HTC was once the greatest name of the Android phone manufacturers. Creating the first consumer Android phone, the G1, as well as creating the first Nexus branded phone, the Nexus One. However, it appears that HTC has fallen off its throne as one of the top android manufacturers with little hope of recovery.
News with HTC has been grim this year at best. Just this year HTC has pulled-out of selling their phones in South Korea and Brazil. In order to try and focus on the markets they still pull profit in, as well as losing court battles with Apple. However, with HTC’s newest profit numbers, things still don’t look too good for the Taiwanese company.
With stocks being down 65.65% from this time last year, HTC released their Q3 profits, as well as their outlook for the next quarter. They reported revenues of NT$70.2 billion or US$2.4 billion and with that a gross margin of 25% and an operating margin of 7.0%. Over all, their net-profit was at US$133 million, and US$0.16 earnings per share.
This puts revenues from Q3 2011 down around 48%. HTC also put out an outlook from Q4 of 2012 with expected revenues of US$2.05 billion, a gross margin of 23% and an operating margin of 1%. Taking their profits down another 14% in one of the busiest seasons of the year.
However, HTC did remain optimistic as the US market has remained profitable for them, as well as a new device under the name “Operaul” that has just appeared this week on a benchmarking results. Only time can tell if HTC will be able to pull themselves out of this tailspin.