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Record Sales for Leica in Q3


marknorton

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Leica Camera has announced preliminary results for Q3 (ending December 2010) with sales of €75.5m, up from €48.1m for the same period last year. Sales for the first 3 quarters together are €186.4m, up from €107.6m.

 

The sales for the quarter are the highest of any quarter since Leica Camera AG was formed in 1996.

 

A complete turnaround with profits as well - €28.9m compared to a loss of €0.3m.

 

A good set of results then, we should be pleased.

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I'm amazed that they are doing so well, given that they have so far ignored all of the armchair CEO 'what Leica must do to survive' type advice offered here!

 

Maybe they do have a plan after all :p

 

The next 2 to 3 quarters will show if sales can be sustained or if most have purchased what they want. Now if they could produce lenses, imagine what sales could be. :D Sorry, had to get that in. Lens sales will be what they need until such time they roll out an M9 upgrade. S2 or X1 are not big drivers unless there is still a big, untapped market for them. As all of the pundits have stated, Leica buyers are not a major market force. I am happy for them. They should be able to sustain operations for a while assuming cash flow is strong. Hopefully, they will be able to continue with decent product innovation. As far as some of the armchair CEO comments. I have seen a number of folks here to be astute on basic principles of finance and business operations.

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Frank, slow lens delivery is normal for good times. :)

 

When the end of the month comes and bills are due and shelves are empty because of shipped product, Leica's afloat.

 

 

Here's something I hadn't heard, but it rings true:

from TOP: Localization in Camera Markets:

But I hear there are some significant regional aspects to the popularity of various cameras and brands. For example, evidently it's mainly China that's keeping the global pipeline for the Leica S2 dry as a bone: the S2 is rampantly popular among newly minted millionaires there (and to a lesser extent in India).

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Frank, slow lens delivery is normal for good times. :)

 

When the end of the month comes and bills are due and shelves are empty because of shipped product, Leica's afloat.

 

 

Here's something I hadn't heard, but it rings true:

 

I have long been wondering how the S2 market fared, and this is the first hint I have seen.

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I'm amazed that they are doing so well, given that they have so far ignored all of the armchair CEO 'what Leica must do to survive' type advice offered here!

 

Maybe they do have a plan after all :p

 

Frank's been suspiciously quiet the last while! :eek::D

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My hope is Leica will take some of this money and develop other ways we can use M and R glass besides the old Rangefinder and SLR design. The micro 4/3 offerings by Olympus, etc,, are going in that direction, and Ricoh may be even closer (I could see Leica make a camera like this, full frame, with an R and M module. I would like this camera to be full frame, and even offer autofocus like the old Contax AX. An M9 style shutter dial is a must, as would be a clip on EVF. I could see many M9 owners buying one as a backup or as a different way they could use M lenses, especially the Noctilux.

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+1 for the EVF. All the focus shift and lens calibration issues will be a thing of the past. I can hear the service department breathing a sigh of relief as I type this.

 

I wish this forum community could come to a consensus on this issue in the sense you expressed.

The service department would most likely see a drop in plain adjusting work but CLA would still be common place, I tink.

 

Best, K-H.

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