EPSON reports strong revenue growth despite supply shortage

EPSON reported strong revenue and profit growth in its second quarter financial results, despite skyrocketing materials and logistics costs. The company’s Q2 revenue of ¥335.2bn was up ¥66.8bn or 25 percent on the previous year, with ¥23.7bn in profit for the period (up ¥4.7bn). Second-quarter results were negatively impacted by ongoing supply constraints associated with semiconductor shortages and by skyrocketing materials and logistics costs compared to the same period last year, said a release from EPSON.

Sales expanded in the growth areas of the commercial and industrial IJP finished products business, but growth was limited due to the cooling of the Chinese market and product supply constraints. EPSON printhead sales business revenue grew, with strong interest from Chinese printer manufacturers that also export. Business profit of the company declined due to customer ink procurement adjustments in the photo segment, continued spending on finished products business expansion, and soaring material and logistics costs.