Canon, the Japanese electronics group, reported a 13 per cent drop in second-quarter profit on Thursday as a stronger yen reduced the value of its overseas sales.

The manufacturer of cameras, printers and copiers generates about 80 per cent of revenues outside Japan, leaving it vulnerable to currency swings. The yen hit a 12-year high of Y96 against the dollar in March and was up 15 per cent in the year to June.