Canon 2004 Annual Report Download - page 40

38
SALES BY REGION
(Thousands of
(Millions of yen) U.S. dollars)
2004 change 2003 change 2002 2004
Japan ¥849,734 +6.0% 801,400 +9.4% 732,551 $8,170,519
Americas 1,059,425 +1.4 1,045,166 +3.5 1,010,166 10,186,779
Europe 1,093,295 +12.8 969,042 +13.1 857,167 10,512,452
Other areas 465,399 +21.7 382,464 +12.4 340,244 4,474,990
Total ¥3,467,853 +8.4 3,198,072 +8.8 2,940,128 $33,344,740
Note: This summary of net sales by region of destination is determined by the location of the customer.
Sales of computer peripherals increased 5.6% to ¥1,149,914
million (U.S.$11,057 million). Despite the effects of the yen’s
appreciation against the U.S. dollar and a shift in demand
toward lower priced models in the monochrome and color
segment, laser beam printer sales substantially increased due
to an increase in sales of color models. Inkjet printers recorded
an approximately 20% increase in unit sales with the PIXMA
iP3100 and iP4100 models, especially in Japan and Europe,
along with the PIXMA MP700 and MultiPASS MP370 high-
speed multifunction systems, as the adverse effect of severe
price competition on sales of computer peripherals was more
than offset by a rise in unit sales.
Sales of business information products decreased 5.2%, to
¥117,067 million (U.S.$1,126 million) in fiscal 2004, mainly
due to the intentional curtailing of personal computer sales in
the domestic market.
Sales of cameras continued to achieve significant sales
growth of 16.8%, totaling ¥763,079 million (U.S.$7,337
million). Amid the continued strong demand for digital models
worldwide, sales of compact digital cameras showed
significant growth, boosted by the launch of eight new
PowerShot-series models for fiscal 2004, including the
PowerShot S500 Digital ELPH and PowerShot A75. Canon’s
digital SLR cameras also continued to enjoy robust growth,
bolstered by strong sales of the EOS Digital Rebel, and the EOS
20D which is successor of the EOS 10D. As a result, unit sales
of digital cameras grew by nearly 60% compared with the
previous year. Digital cameras accounted for 69% and 61%
and conventional film cameras accounted for 16% and 21%
of camera sales in fiscal 2004 and 2003, respectively. Video
camcorders accounted for the remaining 15% and 18% of
camera sales in fiscal 2004 and 2003, respectively. In the field
of digital video camcorders, new models such as the Optura
500/400, Elura 70/65/60 and Optura 40/30 achieved favorable
sales during fiscal 2004. Sales of cameras constituted 22% of
consolidated net sales in fiscal 2004, an increase of 2% from
fiscal 2003, primarily due to increased sales of digital cameras.
Sales of optical and other products increased 26.9%, to
¥316,821 million (U.S.$3,046 million). Sales of aligners for the
production of LCDs realized notable growth as the PC monitor
industry continued to shift from CRT to LCD computer displays,
and the LCD television market continued to expand. Sales of
steppers, used for the production of semiconductors, also
increased as investment in semiconductor-production
equipment showed a recovery owing to the improved
conditions in the semiconductor-device market. Sales of optical
and other products constituted 9% of consolidated net sales in
fiscal 2004, an increase of 1 % from fiscal 2003, primarily due
to increased sales of aligners for LCDs and steppers.
Sales by region
A geographical analysis indicates that net sales in fiscal 2004
increased in every region.
In Japan, net sales increased by 6.0% in fiscal 2004 from
fiscal 2003. The results were mainly attributable to increased
sales of office imaging products and digital cameras. Color
network digital MFDs, which include the Color
imageRUNNER(iR) C3200/iRC3200N, Canon’s first color
offering in the powerful imageRUNNER-series lineup, have
contributed to increased sales of office imaging products.
In the Americas, net sales increased by 8.3% on a local
currency basis, mainly due to increased sales of digital
cameras, and laser beam printers. Sales of digital cameras
experienced continued strong demand and benefited from the
effect of newly-launched products such as PowerShot-series
models and Canon’s digital SLR. On a yen basis, after
accounting for the appreciation of the yen against the U.S.
dollar, net sales in the Americas increased by 1.4%.
In Europe, net sales increased by 11.6% on a local
currency basis mainly due to increased sales of digital cameras,
Color network digital MFDs and laser beam printers. On a yen
basis, after accounting for the depreciation of the yen against
the euro, net sales in Europe grew 12.8% in fiscal 2004.
Sales in other areas increased by 21.7% on a yen basis in
fiscal 2004, reflecting overall sales growth, particularly in
digital cameras and semiconductor equipment.
A summary of net sales by region is provided below: