Oce reports Q1 revenues were down 6% (from a year ago) to US$868 million (approx.). The company provides these reasons for slumping sales:
- Strong decline [of digital printing industry] in a broad range of market sectors -- except for resilient sectors of government, health care, education and utilities.
- Decisions to replace existing equipment often postponed.
- Investments to transfer print volume from analog presses to digital printers reduced in pace.
- Print volumes under pressure in all segments except for new applications.
- Outsourcing of document management services continues to grow.
The company is relying on recurring revenue streams and adding various markets and geographies. Its products seem competitive in graphic arts and display graphics. And it is speeding up its cost reduction plan.
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