Casio reports big profits in mixed quarter

Japanese precision instrument manufacturer Casio today reported bulging profits on the back of solid digital camera sales, but overall the quarter has been a mixed picture for the group.

Casio's group net profit in the last nine months was boosted by demand for ultra-thin Exilim "digi-cams".

Casio holds a 6% market share, compared to Sony and Canon, which each hold a 20%.

The sector outlook has dimmed since Olympus, the world's third largest digital brand, cut its full-year forecast 5.7% to $624m (€497.27m), due to a strong yen and slower demand.

Analysts say price competition and yen appreciation against the dollar are serious hurdles.

Fuji Photo recently cut its target for digital camera sales this year, blaming competition and product delays, while other makers have become less upbeat about sales in recent comments.