Epson has admitted unit sales of its home and office printers were lower than expected in the second quarter of its financial year.
In the three months to the end of September 2022, the OEM reported flat volumes for its inkjet printers versus the same quarter last year. It said hardware volumes had been impacted by continued semiconductor shortages. While ink cartridge sales also declined, Epson said ink revenue was up by 3% due to growth in high-capacity ink bottles and favourable foreign exchange rates.
Overall, Epson’s Office & Home Printing division reported Q2 sales of ¥130 billion (£778 million). This was 16% higher year on year, due to pricing actions and the weaker yen. In its Q2 earnings Q&A session, Epson pointed to the decentralisation of conventional office printing towards homes and small offices. This, it said, has been driving growth of high-capacity ink tank printers, although ink cartridge sales are being impacted by at-home demand now peaking.
The company said it would continue to expand sales of large-capacity ink tank printers that can meet a wide range of printing needs – including those for households and businesses – not only in emerging markets, but also in developed economies.
Commenting on the inventory situation, Epson said it had been unable to provide enough product to meet channel demand in the first six months of its financial year. However, it expects supply constraints to ease in the coming months and will work to “optimise” inventories for its customers.
Epson’s Visual Communications division had a good second quarter. Revenue was more than ¥63 billion, up by around 35% on a currency-adjusted basis. The company reported strong projector demand in the education vertical in Europe and an easing of raw materials shortages.