Canon Q3 Operating Profit Nearly Halves on Post-Brexit Yen Strength

[neuroanatomist]

"Small cars are not wanted in the U.S of A. "

Small cars became popular in the US because they are more power efficient. So far, the opposite appears to be true for MILCs.

Strange that I saw way more SUVs on my trip to the US than small cars then.
This says also otherwise:
http://www.businessinsider.de/us-small-car-market-is-a-disaster-2016-8?r=US&IR=T

So. Again some of those neuro bullS___ comments.

"Became popular" is not the same as "currently are the most popular."

#history
#1973oilcrisis
#OPECembargo

Hopefully these concepts are not too complex for you to comprehend, I wouldn't want to overtax your mental capacity.

 

[romanr74]

If you think a possibly wrong product policy is definitely not part of a thread about Canon's shrinking profits, then why don't you ask the moderator to close this thread, as then obviously there is nothing to be said about the topic?

Perhaps it could be said about the topic that Canon's ILC sales were +8% in the most recent quarter. But maybe you were talking about their Office division because of all the copiers you own about which you're terribly disappointed with their lacking features, and all the print shop owners you've talked to who are intimately familiar with Canon's business strategy. :

is this sales or units?
+8% versus what basis?
what was the performance of the comparison basis?
what was the product mix?
what were the ASPs?
how much of these units went into retailer warehouses vs. end customers?
what were the promotions run?

 

[neuroanatomist]

Well, I would not hang my hopes for Canon on one quarterly result which is probably just a reflection of various product introductions or products becoming available in market(s) or some form of seasonalities. Also, are we talking units shipped? units sold? vs. previous quarter? or vs. same quarter previous year? +8% per se is pretty much meaningless without context.

I prefer to look at annual data rather than quarterly results and their fluctuations.

Data are pretty much always presented as y/y, the +8% is ILC unit sales from the 3Q16 report, and their forecast for FY2016 is a 1% decline in y/y unit sales. Considering the state of the ILC market as a whole, that means a big gain in market share for Canon.

 

[Alex_M]

That store owner should stop smoking whatever he smokes as that stuff is seriously affects his mental capacity. My 12yo boy is better at predicting photo industry trends than that guy. pathetic..

I know from store owners that Canon did never care about Sony products, but since 2015 they are worried.

Yes, that makes perfect sense – Canon HQ typically dicsusses their long term, global strategy and their overall corporate mindset with local shop owners. Did those same shop owners tell you that "50% of the people are negative" about the 5DIV? Or was that your 40 close friends? It's so hard to keep all of your top-flight sources straight...

Currently there will be little common ground between the two types of Canon users that do write in this thread

(1) those who are aware of and comprehend objective reality, and (2) those who believe their own personal wants and opinions determine objective reality. People in category (2) are sometimes referred to as delusional.

 

[rrcphoto]

...
Perhaps it could be said about the topic that Canon's ILC sales were +8% in the most recent quarter.
...

Well, I would not hang my hopes for Canon on one quarterly result which is probably just a reflection of various product introductions or products becoming available in market(s) or some form of seasonalities. Also, are we talking units shipped? units sold? vs. previous quarter? or vs. same quarter previous year? +8% per se is pretty much meaningless without context.

I prefer to look at annual data rather than quarterly results and their fluctuations.

for the entire year so far, canon has sold around 3.89M cameras, around the same number as they did a year ago.

In a declining market, that's pretty good.

what's intriguing is that they are pretty bullish over their product mix now.

"Enhancing our lineup in this way (talking about EOS-M), we are growing our mirrorless camera market share in Europe and Americas, but especially in Asia, and this is now beginning to serve as an underpinning factor that supports our presence within the entire interchangeable-lens camera market. "


In other words, they see the need and also the emphasis on continuing the expand the EOS-M lineup as it's becoming an important factor to their presence in the camera market. That should be good news to you.

 

[AvTvM]

"Enhancing our lineup in this way (talking about EOS-M), we are growing our mirrorless camera market share in Europe and Americas, but especially in Asia, and this is now beginning to serve as an underpinning factor that supports our presence within the entire interchangeable-lens camera market. "


In other words, they see the need and also the emphasis on continuing the expand the EOS-M lineup as it's becoming an important factor to their presence in the camera market. That should be good news to you.

yes, they are slowly starting to see the light and follow my suggestions. ;D

Rebel + EF-S replacement is well under way already. One more round of updates on some Rebel bodies, then EOS M / EF-M will fully take over. End of mirrorslappers ... bottom up starting from entry level. As expected.

