kkdanamatt
Well-known
The following press release show Leica has made a financial comeback in a tough economic environment. Most significant, IMHO, is the sentence that I have highlighted.
June 28, 2010 / No. 20/10
June 28, 2010 / No. 20/10
Annual financial statements 2009/2010:
Leica turnaround exceeds expectations
Leica turnaround exceeds expectations
New products and a successfully completed restructuring project have brought Leica CameraAG back in the profit zone. The figures of the Company’s annual financial statements for the reporting period April 1, 2009 to March 31, 2010 are above expectations: at € 158.2 million, sales of the Company are € 24 million or 18 % above the prior year. The operating result (EBIT)increased to € 7.4 million, after a loss of € 1.3 million in fiscal 2008/2009. The Group net
income amounts to € 3.2 million (previous year: net loss of € –5.2 million).
The figures prove the positive growth and profit trends noticed since the third quarter of fiscal 2009/2010 and accelerated in the fourth quarter. A sequence of new products has led to aclear increase in order intake since September 2009. The new professional camera S2, the M9– the world’s smallest digital system camera with full format sensor – and the handy reporting camera X1 have met with very positive international market reception. Additional innovations in sport optics, such as the Leica CRF 1600 laser rangefinder presented at the IWA 2010, further emphasised the Company’s course for innovation. Currently, products younger than nine months account for more than 50 % of Leica’s sales.
The improved result is also based on a significant contribution made by a restructuring project,which comprised the reduction of purchasing cost and of other operating expenses, as well as modified distribution structures.
With a view to the current development of business the Chairman of the Board of Management, Rudolf Spiller, underlined the Company’s development potential: »Leica is back again. Innovative
income amounts to € 3.2 million (previous year: net loss of € –5.2 million).
The figures prove the positive growth and profit trends noticed since the third quarter of fiscal 2009/2010 and accelerated in the fourth quarter. A sequence of new products has led to aclear increase in order intake since September 2009. The new professional camera S2, the M9– the world’s smallest digital system camera with full format sensor – and the handy reporting camera X1 have met with very positive international market reception. Additional innovations in sport optics, such as the Leica CRF 1600 laser rangefinder presented at the IWA 2010, further emphasised the Company’s course for innovation. Currently, products younger than nine months account for more than 50 % of Leica’s sales.
The improved result is also based on a significant contribution made by a restructuring project,which comprised the reduction of purchasing cost and of other operating expenses, as well as modified distribution structures.
With a view to the current development of business the Chairman of the Board of Management, Rudolf Spiller, underlined the Company’s development potential: »Leica is back again. Innovative
technical solutions, outstanding product quality and distinct design under the sign of the red
point – this is what attracts and enthuses an increasing number of consumers worldwide. With its clear course for innovation and its powerful and efficient structure Leica has set the course for a successful turnaround. The success has been based on the readiness of both employees and management to support and structure the changes necessary to attain our shared
objectives.«Andreas Lobejäger, the Board member responsible for finance, confirms the Company’s positive perspectives: »The combination of strong sales growth and significantly increased efficiency gives Leica greater scope of action in financial terms. Leica has markedly improved its working capital, cash flow and equity base.«
point – this is what attracts and enthuses an increasing number of consumers worldwide. With its clear course for innovation and its powerful and efficient structure Leica has set the course for a successful turnaround. The success has been based on the readiness of both employees and management to support and structure the changes necessary to attain our shared
objectives.«Andreas Lobejäger, the Board member responsible for finance, confirms the Company’s positive perspectives: »The combination of strong sales growth and significantly increased efficiency gives Leica greater scope of action in financial terms. Leica has markedly improved its working capital, cash flow and equity base.«
kshapero
South Florida Man
What is a product younger than 6 months mean?
dfoo
Well-known
M9 I would assume!
kkdanamatt
Well-known
Seems clear to me: M9, X1, S2
It does sound like they had a very good year. I would love to see how that changed their balance sheet. That is just a product of my work. July 1, is my busiest date of the year and I have seen more financial reports in the last 60 days than anyone should ever have to review in a life time.
ferider
Veteran
Good for Kaufmann. Finally, his investment is starting to pay off.
BTW, it's Leica, not Leitz.
BTW, it's Leica, not Leitz.
peter_n
Veteran
I think when they finally move back to Wetzlar they're changing the name of the company back to Leitz. Hasn't happened yet though.
According to the Leica web site the company name is Leica Camera AG.
Matus
Well-known
Let's just hope they make enough money to keep the film bodies in the production. :angel: I would actually be curious how many MP and M7 do they sell compared to M9.
35mmdelux
Veni, vidi, vici
Leica and financial health are not synonymous.
Ronald M
Veteran
Digital out sells film 10:1 or more. Can`t remember exactly, but I read it here on RF forum.
Mackinaw
Think Different
According to Leica (Stefan Daniel), film cameras amount to less than 5% of their total camera production.
Jim B.
swoop
Well-known
I'm glad the digital products are selling so well. If the company stays on top and has more funds for R&D and service, they'll continue to succeed.
Keith
The best camera is one that still works!
Here's hoping they don't see this as a sign to drop film camera production totally and concentrate wholely on digital!
Then again ... that wouldn't shift any planets in my solar system!
Then again ... that wouldn't shift any planets in my solar system!
Last edited:
Freakscene
Obscure member
The Leitz family will not let Leica use their name, they have stated this very firmly on a number of occasions.
Marty
35mmdelux
Veni, vidi, vici
The Leitz name is an anachronism anymore. Let it go.