (Apr 26, 2017)

```
<strong>From Reuters:</strong></p>
<p>Japan’s Canon Inc on Wednesday lifted its full-year operating profit forecast after reporting strong first-quarter results on the back of earnings from a medical equipment unit it bought from Toshiba Corp last year.</p>
<p>The camera and printer maker forecast profit of 270 billion yen ($2.43 billion), up from 255 billion yen estimated in January. It reported profit of 228.9 billion in the previous twelve months.</p>
<p>The upbeat outlook suggests Canon’s strategy to diversify has begun to reward the company after the $5.8 billion acquisition of the Toshiba unit and the $2.8 billion takeover of Swedish video-surveillance firm Axis AB.</p>
<p><em><strong>Canon also said the two existing businesses that have long dragged its earnings – laser printers and cameras – are also showing signs of bottoming out</strong></em>.</p>
<p>A recovery in the Chinese and other emerging economies is pushing up demand for laser printers, while continued popularity of so-called mirrorless cameras is driving camera sales, Executive Vice President and Chief Financial Officer Toshizo Tanaka said at an earnings briefing.</p>
<p>For the January-March quarter, Canon said operating profit jumped 88.8 percent to 75.67 billion yen from 40.09 billion yen a year earlier. <a href="http://www.reuters.com/article/us-canon-results-idUSKBN17S0II?type=companyNews">Read the full story</a></p>
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## Too_Many_Hobbies (Apr 26, 2017)

"The camera and printer maker forecast profit..."

followed by 

"Canon also said the two existing businesses that have long dragged its earnings – laser printers and cameras... "

Sounds a bit concerning 

Hopefully they are cleaning up in inkjet sales or something.


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## rrcphoto (Apr 26, 2017)

Wow.

has anyone else looked at the presentation materials? for shame CR.. this is some pretty awesome canon news.

http://www.canon.com/ir/conference/pdf/conf2017q1e.pdf


ILC unit sales +6% over 1Q 2016.
Camera $ sales +10% (forex adjusted) over 1Q 2016.

Camera unit sales including compacts are flat 0% unit change from last year.

that should concern every company not named Canon.

"The interchangeable-lens camera market in developed countries continued to recover from last year’s
earthquake. In emerging markets, we also saw an easing in market contraction, particularly in China.
Against this backdrop, we expanded sales of the EOS 5D Mark IV, which captures customer demand
for such features as high-speed AF and 4K video recording.

Additionally, in Asia, where mirrorless cameras make up a large percentage of the
interchangeable-lens camera market, we expanded our lineup, broadened our sales channel beyond
camera specialty shops, and strengthened our advertising activity. As a result, we exceeded our unit
sales and market share of last year.

On top of this, this quarter, we launched our new products earlier than usual. As a result, our unit
sales increased 6% to 1.08 million units."

Canon's current marketshare is 40% however that is SOLD versus SHIPPED numbers.


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## privatebydesign (Apr 26, 2017)

rrcphoto said:


> Wow.
> 
> has anyone else looked at the presentation materials? for shame CR.. this is some pretty awesome canon news.
> 
> ...



Don't be ridiculous, we don't need to read facts that might contradict our opinions, Canon is ******* if it doesn't release a ff mirrorless within the next few weeks. That is a real fact.
:


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## rrcphoto (Apr 26, 2017)

clearly canon is *******. increasing their unit sales over a year ago is disastorious.

posting an 88% profit gain for the entire company - shut'er down!


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## romanr74 (Apr 26, 2017)

before people freak out: 
imaging system sales of 1Q17 was a tad higher than 1Q16
it was lower than any other quarter since at least 7 years


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## rrcphoto (Apr 26, 2017)

romanr74 said:


> before people freak out:
> imaging system sales of 1Q17 was a tad higher than 1Q16
> it was lower than any other quarter since at least 7 years



your comment makes no sense.

how could you post a 10% YoY higher camera sales and a 6% higher ILC unit sales and be less than any quarter the past 7 years. when obviously even an idiot could see you were higher than the 1Q 2016... 

Also since 1Q 2016 posted a 0% unit sales gain over 1Q 2015, this means that 1Q 2017 was larger than 1Q 2016 and 1Q 2015.

http://www.canon.com/ir/conference/pdf/conf2016q1e.pdf

Even if you for some reason went on value sales. the Forex adjusted difference is still in favor of the 1Q 2017 being up by 10% verus down 8% in 2016.

you have to go back to 2015 which is 2 years ago to see where this quarter was not ahead.

Well, news flash, the entire freaking market was contracting rapidly then.

troll harder? troll wiser?


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## romanr74 (Apr 26, 2017)

rrcphoto said:


> romanr74 said:
> 
> 
> > before people freak out:
> ...



read my post again. slowly...


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## rrcphoto (Apr 26, 2017)

romanr74 said:


> rrcphoto said:
> 
> 
> > romanr74 said:
> ...



I did: "it was lower than any other quarter since at least 7 years"

which is incorrect because it was higher than 1Q 2016 and 1Q 2015.

