Efficiency Boost: Canon Automates Camera and Lens Production

Canon recently released their annual report for 2024, and there are a few interesting things Canon mentions in the report. One of the biggest takeaways is Canon has moved in automated production lines for cameras and lenses. This likely makes Canon unique among all the manufacturers.

Canon has used automated production for toner cartridges, and it looks like they’re working hard to make manufacturing of their products more efficient and cost effective.

Canon Automates Camera & Lens Production

Canon also claims that the move will improve consistency in the manufacturing of cameras lenses and will make tolerances more consistent

From what we know about camera and lens manufacturing from years of speaking with people, it has been expected that Canon does have the most capable manufacturing ability when compared to the other camera companies, their investment in improving in this area has always been significant.

Canon aims to achieve further production efficiency by leveraging technologies cultivated in different businesses regardless of divisions and by collaboration among design, production engineering, and manufacturing sites, to refine its automation and in-house production technologies.

In addition to key devices and components, we are also actively pursuing in-house production of production equipment and molding dies. Following toner cartridges, we have rolled out automated production lines for cameras and interchangeable lenses to further enhance productivity

Canon CEO – Annual Report 2024

We have always considered that Canon is a manufacturing company first, and the imaging division is just 21% of overall revenue. In 2024, Canon’s net imaging division sales for 2024 were ¥937.4B or about $6.5 billion in USD.

Canon’s imaging division has always been vertical integration, as they make everything from image sensors, camera processors, chips in lenses and batteries as well as high end optical glass across all the industries they’re in.

Canon Camera & Lens Sales Growth

Canon’s camera and lens business continues to thrive, and they are clearly #1 in market share across the industry. They still have a goal of increasing both market share and unit sales as the camera & lens industry is slowing growing after bottoming out a few years ago.

Canon does include their growing network camera and security business, which saw solid growth after inventory correction and innovation.

Canon Imaging Summary

As for interchangeable-lens cameras, in August and November of last year, we launched new mirrorless cameras, namely the “EOS R5 Mark II,” a new mainstream model for professionals and enthusiasts, and the “EOS R1,” our flagship model, respectively.

As a result, we maintained mirrorless camera sales growth as unit sales exceeded those of the previous term. The sales of interchangeable lenses also increased due to sales growth in high-value-added cameras, which led to net sales growth in the camera category overall.

The network camera market keeps on growing with a continued focus on the security field. Sales of network cameras were sluggish in the first quarter due to inventory adjustments.

However, after inventory adjustments were completed, we firmly secured growing demand by leveraging our powerful sales channels in Europe and the United States.

As a result, we posted growth in both network camera hardware and software sales, which led to double-digit net sales growth also in this term.

As a result, on a consolidated basis, sales for this business unit increased by 8.8% to 937.4 billion yen in comparison to the previous term.

Canon Annual Report for 2024

Canon reports that they’re ahead of schedule with their restructuring across the entire business. The move to automated production of cameras and lenses should lead to better margins and a better ability to meet inventory demands as long as the supply chain remains in good shape, though it can probably still be better.

In the end a corporation wants to make money and these advances will likely improve the balance sheet over the next few years.

You can check out the full 2024 Annual Report from Canon here.

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