The company reported its second quarter results showing a 2.2% increase year-on-year (YoY) for net sales.
Canon reported that net sales for the second quarter increased by 2.2% year-on-year to ¥1,020.9 billion ($7.3 billion/ €6.6 billion) due to solid demand and new products that were well-received in the market, as well as the favourable effects of depreciation of the yen. Net sales for the first half of the year increased by 6.1% year-on-year to ¥1,992.0 billion ($14.2 billion/ €12.8 billion). Gross profit for the second quarter increased by 4.5% year-on-year to ¥484.8 billion ($3.5 billion/ €3.1 billion).
In the Printing Business Unit, Canon said that MFDs for offices continued to sell well, significantly exceeding unit sales of the same period from the previous year, as the product supply shortage fell, while demand for products including the imageRUNNER ADVANCE DX C5800 mid-speed colour MFD series were solid.
As for inkjet printers, the number of unit sales decreased compared with the same period of the previous year as the surge in demand from users working from home subsided. As for laser printers, the number of unit sales decreased compared with the same period of the previous year, when supplies of products recovered, partly due to the curbing of corporate investments.
Sales of the Printing Business Unit increased by 0.8% compared with the same period of previous year to ¥574.9 billion ($4.1 billion/ €3.7 billion). Due to such effects as weak consumables sales, net income before tax for the second quarter decreased by 13.0% compared with the same period of the previous year to ¥61.6 billion ($440 million/ €395 million).
Canon said in its forecast that it expects demand for office MFDs to continue to remain firm, thanks to strong demand for high-productivity printing as well as their reputation as key office devices. For inkjet printers, new home-use printing demand generated by the COVID-19 pandemic is expected to continue. In addition, demand for refillable ink tank models is expected to increase. For laser printers, demand is expected to recover from the second half of the year thanks to new demand generated from decentralisation of offices.
Tags: Canon Inc., Financials, Business, OEMs
