HomeNewsHTC’s Revenue Down 13% YoY, but Smaller Losses

HTC’s Revenue Down 13% YoY, but Smaller Losses

Taiwan’s HTC on Tuesday announced worse than expected fourth-quarter results and analysts said its much-hyped virtual reality products had failed significantly to boost the struggling smartphone maker. The latest financials for the phone maker show a 13% decrease in revenue year-over-year, though the losses are just slightly lower than previous quarters.

In Q4 2016, the company had little to show in terms of interesting products, launching only a select few low- and mid-rangers, a fact reflected by its sales numbers.  Revenue from October to December was down 13.62 percent year-on-year to TWD 22.2 billion (US $720 million). The net loss was TWD 3.1 billion, an improvement on the year-before loss of TWD 3.4 billion, a company statement said.

On the slightly better side, that’s an improvement compared to its loss of NT$4.1 billion ($133.1 million) in the fourth quarter of 2015. Part of the reason for that improvement might be due to HTC’s claim that it has cut down its operating expenditures by 34 percent.

The homegrown Taiwanese brand has been struggling in the face of stiff competition from international rivals Apple and Samsung as well as strong Chinese brands like Huawei. HTC has already announced two new phones that are due to be released shortly, both of which are using its new “U” branding for its flagship devices. One of the phones, the HTC U Ultra, is already available for pre-order, with the first unlocked models scheduled to begin shipping in early March.

The company has already stated it plans to only launch six or seven new smartphones in 2017, compared to as many as 12 handsets in 2016. HTC was also the design and manufacturing partner for Alphabet’s new Google-branded Pixel handsets, which launched during the quarter. But there are few signs that relationship has translated into substantial sales revenue for HTC.

Read Also: Can HTC 10 be the saviour of a sinking ship?

Previous post
Samsung reportedly wins $4.3 billion OLED supply contract from Apple
Next post
BlackBerry Suing Nokia Over Network Related Patent Infringements