perhaps re-read the response. slowly and with an english dictionary.


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## romanr74 (Apr 26, 2017)

rrcphoto said:


> romanr74 said:
> 
> 
> > rrcphoto said:
> ...



really? did you forget line 2 when arriving at line 3?

also i see 
- 1Q15: 263
- 1Q16: 235
- 1Q17: 242


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## neuroanatomist (Apr 26, 2017)

romanr74 said:


> read my post again. slowly...



It's not the reading speed, it's your ambiguous use of a pronoun, poor grammar, and choice to eschew constructing a proper sentence.

Write your post again, slowly and properly.



romanr74 said:


> before people freak out:
> imaging system sales of 1Q17 was a tad higher than 1Q16
> *it* was lower than any other quarter since at least 7 years



The way your post is written, the highlighted 'it' appears to refer to 1Q17, in which case you are wrong. 

If what you actually meant was, "Imaging system sales of 1Q17 were a tad higher than 1Q16, which were lower than any other quarter in at least 7 years," than that statement appears to be correct. But that's not what you wrote. So rather than blaming others for your shortcomings, try phrasing things clearly.


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## romanr74 (Apr 26, 2017)

neuroanatomist said:


> romanr74 said:
> 
> 
> > read my post again. slowly...
> ...



Wow. "It" refers to 1Q17 indeed. Which was lower than any quarter since 7 years, with the exception of 1Q16. We can have that conversation in my mother tongue if you prefer. I believe it would take little intelligence and or good will to understand what i meant. but both intelligence and good will obviously cannot be taken for granted here...


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## rrcphoto (Apr 26, 2017)

romanr74 said:


> really? did you forget line 2 when arriving at line 3?
> 
> also i see
> - 1Q15: 263
> ...



wait you were talking bout the imaging division sales and not including ForEX. So it's meaningless in the context of this conversation because it includes ink jet printers and doesn't include any averaging for variation of foreign exchange. 

I honestly don't know what to say that doesn't get me a 24 hour ban.

so when the news was good, and OBVIOUSLY good - you had to go out of your way to find something negative, which is entirely meaningless to this conversation. I guess you're just one of those "special" people.


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## romanr74 (Apr 26, 2017)

rrcphoto said:


> romanr74 said:
> 
> 
> > really? did you forget line 2 when arriving at line 3?
> ...



i don't understand why you have to get so emotional about that... when you currency adjust camera sales only then yes 1Q17 appears to be slightly above 1Q15. in reported currency it is below. this might be the start of a change in trend. but isn't it a little short of a trend to declare victory... is my reply really worth words like idiot, troll, etc.


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## neuroanatomist (Apr 26, 2017)

romanr74 said:


> "It" refers to 1Q17 indeed. Which was lower than any quarter since 7 years, *with the exception of 1Q16.*



Then why didn't you say so in the first place? :



rrcphoto said:


> ...you had to go out of your way to find something negative, which is entirely meaningless to this conversation



Not the first time...


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## rrcphoto (Apr 26, 2017)

cameras have been in a freefall - for all manufacturers, this is the 5th quarter in the row where canon has increased it's YoY % or been damned close, which shows the trends are stabilizing for the industry. this is kind of good news.

1Q 2015 - -22%
2Q 2015 - -9%
3Q 2015 - -17%
4Q 2015 - -5%
1Q 2016 - 0%
2Q 2016 - -1%
3Q 2016 - +8%
4Q 2016 - +1%
1Q 2017 - +6%


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## romanr74 (Apr 26, 2017)

rrcphoto said:


> cameras have been in a freefall - for all manufacturers, this is the 5th quarter in the row where canon has increased it's YoY % or been damned close, which shows the trends are stabilizing for the industry. this is kind of good news.
> 
> 1Q 2015 - -22%
> 2Q 2015 - -9%
> ...



I understand these are ILC units numbers. I don't disagree it's a positive sign these stabilized.


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## rrcphoto (Apr 26, 2017)

Olympus as an example just posted a great increase in op profit (700% or something like that), but digging into their unit numbers .. 

they sold 177,000 that quarter, against 183,000 the YoY past. -3.3%


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## neuroanatomist (Apr 26, 2017)

rrcphoto said:


> Olympus as an example just posted a great increase in op profit (700% or something like that), but digging into their unit numbers ..
> 
> they sold 177,000 that quarter, against 183,000 the YoY past. -3.3%



Operating profit = gross profit – operating expenses. So higher operating profit can come from higher revenues or lower expenses (e.g. layoffs, factory closings, 'restructuring', etc.).


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## rrcphoto (Apr 26, 2017)

neuroanatomist said:


> rrcphoto said:
> 
> 
> > Olympus as an example just posted a great increase in op profit (700% or something like that), but digging into their unit numbers ..
> ...



yes. my poiont was that even with no excuses (delayed sensors,etc) the same quarter, that canon posted a +6% growth, olympus posted a -3.3% loss in units.

