Canon Releases FY 2021 Financial Results

Canon has released full year 2021 financial results to the Investor Relations page.

Presentation Material
Results
Supplementary Data

Some Relevant Highlight Quotes from the Presentation Material

"...we have begun to see signs of the ... camera market bottoming out..."

" ...by promoting the restructuring of sales organizations, mainly overseas, as well as production bases, we now have a structure in place where mature businesses such as office equipment and cameras can generate solid profit."

"As for Printing and Imaging, profitability recovered to a solid double digit level, despite the impact of supply shortages."

"Currently, the most important issues are the component and logistical constraints, which are expected to gradually improve However, it will take a significant amount of time before the gap between supply and demand disappears, and for the time being, the inflationary trend due to shortages is expected to continue."

"we are steadily switching to substitute parts, and expect to see a gradual improvement after bottoming out in the first quarter. Due to supply constraints last year, we currently have a large number of backorders, which will take a considerable amount of time to fill."

"2021 – Significant improvement in imaging profitability."

"2022 – Market expected to grow 5% to 5.65 million units."

"As for profit, based on the solid structure that was built through continuous efforts to improve business activities, we expect significant growth, including a 17.8% increase in operating profit to 332.0 billion yen and a 14.1% increase in net income to 245.0 billion."

"As for Printing and Imaging, in keeping with last year, we will maintain solid double digit profitability."

"As for camera demand, despite concerns that it would shrink significantly due to the pandemic, demand remained relatively strong This reflects a number of factors, including an increase in the number of people using their extra leisure time to capture videos and photos in the home and disseminating them online, and the impact made by new full frame mirrorless cameras released by each company."

"As for the size of the market in 2021 although it shrank by 200 thousand units, due to the insufficient supply of products by each company, it was still 5.4 million units."

"Our unit sales in 2021 totaled 2.74 million units, 20 thousand units fewer than in 2020 also due to the insufficient supply of products, particularly entry class cameras However, for the EOS R 5 and EOS R 6 sales volumes and price levels remained stable, despite them being in the market for more than a year Additionally, unit sales of our RF lens lineup, which was expanded to 26 lenses through the addition of 8 new products, increased substantially, thanks to their synergy with cameras."

"We have been expanding our core product lineup by increasing the number of highly profitable EOS R systems over the years As a result, the sustained profitability of the camera business has increased significantly, resulting in an overall 25 increase in camera sales and a significant improvement in profitability in 2021."

"In 2022 the size of the camera market is expected to be 5 65 million units, a 5 increase over 2021 which takes into account the carryover from 2021 due to supply shortages."

"In order to capture the growing need for high quality image expression, we will continue to further strengthen the cameras and the RF lenses of the EOS R system."

"Through the timely launch of products that expand the range of choices available to users, we will maintain high profitability by increasing sales and improving our product mix."