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HTC’s Net Profit, Dismal Result For Last Q4 2012, Estimated Revenue of NT$60 billion

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HTC, the phone company from Taiwan has had a disappointing last quarter of 2012- its lowest results since 2004. Its revenues have fallen to NT$60 million compared to better figures of the previous year 2011-NT$101. These figures have gone against the pundits who predicted better numbers for HTC, this year.

Its net profits for the quarter has been NT$1 billion with a NT$ 1.21 earnings per share. For the last quarter, its net income was a mere NT$1 billion compared to NT$10.9 billion for the same period in 2011.

htc-sign-3110512165707

In the previous years, HTC has had a good record. Its Nexus smartphones in 2010 were well received. It was also largest seller of Android phones after Google in 2011. In 2012, it was Samsung which pushed aside HTC with its well received Android smartphones.

According to the CEO, Peter Chou this fall in profits can be attributed to HTCs competitors- Apple and Samsung. These phone companies are coming out with smartphones which are being marketed well.  Even Nokia with its windows phones has given HTC a run.

These dismal numbers also have HTC to blame to some extent of its woes. This company has had poor marketing strategies that have accounted for reduced sales. In the coming year, HTC is planning to revamp and focus on this area. HTC, meanwhile, will continue to strive to keep up with its innovations of new products.

HTC butterfly showed a good performance in Taiwan and Japan in Q4 in 2012. The Droid DNA has done well in the US. However, they have to come out with new ideas of presenting their new handsets in the new quarter which will end in March. They are aiming at revenues of NT$50-60 billion for the year and gross margins above 21%in the coming quarter.

Let’s hope things will look brighter for HTC.

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Filed Under: News Tagged With: HTC

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