After yesterday’s news that Sony and Sanyo were cutting their sales predictions for the current year, Canon have announced that they expect to see sales rise in 2005, despite warnings of slowing growth and falling prices in the digital camera market.

“Canon said it sold 14.0 million digital cameras in 2004, falling short of its forecast of 14.7 million. It forecast sales to rise about 20 percent to 16.8 million this year, including 1.8 million digital single lens reflex (SLR) models.

Tanaka said prices of compact digital cameras would likely fall about 10 percent in 2005 after dropping 15 percent last year. But he said Canon would work to maintain margins and avoid the troubles faced by Olympus Corp. and some other makers whose camera divisions have fallen into the red.

Canon’s camera division boasts an operating profit margin of about 15 percent.”

Website: Reuters - Canon Q4 profit up 17 pct, sees record for 5th year