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Revenues decline by 13% as HTC gets past another disappointing quarter

15 February 2017 4

The once thriving Taiwanese smartphone maker HTC has gone from achieving the heights that reinvented luxury to revealing a really disappointing financial end to the year of 2016 and it’s not the first time the company’s facing such a scenario. Having gone up from a $133.1 million loss in 2015 to $116 million last year doesn’t really look much like an improvement wherever we look at it from.

As the company looks up to another event at the MWC, we know for a fact that it’s risky how HTC is switching up from smartphones to VR tech and that’s probably where it all went wrong. While most companies release something new along with the launch of a product they’ve thrived in, HTC seems like it has strayed away from what it used to be and we can now see how it’s proving costly for the company.

The net revenue for the company in the last year’s final quarter endured a 13% downfall to going down to $720.7M but the company hopes to better by the next quarter as the figures have in the Q4 of 2016 weren’t as bad as what HTC has suffered in the recent past. The gross margin, though, has worsened quite a bit going down from 13.9% in the final quarter of 2015 to 10.5% in the same quarter of 2016 but the company’s operation margin has still survived to be the same from the fiscal report last year.

With much focus on its VR Tech, HTC is determined to keep endorsing the Vive VR Play along with the launch of several mid-range smartphones from known houses like that of the Desire and Evo. All’s not bad for the company as it remained one of the few manufacturers involved in designing Google’s Pixel & Pixel XL and that’s certainly is going to boost up something for the company in the next quarter.

(last update 18 January 2020 @ 22:24)

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Revenues decline by 13% as HTC gets past another disappointing quarter
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JustinBroad
JustinBroad

As far as HTC is concerned, the HTC 10 didn't perform up to the mark as was expected. The way LG G5 failed for LG, it was the 10 for HTC. This was a big disappointment as a lot was expected out of these phones for the respective companies.

PrajaktaSurve
PrajaktaSurve

I really feel sorry for the company whenever I read about them, especially the financial losses. This easily proves that fate can take one up and bring down, be it an individual or even a company.

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