 

[preppyak]

Karma biting them in the A$$ for putting out a 5D Mark III with video specs from three years ago. A crop factor of 1.7 on 4k, no tilt screen, no 4k HDMI out, to many mega pixels to process for event photographers, dynamic range of old...I'm guessing they are dragging in other products as well.

Interestingly, the 5DIV is probably one of the few cameras keeping ILC sales in the positives for Canon. A lot of people upgraded off their 5D3 who wouldnt have otherwise bought a Canon camera this year.

Canon's long lost the prosumer video market, but, they are doing very well in the professional market for ILC because they have their target markets nailed.

 

[douglaurent]

If you think a possibly wrong product policy is definitely not part of a thread about Canon's shrinking profits, then why don't you ask the moderator to close this thread, as then obviously there is nothing to be said about the topic?

yeah .. totally the WRONG product policy when unit sales are up this quarter 8% on ILC's .. not the make believe "market value" sales that Sony reports. and they have sold over half the ILC's shipped from all all manufacturers, AND .. their units sold is around the same as last year, while the the rest of the companies stagger.

so is that the WRONG product policy? or did you just look a the headline and summary and launch off on something that doesn't even make any sense?

Vinyl Sales were up 50% last year. I think the music industry will be throwing daily champagne parties together with Canon over their growth, because total sales numbers, future outlooks and strength of competitors never did matter in business, right?

 

[neuroanatomist]

Vinyl Sales were up 50% last year. I think the music industry will be throwing daily champagne parties together with Canon over their growth, because total sales numbers, future outlooks and strength of competitors never did matter in business, right?

I might be able to find a less apt analogy, but I'd have to really work at it. Well done, as usual!

 

[rrcphoto]

If you think a possibly wrong product policy is definitely not part of a thread about Canon's shrinking profits, then why don't you ask the moderator to close this thread, as then obviously there is nothing to be said about the topic?

yeah .. totally the WRONG product policy when unit sales are up this quarter 8% on ILC's .. not the make believe "market value" sales that Sony reports. and they have sold over half the ILC's shipped from all all manufacturers, AND .. their units sold is around the same as last year, while the the rest of the companies stagger.

so is that the WRONG product policy? or did you just look a the headline and summary and launch off on something that doesn't even make any sense?

Vinyl Sales were up 50% last year. I think the music industry will be throwing daily champagne parties together with Canon over their growth, because total sales numbers, future outlooks and strength of competitors never did matter in business, right?

try to come up with a less pathetic example to prove your point.

let's put it this way. it's your own opinion that canon has a wrong product policy. what's your credentials .. because canon actually looks like they actually know what they are doing.

 

[neuroanatomist]

let's put it this way. it's your own opinion that canon has a wrong product policy. what's your credentials .. because canon actually looks like they actually know what they are doing.

Oh, he's explained all that. He uses cameras. He knows a few other people who do, too, and sometimes they talk. Plus, he recently revealed that he's chatted with a shop owner or two who have intimate knowledge of Canon's business strategy and mindset. With credentials like that, he clearly knows more about the camera industry than Canon themselves.

 

[douglaurent]

let's put it this way. it's your own opinion that canon has a wrong product policy. what's your credentials .. because canon actually looks like they actually know what they are doing.

Oh, he's explained all that. He uses cameras. He knows a few other people who do, too, and sometimes they talk. Plus, he recently revealed that he's chatted with a shop owner or two who have intimate knowledge of Canon's business strategy and mindset. With credentials like that, he clearly knows more about the camera industry than Canon themselves.

You are absolutely right. What could a large corporation possibly do wrong? That's if as a government would fail. We all know that they only do what's best for the people, so there's no possible legitimate way to criticize them.

 

[neuroanatomist]

let's put it this way. it's your own opinion that canon has a wrong product policy. what's your credentials .. because canon actually looks like they actually know what they are doing.

