Panasonic has posted its balance sheet for the past three months, reporting profits of $667 million.
Panasonic, a multinational electronics organization, is one of the biggest companies in Japan. Additionally, it was the fifth patent holder in the United States in 2012. The top five patent holders list was dominated by camera makers as four of the top five companies were digital imaging product manufacturers.
Panasonic Q4 2012 financial report brings a glimmer of hope
Even though the financial crisis is not over and the Japanese company is still feeling the after effects of the 2011 earthquake and tsunami, Panasonic reports a profit of $667 million, which is a lot higher than what the company had reported one year earlier. In the fourth quarter of 2011, the camera maker announced a financial loss of over $2 billion.
Considering market events, Panasonic shareholders have reasons to be happy. The yen is weaker when compared to other currencies, while devices are cheaper, therefore profits should go down. However, the Japanese firm managed to cut down costs in order to return to more profitable ways.
Fierce competition with other camera makers and smartphone manufacturers
On the camera market, the company is seeing increased competition from other conglomerates like Canon and Samsung. The former ranked third in top US patent holders, while the latter came second, only short of IBM. The firm which completed the top five, was Sony, another camera manufacturer.
Camera sales have dropped due to fierce competition from smartphone makers. Consumers no longer feel that it is necessary to buy compact cameras, as the quality of smartphone cameras has increased in recent times. Market analysts believe that Apple and Samsung are the biggest threat to the camera industry, as they manage to sell millions of smartphones each quarter.
CES and CP+ 2013
Earlier this year, Panasonic introduced 10 new Lumix cameras at the Consumer Electronics Show, while a couple of days ago it announced a new zoom lens for Micro Four Thirds at CP+ 2013. The Panasonic Q4 2012 earnings show that there is still a market for cameras out there and these new products are hoped to improve the company’s earnings in the digital imaging segment.