HTC's struggling sales is no secret. It's because of this and other negative profit results among manufacturing problems, that there has been a shift in positions for many of HTC's high level executives. The most recent change from the Taiwanese company is the move to hand over HTC CFO Chailin Chang the responsibilities of Global sales studies, which was previously handled by HTC America President Jason Mckenzie. According to Bloomberg, the news of this responsibility swap came today in an emailed response.
A handful of problems have caused HTC to change up a lot of their strategies in an attempt to stay afloat and gain some ground in the smartphone market. With issues like cheaper competition and delays in manufacturing, and quality control being some of the biggest issues they have faced. All these issues have resulted in HTC falling short of sales estimates for a 9 quarter run.
Today's role switch isn't the only one we've seen recently, as there have been a total of six senior executives that have been removed from their positions in the last three years, which was obviously a move to better HTC's situation. Among the other downfalls that HTC has seen lately, they have reported their first ever quarterly operating loss. As a first for HTC and a big one at that, these changes in high level positions are meant to prevent a second quarterly operating loss, which HTC can avoid if they meet their goals for Q4.
Chang who has been CFO since April of last year, has made many changes to some of HTC's operations since his appointment, including reorganizing China operations, and cutting spending to research and development. Although these decisions were made with good intentions they still couldn't prevent a decline in HTC shares which has fallen 52 percent just this year. All of HTC's continued restructuring could be just what the company needs, but will this most recent change help them or hinder them further? With rumors on the horizon that HTC will be releasing a sequel to their popular One handset, hopefully HTC can finally pull ahead.