Nikon has lowered its estimates for unit sales and revenue for the current fiscal year based on disappointing first quarter sales. Nikon cites poor market conditions, a large drop in compact camera sales and, most interestingly, a 'deceleration' in mirrorless camera sales growth.

Nikon's first quarter results reported that regional sales targets were missed virtually worldwide, though it notes that China's numbers were in-line with their already conservative estimates. The one place cameras were still selling briskly was in Nikon's home country of Japan. Nikon reported that sales and operating income dropped by ¥2.6bn ($27m) and ¥5.1bn ($53m), respectively, not helped by a 30% fall in compact camera sales.

Nikon has lowered its estimates for sales volume, sales amount, and operating income downward for the entire fiscal year, which ends on March 31st, 2014. Reasons for this include slow economic recovery worldwide, even worse compact camera sales than predicted, and slowed growth in mirrorless cameras.  

The actions that Nikon is taking to improve the situation include:

  • 'Accelerating shifting newer products in the entry class of DSLR'
  • 'Reconsider product planning of Nikon 1. Nikon 1 represents the majority of sales volume reduction of 550,000 interchangeable-lens type digital cameras'
  • 'Revise development plan for new compact [cameras]. Although our market share had been expanding in recent years, sales volume will diminish more than the estimated market shrink. Will maintain profitability as is.'

For all the juicy details, you can read Nikon's first quarter financial results using the link below. For details on Nikon cameras here on DPReview, click here.