we'll never know what Sony reports because sony never does.

I find it curious that canon took unit sales away from Olympus.


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## romanr74 (Apr 26, 2017)

rrcphoto said:


> neuroanatomist said:
> 
> 
> > rrcphoto said:
> ...



what were the respective ASPs and SPU?


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## Mt Spokane Photography (Apr 26, 2017)

The real news is that Canon's decision to diversify into related imaging fields is working. They are growth areas while Cameras are weak. This means a stronger company, which can continue to develop new products and increase their share of the Camera market.


As the population in general ages, more medical services are needed, so more Ultrasound and other Medical imaging products are needed. Its a growth industry.

The world is pretty saturated with digital cameras for personal use, but there are still a lot of street corners without surveillance cameras  I just bought two from B&H to place on my rural property after seeing some suspicious characters around. They are not low end, so I hope they don't get stolen. Its a whole new area, I'm not a network expert, and am struggling to figure out a network setup that does not saturate the camera interfaces with requests for video, but to stream to several Kindles, Iphones, Smart TV, pc's, a lot of stuff. I've had 9 users connected to the cameras, and they become almost unresponsive. I may ditch the Kindles and get some Android Tablets, but I'd like to make the Kindles work better. I have three locations where I want to install monitors that connect by Wi-Fi, a smart TV over wired ethernet, my Iphone, plus be able to view and operate them on any of several PC's. I've tried over a dozen software programs / apps, but not yet found what I want. I do not understand multicast, but that might be the key. My NAS connects to them, but its Android App does not like my Kindle Tablets except one latest model tablet. (Iphone is fine). The Camera manufacturers app will not run on any of the Kindles. I'd rather not install a video server on a PC because then, it must run 24/7 with battery backup, a hassle, but I'm testing that as well, I have pc's I can dedicate and put in my studio.

I plan on trying a Android Tablet when they go on sale tomorrow at Costco to see if it does any better. Since I basically just want wireless monitors, I do not want expensive tablets.


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## neuroanatomist (Apr 26, 2017)

rrcphoto said:


> I find it curious that canon took unit sales away from Olympus.



EOS M systems are responsible, I suspect.


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## meywd (Apr 26, 2017)

Mt Spokane Photography said:


> The real news is that Canon's decision to diversify into related imaging fields is working. They are growth areas while Cameras are weak. This means a stronger company, which can continue to develop new products and increase their share of the Camera market.
> 
> 
> As the population in general ages, more medical services are needed, so more Ultrasound and other Medical imaging products are needed. Its a growth industry.
> ...



I think the best setup is to record to the NAS and read from there using a PC as a video streamer as you mentioned, then all can access and the videos are backed up, although if you want to keep backups for history you would need DVDs to keep the NAS from filling up.

As for the cameras getting stolen, you can set them high enough that they won't be stolen, at least easily.


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## Mt Spokane Photography (Apr 27, 2017)

meywd said:


> I think the best setup is to record to the NAS and read from there using a PC as a video streamer as you mentioned, then all can access and the videos are backed up, although if you want to keep backups for history you would need DVDs to keep the NAS from filling up.
> 
> As for the cameras getting stolen, you can set them high enough that they won't be stolen, at least easily.



Using them with my Qnap NAS thing was my original plan, but for some reason, their mobile client (Vmobile) does not run well on my mobile devices. I have three access points with lots of capacity and a very strong signal, but the videos freeze and only update once a second at best. I get 20-50 fps on a pc with the Hikvision client, but it will not work on the Kindles and on my iphone, its also 1 fps. I have tried other software as well, most run fine on a pc, but struggles on a mobile device or smart TV.

One camera is mounted high, but the one on my front porch cannot be mounted out of reach. They have some substantial bolts holding them in place, and really heavy duty commercial grade mounts. I'll figure it out, but I have to learn one step at a time.


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## Woody (Apr 27, 2017)

Another take from http://www.dslrbodies.com/newsviews/canon-claims-cameras-turnin.html

"As usual, Canon is the first to present their January to March fiscal results (partly because it isn't the end of their fiscal year). 

Interchangeable lens cameras were up 6% on a volume basis (1.08m units), compact cameras were down 6% on the same basis (1.0m units). Overall, camera sales were up 7.4%, and profit from the Imaging System group was up 49% year-to-year. All generally good news. 

Canon's full year forecast is unchanged, predicting a 7% decline in ILC cameras for the entire year, a 13% decline for compact cameras, with sales being relatively flat (-0.7%) and profits up 8.7%. *In terms of market share, Canon expects to finish 2017 with a 48% market share in ILC cameras and a 27% market share in compacts.* 

Canon made a specific comment about G series compacts being strong, which makes Nikon's cancellation of the DL series even more odd. 

Overall, the comment from Canon at their press conferences was that camera market decline was bottoming out, and that Canon hoped to now see growth in the category long-term. Of course, their market projections for 2017 still say a decline is going on, so maybe a more accurate observation might be that they think they can see the bottom and how they'll turn the corner."

Impressive.


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