Canon Posts Bleak 2012 Results

Canon has reported a lower-than-expected earnings report in 2012, as the printer giant sees global demand continue to contract.

Net income in the fourth quarter 2012 stays almost the same compared with the same period last year. For the whole year, Canon’s net income falls 9.7% to 25.8 billion dollars. Canon blames the dismal result mainly on the slow economy growth worldwide.

Within the company, imaging system segment posts the strongest sales record with a 7.2% increase year over year. Office segment’s sales revenue goes down 8.4% to 20 billion dollars. According to Canon, demand for office color multifunction devices showed growth in Japan and other regions while demand for laser printers remained sluggish mainly in European markets. Overall demand for inkjet printers also waned due to the weak economy.

In terms of different regions, Asia Pacific region including Japan is still showing slight growth. Sales in Americas and Europe, on the other hand, continue to fall under the gloomy economic environment. Demand in China sees a dramatic 30% decline as the situation between China and Japan continues to deteriorate.

However, the results did not disrupt the OEM’s confidence, as Canon projects a 13.6% income increase for the year 2013.