Nikon recently released a set of reports detailing severe financial difficulties for the camera company. As a result, they will be cancelling the release of a new line of premium compact cameras and the company will undergo major restructuring in an attempt to make it profitable again.
The reports (released today) indicate that the company recorded "extraordinary" losses of approximately $263 million mostly due to inventory write-off and write-downs over a span of nine months in their semiconductor lithography section, with overall losses totaling approximately $465 million. Though this is not directly due to their photography business, their revised financial forecast for the fiscal year ending March 31, 2017 notes:
Regarding the consolidated financial forecast for the year ending March 31, 2017, despite the continuous boom in sales of FPD Lithography Systems in the Precision Equipment Business, consolidated operating income as a whole is expected to fall below the previous forecast, impacted by the sluggish and shrinking markets of digital cameras in the Imaging Products Business and industrial metrology equipments in the Instruments Business.
As such, the company is cancelling the release of their DL series of compact cameras and will undergo "fundamental company-wide restructuring in order to enhance our ability to generate profits and create value." While it's unsurprising to hear of decreasing camera sales, particularly in the compact market, where cell phones have essentially pushed the point-and-shoot to the brink of existence, one would hope that Nikon will be able to recover successfully and continue to fill the needs of many photographers who rely on their gear.
[via Nikon Rumors]
![If These Specs Are Real, the Nikon D850 Will Be the Last Camera You'll Ever Need [Rumor]](https://cdn.fstoppers.com/styles/small-16-9/s3/lead/2017/07/nikon-d850-announcement-d810_0.jpg)
While I don't think this is bad as it sounds it is telling that a company that's been around this long cannot rest on it's laurels in its anniversary year.
I was so excited when the D500 came out, then I saw the price tag of $2700 (CDN)...just for the body before tax, and thus I'm still using my D7100. When I bought my 70-200mm I wanted the 2.8 so badly, but opted for the f4...which was literally $1000 cheaper and half the weight!
Last year I bought my first non-Nikon lens (which I was sure I'd never do), a Sigma ART 18-35mm 1.8 and it is hardly off my camera, it's a fantastic lens. The comparible Nikon 17-35mm, is again $1000 more and only 2.8.
I'm drooling over some of the other ART lenses, and the rumored 135mm has me excited...funny thing is, I'm not even looking at Nikon lenses anymore or at least not near as much. I still want the body, but the lenses are overpriced in many cases or simply not as good.
Nikon (and Canon too) need to wake up and look around, they are not breaking the mold and leading the way as much any more and there are companies out there that are making better products that pair with theirs...and essentially make their offerings better.