Digital camera business to be downsized
Concerning the digital camera business operated by Pentax, Hoya said it will aim to secure its profit by reducing the business scale from now on. Amid the market environment, where the price competition intensified and sales growth of SLR products slowed, financial results of Pentax also plunged with unit sales decreasing and unit price lowering in the April-June quarter.
A sales decline of about 20% is anticipated to continue in the July-September quarter, as the business unit is building up inventory, lagging behind its rivals and market demand when releasing products, according to Hoya. The company is planning to cut costs by streamlining its bases in Japan by shifting production overseas and outsourcing, as well as reducing production to an appropriate level from now, it said.