Wednesday, May 03, 2006

Pentax Business Forecasts Revised

Pentax Japan released a revised forecast of business performance yesterday to correspond with its recent restructuring. Although the profit forecasting for April 2005 to March 2006 is being adjusted for a more conservative environment, for which they cite increased competition, the ongoing rebates Pentax has been offering in the U.S. to reduce stock on hand, and "strengthening" for corporate North America and service in the Philippines, there was one interesting note: "The fourth quarter saw an unscheduled incursion of basic research expenses." From what's been shown at industry trade shows this year, particularly unreleased prototype models, Pentax consumers should have some interesting products coming in the next few quarters that could be the competitive edge Pentax is looking to gain.

This has been a year that's seen more than a few camera companies struggle to shoulder the difficult technology ramp. However, Pentax seems to be making some smart moves by looking to evaluate its market position before committing to a headlong battle. This reminds me of Steve Job's return to Apple, with his precise product matrix and lean inventory management, before the iPod helped create the marketing fusion that grew the company back to major relevancy. One important shift has been Pentax's resolved commitment to its DA line of lenses for the APS-C sensor in the Pentax *ist digital line-up and their effort to stretch out the *ist DS and DL line-ups as much as possible, while other companies are tripping over themselves to release and replace new models that never have any niche appeal.

Link: Pentax Statement

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