Nikon Raises Full-Year Operating Profit Forecast by 50%, but Cuts Camera Outlook

Nikon has raised its full-year operating profit forecast by 50%, a welcome development for the company following last year’s substantial losses. However, the improved outlook does not extend to its camera business, which is expected to generate less revenue and profit in the second half of the fiscal year.

The company revised its forecast on October 30, 2026, ahead of the release of its full first-half financial results. Nikon’s fiscal year runs from April through March, meaning its current financial year covers April 2026 to March 2027.

The updated forecast raises expected full-year operating profit to ¥16.5 billion, up from the ¥11 billion projected in August. Net profit attributable to shareholders is now expected to reach ¥16 billion, representing a 60% increase over the previous forecast. However, projected revenue has been reduced by 1.4% to ¥722 billion.

Strong First-Half Performance Drives Higher Forecast

The improved outlook follows a much stronger-than-expected first half. Nikon had previously forecast an operating loss of ¥5.5 billion for the period, but now expects to report an operating profit of ¥9 billion.

The company attributes the improvement to several factors, including higher service revenue from its semiconductor lithography business amid strong demand for chips. Refunds related to US import tariffs, lower costs from spending cuts, and postponed expenses also contributed to the better results.

None of these factors is directly related to Nikon’s camera business.

Nikon raised full-year profit forecast by 50%, but trimmed imaging sales outlook:
https://t.co/ziv27bwjEm

— Nikon Rumors (@nikonrumors) October 31, 2026

Nikon Lowers Its Second-Half Forecast

Despite the improved full-year outlook, Nikon has reduced its expectations for the second half of its fiscal year, which runs from October 2026 through March 2027.

The company’s second-half revenue forecast has been reduced from ¥396 billion to ¥387.5 billion. Operating profit expectations have also fallen from ¥16.5 billion to ¥7.5 billion.

This means the higher full-year forecast is largely the result of the first-half performance exceeding expectations, rather than an improved outlook for the remainder of the year.

The weaker second-half projection is particularly notable because it includes the holiday shopping season, traditionally an important period for camera sales. Nikon has also recently introduced new products, including the Z5II C compact full-frame mirrorless camera and the NIKKOR Z 120-300mm F2.8 TC VR S, one of its most expensive Z-mount lenses.

Nikon specifically identifies its Imaging Products Business as a reason for the lower revenue outlook. Its Precision Equipment, Healthcare, and Industrial businesses, meanwhile, have better profit expectations.

Imaging Business Faces Continued Challenges

Nikon’s imaging business was already facing a difficult outlook in August. At the time, the company projected ¥290 billion in revenue and ¥13 billion in operating profit for the division, down from ¥17.2 billion in operating profit a year earlier.

Nikon also outlined plans to sell 850,000 interchangeable-lens cameras and 1.25 million lenses during the fiscal year. The company had lowered its estimate for the overall interchangeable-lens camera market by 300,000 units to 6.7 million, citing weaker demand in China and rising memory costs.

The updated forecast further reflects the challenges facing the imaging division. Nikon had previously assigned ¥160 billion in revenue and ¥8.5 billion in operating profit to the second half of the fiscal year. Its latest projections reflect the stronger-than-expected first-half results across the wider company, alongside a weaker outlook for imaging products.

A Recovery From Last Year’s Losses

For context, Nikon ended its previous fiscal year with an operating loss of ¥112.4 billion, equivalent to approximately $725 million or €624 million. Much of that loss came from its Digital Manufacturing Business, particularly its metal 3D printing operations, which recorded a ¥106.2 billion operating loss.

Against that backdrop, returning to full-year profitability would represent a significant recovery for the company.

Nikon has had a relatively quiet year in terms of camera launches, introducing one full-frame camera and a handful of lenses. However, that could still change. Rumors suggest the company may have another camera announcement planned, potentially involving the Nikon Z70.

A new camera could help strengthen Nikon’s imaging lineup, although the company’s latest financial outlook suggests that broader business performance will depend on more than camera sales alone.