COVID-19 Possibly Brings “Extraordinary Losses” for Nikon

Nikon is joining the chorus of companies that are giving investors gloomy guidance on how the shutdown and novel coronavirus pandemic has impacted the company’s bottom line.

red and black dslr camera
Photo by Vinicius Viera ft from Pexels.

And, when you’re talking about revenue, you don’t really want to hear words like “extraordinary losses” being bandied about whether you’re a Nikon exec, employee, or investor.

But that is just what the company released to the public and saying that the company didn’t “sugarcoat” the message is to put it mildly.

A statement from the company reads in part: “Nikon Corporation expects to post extraordinary losses and to reverse a part of deferred tax assets in its non-consolidated financial statements…Using the future plan that reflects the impact and more caused by the spread of COVID-19 to business activities, the Company has assessed an indication that fixed assets may be impaired, performed valuation of financial assets, and examined the recoverability of deferred tax assets.”

As we’ve hinted, none of this is news to the industry at large. Many companies have said that the COVID-19 outbreak made certain challenging markets even more so on top of the overall depressing effect the virus has had on economic activity. Camera sales have struggled for some time and the decline of certain segments seems to be accelerating.

How has the novel coronavirus changed life where you are? Do you see things going back to normal? What about camera sales and the photography industry? Let us know your thoughts on this story and what you think the future for the market will be in the comments section below.

Don’t forget to check out our other photography news articles here on Light Stalking by clicking this link.

[PetaPixel]

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Kehl is our staff photography news writer since 2017 and has over a decade of experience in online media and publishing and you can get to know him better here and follow him on Insta.

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