Nikon published a Q&A on the latest financial results for FY2026. Here is a recap:
Rising memory prices impact:
- Quantities for this fiscal year are secured.
- DRAM prices have risen severalfold compared to Q1 of the previous year.
- Prices are expected to plateau in Q2 and beyond.
- Overall operating profit (OP) impact for the fiscal year: high single-digit billions of yen.
- Suppliers update pricing quarterly – risk of further increases.
- Mitigation: continue cost reductions; may pass costs to selling prices if needed.
- Main impact in Imaging Products business, with some effect in Healthcare.
US tariff assumptions:
- Forecasts assume current rates remain: 10% general tariff (35% for imports from China).
- Tariff impact on company-wide profit expected to be about the same as last year.
- Last year benefited from pre-tariff inventory buildup for the US market.
Imaging Products Business Profit expansion amid current market weakness:
- External environment uncertain.
- Not pessimistic overall: smartphone-driven demand for image capture/edit/view is expanding in the US and Japan.
- Company has a proven track record of stably generating ≈¥40B in profits.
- Plan: strengthen video functionality to develop and create new markets.
- Goal: achieve Medium-Term Management Plan profit targets and make Imaging Products a stable revenue source.
Nikon FY2026 financial results: profits down, targets recovery in FY2027