Oh, he's explained all that. He uses cameras. He knows a few other people who do, too, and sometimes they talk. Plus, he recently revealed that he's chatted with a shop owner or two who have intimate knowledge of Canon's business strategy and mindset. With credentials like that, he clearly knows more about the camera industry than Canon themselves.

You are absolutely right. What could a large corporation possibly do wrong? That's if as a government would fail. We all know that they only do what's best for the people, so there's no possible legitimate way to criticize them.

So, because a company or government may fail, it logically follows that any schmo off the street is correct when criticizing that company or government. Yeah, that makes perfect sense. You keep tossing out those astounding pearls of wisdom and logic, it's really impressive!

 

[takesome1]

The doom and gloom and the defense of Canon's buisness wisdom seems to go in circles. People are regularly insulted for their buisness sense.

But the important things that really indicate if Canon will be in buisness in a few years are seldom mentioned.
CAJ is selling just slighty over its book value right now at a PE of about 18.
CAJ's debt load is insignificant which is very positive.
Canon can be miss managed for years before they are in any kind of danger of colapse.

I have held CAJ in the past, would I say that Canon is on top of the game and bringing value to their shareholders? Over the past few years, no. The stock went from $40 plus to less than $30. The dividends are still there but if you held the stock over the last few years you will need several more years before you make up the loss with dividends.

Canon seems to be a value stock right now and looks very attractive, but where are they going? They are fighitng with Nikon and Sony over a sector that is shrinking and changing. If Canon tanks it will have nothing to do with DSLR sales, and everything to do with its inability to adapt to a changing world. Lucky for Canon that DSLR's are not there only income stream.

 

[Valvebounce]

Hi Folks.
I'd just like to point out that you are all better people with useful input to these forums when you are not mud slinging and name calling.

Cheers, Graham.

 

[douglaurent]

Main problem with Canon is that they act as if it was still 1960-2012, when they probably indeed knew what they were doing. But in the last few years rapidly keeping up competitors other than Nikon, smartphone cameras, mirrorless cameras, video in photo cameras, media budgets, social media, internet shopping and other factors did change the whole business and its pace.

Releasing a new camera model every 4 years, adding a few features and making sure to be a bit ahead of Nikon is not enough anymore. The best way would be to release products that overfulfil expectations and include everything you can implement at that time, even if that means that there is no clue which features are left to add in future models.

Sorry to put that kind of pressure on manufacturers, but the prices they charge give the right to demand it.

 

[rrcphoto]

Main problem with Canon is that they act as if it was still 1960-2012, when they probably indeed knew what they were doing. But in the last few years rapidly keeping up competitors other than Nikon, smartphone cameras, mirrorless cameras, video in photo cameras, media budgets, social media, internet shopping and other factors did change the whole business and its pace.

except there's no basis in actual fact that they don't know exactly what they are doing and what you think they should do is based upon your narrow naval gazing point of view.

if canon was so indeed behind the curve, their products would not be selling for as you say "the prices they are charging for them".

not to mention .. enthusiasts don't rule the roost when it comes to camera systems, consumers still do.

 

[rrcphoto]

They are fighitng with Nikon and Sony over a sector that is shrinking and changing. If Canon tanks it will have nothing to do with DSLR sales, and everything to do with its inability to adapt to a changing world. Lucky for Canon that DSLR's are not there only income stream.

but canon's long term plan is obviously to minimize the impact of a smaller camera market. the purchase of Axis and Toshiba medical stated that really.

Sony isn't making any headway in the falling market, and Nikon's marketshare is shrinking.

 

[takesome1]

Sorry to put that kind of pressure on manufacturers, but the prices they charge give the right to demand it.

The flaw is the price they charge and the amount you pay give you no right to demand any future development. The money you pay for a new lens or body is for that lens or body only.

 

[takesome1]

They are fighitng with Nikon and Sony over a sector that is shrinking and changing. If Canon tanks it will have nothing to do with DSLR sales, and everything to do with its inability to adapt to a changing world. Lucky for Canon that DSLR's are not there only income stream.

but canon's long term plan is obviously to minimize the impact of a smaller camera market. the purchase of Axis and Toshiba medical stated that really.

Sony isn't making any headway in the falling market, and Nikon's marketshare is shrinking.

Anything they are doing to minimize impact at this point is damage control. They didn't make any moves quick enough and it reflects in Canon's stock price.