Nikon Posts Record ¥86 Billion Loss in FY2026

In FY2026, Nikon faced its most significant annual deficit, recording a loss of 86 billion yen ($550 million) and an operating profit of negative 112.4 billion yen ($717.45 million). The company cites one-time expenses, such as impairment losses on fixed assets in Digital Manufacturing and shifts in product mix within its Imaging Products division, as major contributors to these unprecedented losses. Although the imaging sector, which generates nearly 43% of Nikon's revenue, met revenue expectations, it fell short of operating profit goals. Nikon acknowledges steady growth in the digital camera interchangeable lens market but notes challenges like product mix changes, tariff-induced price hikes, and reduced growth in some emerging markets. Despite these setbacks, the Z5 II, Z50 II, and ZR models showed strong performance. Looking ahead, Nikon anticipates increased revenue from its Imaging Products Business next fiscal year, although operating profits are projected to decline. The company expects a reduction in camera sales while maintaining Nikkor Z lens sales, predicting an overall contraction in the camera and lens market during FY2027.