Canon Cuts Full-Year Forecast as Camera Users Switch to Phones

Canon Cuts Full-Year Forecast as Camera Users Switch to Phones

2013 hasn’t been a stellar year for Canon
Canon Inc., the world’s largest camera maker, cut its annual profit forecast and predicted its first drop in sales of models with an interchangeable lens as consumers switch to smartphones to take photos.

Net income will probably total 240 billion yen ($2.5 billion) for the year ending December, the Tokyo-based company said in a statement yesterday, cutting its earlier forecast of 260 billion yen. The new projection missed the 250.8 billion-yen average of 21 analyst estimates compiled by Bloomberg.

Smartphones are eating into digital camera sales as companies such as Apple Inc. and Sony Corp. release new handsets with stronger built-in lenses and sensors to lure shoppers. The value of worldwide camera shipments dropped 19 percent in August from a year earlier, a ninth consecutive monthly decline, according to the Camera & Imaging Products Association in Tokyo.

Read the rest of the story at Bloomberg

thanks Bruce

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