Canon’s UK arm reports a significant rise in sales, yet remains unprofitable.
- The company cut its pre-tax loss from £7.3m to £5.1m in 2023.
- Turnover rose impressively from £282.3m to £376.5m, attributed to a model shift.
- The print division struggled, impacted by cost-of-living issues.
- Canon remains a leading brand, increasing market share in several key areas.
Canon’s UK division reported a substantial increase in sales; however, the company failed to reach profitability in its latest fiscal year. Despite a commendable sales surge, the Uxbridge-based arm reduced its pre-tax loss from £7.3 million to £5.1 million in 2023. This reduction, although significant, was not enough to return the company to profitability, a status it last achieved in 2021 with a pre-tax profit of £67.7 million.
The company’s turnover soared from £282.3 million to £376.5 million during the year. This increase is largely attributed to a strategic shift in its business model concerning its Imaging Technologies and Communication group. More of its sales were recognised within this framework, contributing to the higher turnover.
However, the company faced challenges in its print division, which saw decreased demand during traditionally busy periods such as back-to-school and Christmas seasons. The downturn was primarily due to the ongoing cost-of-living crisis affecting consumer spending power. Despite these obstacles, Canon has maintained its position as the leading imaging brand, managing to sustain or even enhance its market share across vital segments.
In response to these circumstances, Canon’s managing director, Yusuke Mizoguchi, reinforced the company’s commitment to responsible business practices. Mizoguchi emphasised that Canon, as a brand of purpose, is dedicated to adapting and thriving amidst an ever-evolving market landscape. He articulated a vision of resilience, guided by the company’s strong foundational principles.
Canon UK’s strategic adjustments indicate resilience, yet financial hurdles persist as a significant challenge for the brand.
