HTC reports first quarterly loss as a public company
CNATAIPEI -- Taiwan's smartphone maker HTC Corp. reported its first quarterly loss as a public company Friday, citing a poor operating margin in the third quarter of this year.
October 5, 2013, 12:01 am TWN
HTC said its consolidated revenues for the Q3 amounted to NT$47.05 billion (US$1.605 billion), falling short of its projected target of NT$50 billion and representing a 29.3 percent quarterly decrease.
As a result, the company incurred a net loss of NT$2.97 billion for Q3, or NT$3.58 per share diluted, it said in a statement.
HTC reported consolidated revenues of NT$70.7 billion for Q2, up 65 percent from its Q1 revenues of NT$42.8 billion.
The company posted an earnings per share (EPS) of NT$1.5 for Q2, compared with NT$0.1 in the first quarter.
With its Q3 loss eclipsing all of its earnings for the first half of the year, HTC will have a hard time breaking even or posting a profit for the whole year.
HTC's consolidated revenues declined 29.91 percent in the first nine months of the year to NT$160.5 billion.
With good sales of its new handsets that were launched in September, HTC's consolidated revenues climbed by a monthly 38 percent in September to NT$18.15 billion, but was 14.11 percent below the year earlier level.
Looking ahead, HTC said recently that its sales will rebound in Q4 with the launch of new models.
The company's 5.9-inch flagship HTC One Max has cleared regulatory approval in Taiwan and China. Market analysts said the new smartphone model is likely to hit store shelves in mid-October to cash in on the year-end shopping boom.
HTC was founded in 1997 and its shares have been traded on the Taiwan Stock Exchange since early 2002.