Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Tokyo  >  Panasonic Corporation    6752   JP3866800000

PANASONIC CORPORATION

(6752)
  Report  
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsPress ReleasesOfficial PublicationsSector newsAnalyst Recommendations

Nikon sticks to camera guns while rivals reload in other sectors

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/12/2013 | 04:43am EST
Nikon Corp's President Makoto Kimura takes pictures with the company's digital SLR camera

TOKYO (Reuters) - Japan's iconic camera maker Nikon Corp (>> NIKON CORPORATION) will rely on emerging market consumer sales to fuel growth even though it forecast in August its first-ever drop in digital SLR sales, the company's president told Reuters.

TOKYO (Reuters) - Japan's iconic camera maker Nikon Corp (>> NIKON CORPORATION) will rely on emerging market consumer sales to fuel growth even though it forecast in August its first-ever drop in digital SLR sales, the company's president told Reuters.

Makoto Kimura said on Tuesday Nikon is counting on consumers in markets like Brazil and India to drive sales of its single-lens reflex cameras (SLRs) in the mid-term and has no immediate plans to follow its rivals into other sectors.

Canon Inc (>> CANON INC.) for example, is hedging against further downturns in the consumer market with a push into surveillance cameras and Olympus Corp (>> Olympus Corp) already relies on medical equipment for most of its profit.

"Penetration in emerging markets is still very low," Kimura said. "Look at Brazil where we sell around 8 million cameras overall. Only some tens of thousands of those are SLRs. That's why I don't think that sales will drop that much... When people realize the value of an SLR I think we will naturally see growth."

But with more than two-thirds of its revenue coming from cameras and its new ventures years from bearing fruit, analysts say Nikon is vulnerable to a prolonged slump in the camera market, particularly as consumers continue to switch to smartphones for their daily photographic needs.

"Nikon is sort of a pure player in photography, as it has been for decades," said Chris Chute, research director of digital imaging at IDC, which reversed its forecast for sales of SLR cameras in 2013 to an 11.3 percent drop from an earlier forecast of an 11.9 percent increase.

It may be "time to have a larger conversation about the brand and the technology and where company executives plan to take that," Chute said.

Nikon has cut its full-year sales forecast for interchangeable lens cameras twice already this year, with global shipments of digital SLRs sliding 16.7 percent in the nine months between January to September, according to Japan's Camera and Imaging Products Association (CIPA).

Kimura concedes that a return to the rocket-fuelled growth of the past decade now looks unlikely and that Nikon's forecast in May of a 25 percent increase in SLRs over the next three years needs to be revised.

He is confident however that sales can grow even in relatively saturated developed markets, despite consumers' increasing preference for smartphone cameras due to their connectivity and ability to quickly share photos online.

"A surprisingly number of people don't realize how different the quality between smartphone and proper camera photos are...and that's our fault," he said.

"For a lot of users now, a Web connection is the priority and photo quality comes second. But if a camera has both then they're interested. That's what we have to offer more of."

However, Nikon's latest product, a retro-looking SLR called the Df priced at around 300,000 yen ($3,000), suggests Nikon is still aiming to please purists, a strategy that IDC's Chute says is a different kind of response to current trends.

"SLRs are quickly becoming less of a mainstream consumer product than in years past. Mainstream consumers are embracing mobile-first products. Photography is more about enthusiast photographers and that market is growing, but it's small."

While investors are concerned about growth - Nikon's share price has skidded 40 percent since late May - its share of the high-end market has kept its imaging unit in the black for now, unlike that of Olympus and Panasonic Corp (>> Panasonic Corporation).

($1 = 99.2400 Japanese yen)

(Editing by Matt Driskill)

By Reiji Murai and Sophie Knight

Stocks mentioned in the article
ChangeLast1st jan.
AIMING INC. 1.15% 263 End-of-day quote.-23.10%
ASML HOLDING N.V. 0.33% 245.7 Delayed Quote.78.59%
CANON INC. -0.26% 3023 End-of-day quote.4.24%
EURO / BRAZILIAN REAL (EUR/BRL) 0.00% 4.643 Delayed Quote.5.22%
NIKON CORPORATION 0.26% 1521 End-of-day quote.-4.64%
OLYMPUS CORPORATION 0.15% 1685 End-of-day quote.-48.94%
PANASONIC CORPORATION 1.12% 1001.5 End-of-day quote.4.32%
US DOLLAR / JAPANESE YEN (USD/JPY) -0.04% 108.417 Delayed Quote.-0.88%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on PANASONIC CORPORATION
11/19PANASONIC : Welcomes New Wireless, Noise Cancelling Headphones, RP-HD805N, To It..
AQ
11/19PANASONIC : Technics EAH-F70N Wireless Headphones Designed for the Most Discerni..
AQ
11/18PANASONIC : Hydrogen Station 'H2 Kusatsu Farm' Is Now in Operation
AQ
11/15PANASONIC : Recognizes Highest-Performing Solar Installers and Distributors with..
AQ
11/15PANASONIC : Develops Battery Management Technology to Measure Electrochemical Im..
AQ
11/15PANASONIC : Alternative Replacement for EOL (Obsolete) Ceramic Capacitor of AVX,..
AQ
11/15PANASONIC : Automatic Blood Pressure Monitors Market - Detailed analysis and gro..
AQ
11/14PANASONIC : At CIIE 2019 Panasonic Showcases Solutions to Help Bring to Life Chi..
BU
11/14PANASONIC : The Hera Group presents NexMeter, the meter with the future in the m..
AQ
11/13Japan's economy nearly stalls in third quarter, growth at one-year low as tra..
RE
More news
Financials (JPY)
Sales 2020 7 794 B
EBIT 2020 294 B
Net income 2020 190 B
Debt 2020 315 B
Yield 2020 2,92%
P/E ratio 2020 12,5x
P/E ratio 2021 12,0x
EV / Sales2020 0,34x
EV / Sales2021 0,34x
Capitalization 2 338 B
Technical analysis trends PANASONIC CORPORATION
Short TermMid-TermLong Term
TrendsBullishBullishNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 17
Average target price 1 004,12  JPY
Last Close Price 1 001,50  JPY
Spread / Highest target 29,8%
Spread / Average Target 0,26%
Spread / Lowest Target -18,1%
EPS Revisions
Managers
NameTitle
Kazuhiro Tsuga President, CEO & Representative Director
Shusaku Nagae Chairman
Hirokazu Umeda CFO, Director & Managing Executive Officer
Yoshiyuki Miyabe Chief Technology & Information Officer
Masayuki Matsushita Vice Chairman
Sector and Competitors
1st jan.Capitalization (M$)
PANASONIC CORPORATION4.32%21 533
SONY CORPORATION31.22%76 473
LG ELECTRONICS INC.--.--%10 461
SHARP CORPORATION59.45%9 542
TCL CORPORATION--.--%6 528
CASIO COMPUTER CO., LTD.55.89%4 440