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HTC Posts Small Net Profit, While Also Posting Their Second Consecutive Operating Loss

January 5, 2014 - Written By Tom Dawson

 

Last year was an important year for HTC, for all the wrong reasons. It wasn’t so much an important year from the standpoint they made the comeback they were looking for but, more so because they realized that things have to change if they want to survive. To that end, HTC focused their high-end efforts mostly on the HTC One, with the HTC One Max making a last minute appearance in the Fall of 2013. This focus on just the one white knight was, at first, a health tonic for the company however, over time it soon showed that the problems went much deeper than simply having too many smartphones on the market. Things are getting much better for HTC but, it looks like 2014 could be the fresh start they’re in dire need of however, a bumpy ride is still expected.

As Engadget is reporting, HTC have managed to post a very small net profit for the final quarter of 2013 however, in the same breath they also managed to post yet another operating loss. Which leaves them will two quarters in a row resulting in operating losses. It’s said that the sale of their share in Beats, which they sold for $265 Million last year was what led them to this tiny sliver of hope. So, for the final quarter of 2013, HTC managed to post a net profit of NT$310 million ($10.3 million) yet still, they posted an operating loss of NT$1.56 billion ($52 million). How bad are these latest figures from HTC? Well, not as bad as you might first think, a small net profit is good to see and they managed to trim their operating loss of Q3 of 2013 by roughly half, to just $52 Million, compared to NT$2.97 billion ($101 million).

Are things looking up for HTC? Well, not really but, it is beginning to look like the dark clouds have parted to let a little bit of sunlight through. 2014 will be a crucial year for HTC, efforts to focus on the lower-end of the market in Taiwan and Asia haven’t down much for the company’s bottom line. The money is still very much in high-end devices like the HTC One and the One Max, as such the rumored successor to the HTC One will be a very important launch for HTC, indeed.