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CANON ANNUAL REPORT 2015 5
Gross Profit of Sales (%)
52
50
48
46
2014 2015
50.9
2011 2012 2013
CEO Fujio Mitarai with the Board of Directors at AxisThe Cinema EOS System combines a compact, lightweight body with
easy-to-use functions and an attractive low price is widely used in
motion picture production.
5
segment. Canon leaped to the top of the industry by wel-
coming Milestone Systems and Axis into the Canon Group.
The third was making Molecular Imprints a wholly owned
subsidiary and accelerating the development of nanoimprint
technology that will enable both the miniaturization of elec-
tronic features and cost reductions.
In these ways, Canon has initiated a shift from B2C to
B2B, adding new business segments to such maturing core
businesses as cameras and offi ce equipment.
As part of our effort to strengthen Canon’s manufac-
turing capabilities, we have promoted production automa-
tion. In the area of camera production in particular, we have
made steady progress in expanding the scope and variety
of automation, following the introduction of automated
assembly systems for EF lens focus units with automated
systems capable of handling basic assembly processes for
single-lens refl ex (SLR) camera bodies. These achievements
are clearly refl ected in our gross profi t ratio, which marked
a record high of 50.9% in 2015. As a result, net income
remained at a high level, recording a fi ve-year average of
over ¥230.0 billion per year. Moreover, using this income
as capital for M&A activities, we have laid the foundation
for an engine of future growth. Through rigorous cash fl ow
management, we achieved a shareholders’ equity ratio of
67.0% at the end of 2015, which enabled us to maintain
our top-ten ranking for this management indicator among
FORTUNE Global 500 companies.
Based on the above, it is clear that Phase IV was an
important period during which Canon’s business structure
began undergoing signifi cant changes as a result of efforts
to cultivate new businesses and strengthen our manufactur-
ing capabilities.