Based in Tokyo, Fuji Photo Film Company (Fuji Photo) is a leading global producer of photographic imaging products. The company develops, manufactures, and markets traditional and digital imaging products. In addition, Fuji Photo provides services and solutions for consumers, professionals, healthcare providers, and commercial customers. The company's imaging solutions segment, which accounted for 16% of fiscal year 2010 revenue (ending March 2010), focuses on color films, digital cameras, photofinishing equipment, and color paper, chemicals, and services for photofinishing. The company's information solutions segment, which accounted for 41% of fiscal year 2010 revenue, manufactures and markets system devices for graphic arts, medical imaging and information systems, flat panel display materials, and recording media. The company's document solutions segment, which accounted for 43% of fiscal year 2010 revenue, manufactures and markets printers and production systems and provides paper and document services to its customers. Geographically, 48.5% of revenue came from Japan, 16.2% from Europe, 12.3% from the Americas, and 22.9% from Asia and others.
For the fiscal year 2010, Fujifilm's consolidated revenue decreased 10.4% to ¥2.2 trillion from 2009. Despite increased sales of Flat Panel Display (FPD) materials and improvements in the digital camera business, the Imaging Solutions segment experienced a decrease in demand for color films, the information solutions segment had decreased sales in its graphic arts and optical device businesses, and the document solutions experienced lower sales due to lower demand. Overall yen appreciation adversely affected the company.
With over half of its revenue deriving from Japan, Fujifilm is highly dependent on Japan's economic condition. Weakness in the Japanese economy may adversely affect its operating results and financial condition, while a strong economy results in increased consumption and higher sales.
With the decline of traditional film sales due to the increasing popularity of digital imaging technologies, the company has put a focus on digital technologies. With digital camera sales volume increasing 10%, Fujifilm sold over 9 million digital cameras in 2010. In Japan, over 80% of digital camera demand is replacement demand, and for this reason, Fujifilm has been working to differentiate its cameras through in-house lens development.
Fujifilm operates in a competitive market with other Japanese and overseas photographic and imaging companies. They include: