Photo quality from the FZ40 is mixed. Photos are very good up to ISO 200 with nice color and relatively low noise. But as soon as you jump up to ISO 400, noise and Panasonic's JPEG processing result in soft smeary details and yellow blotching. ISO 800 is usable at small sizes, but more of the same effects as seen at ISO 400 are visible. Photos taken at ISO 1,600 are just plain bad with noise and color issues. However, if you don't mind shooting in raw or raw plus JPEG, you can process the images yourself and get much better results. Unfortunately, you pay a performance penalty for shooting in raw as it drives the shot-to-shot time up to 4.1 seconds.