x PhoneArena is looking for new authors! To view all available positions, click here.
  • Home
  • News
  • HTC reports operating loss of $101.3 million for the third quarter

HTC reports operating loss of $101.3 million for the third quarter

Posted: , by Alan F.

Tags:

HTC reports operating loss of $101.3 million for the third quarter
For the first time in the history of Taiwan based HTC, the company has reported a quarterly loss. For the third quarter of 2013, HTC reported an operating loss of $101.3 million USD. This is not a surprise considering that the company had already warned everyone to expect it to report its first operating loss in history for the the three month period. As we told you on Wednesday, the value of the company's shares are at an 8 year low.

HTC also reported total third quarter revenue of $1.6 billion USD (NT$47.05 billion). For the quarter, the operating loss before tax was $119.4 million USD (NT $3.5 billion). The aforementioned operating loss after tax amounted to $101.3 USD million (NT$2.97 billion). On a per share basis, HTC lost 12 U.S. cents a share for the three months (NT$3.58).

The previous quarter, HTC had revenue of $2.35 billion USD (NT$70.7 billion), operating income of $42 million USD (NT$1.25 billion) and earnings per share of 5 U.S. cents a share (NT$1.50). You can see how sequentially, HTC ran into some major problems for the third quarter.

For the fourth quarter, we should see the still unannounced HTC One Max get launched. Hopefully for the company, a launch will occur in time for the holiday shopping season. While the HTC One Max is going to have some competition from the Samsung Galaxy Note 3, the Sony Xperia Z Ultra and the unannounced Nokia Lumia 1520, there are those who do favor the design of the HTC One and have been waiting for a phablet sized version of the phone.

While HTC CEO Peter Chou is apparently safe for now, another quarter like this one could leave HTC looking for a new chief executive. The high profile (not to mention expensive) ad campaign starring Robert Downey Jr. was a major flop and the manufacturer needs to get its marketing back on track. Yes, the HTC One is  HTC's most well received phone in years, and certainly shows the strength of an aluminum unibody against Samsung's plastic models. But if you can't communicate what you have to offer to the public, you won't be able to make sales.

source: HTC via AndroidCentral

21 Comments
  • Options
    Close




posted on 03 Oct 2013, 22:04 8

1. nnaatthhaannx2 (Posts: 820; Member since: 19 Oct 2011)


Ouch.
Help This Company!

posted on 03 Oct 2013, 22:06 2

2. Cha7520 (Posts: 209; Member since: 31 Oct 2010)


Bye Bye HTC :-(

posted on 03 Oct 2013, 22:19

3. alltechinside (Posts: 236; Member since: 21 Apr 2013)


Poor HTC... HTC's problem is not their devices, its their strategy. HTC One is a great product (possibly the best phone for 2013), but after HTC first, things hasn't gotten their way.

HTC First hardware wise, it is pretty decent, but slapping facebook home isn't such a good idea. Never understood why HTC done it with facebook in the first place. Poor strategy from HTC's part.

Their marketing has gotten terribly as well. I remember that one of the HTC marketing leader said that "if only we had the money that samsung has on marketing".... Even if HTC had the kind of money samsung had, they waste it on ads that doesn't make sense to the average users (remember the ad with Robert Downey Jr?)

HTC should stop wasting money on stupid ads or partnering up with a different company (Audio Beats, Facebook, etc)

All HTC needs to do is make products like the HTC One....(and perhaps hire a new marketing team)

I hope HTC does better because we all win as a consumer if there are more competitions :D

posted on 03 Oct 2013, 22:19 1

4. GeekMovement (Posts: 1499; Member since: 09 Sep 2011)


RIP ): I would've kept the HTC One had it not gotten so hot quickly in my hands. Aside from that, it was a pretty well made handset. HTC Evo were the good days..

posted on 03 Oct 2013, 22:20 7

5. iluvsonynokia (Posts: 87; Member since: 27 Aug 2013)


reduce price of HTC phones and avoid ultra pixel camera then you can survive

posted on 03 Oct 2013, 22:27 2

6. Yubnub (Posts: 100; Member since: 23 May 2013)


Meanwhile, back at Samsung...

posted on 03 Oct 2013, 22:46 1

7. Shatter (Posts: 1985; Member since: 29 May 2013)


HTC doesn't understand removeable battery and micro SD was the main reason that people bought S4 or HTC Ones.

posted on 03 Oct 2013, 23:29 1

8. chocolaking (Posts: 430; Member since: 22 May 2012)


nah.. i didn't give a sxhit of micro SD and the battery..
I just don't need them.
it's good and useful maybe 5 yeras ago...

posted on 03 Oct 2013, 23:53 2

11. taz89 (Posts: 2014; Member since: 03 May 2011)


i think for many people even if they dont use it they like the idea of having that option. say someone goes to a store and sees a phone with a sd card slot and one without it, they might be thinking to themselves or a sales person might say hey look this one has a sd slot so you can add more memory for just £10 or so and even though they may never get a sd card in there mind they might like the idea of that option. just my thought

posted on 04 Oct 2013, 02:43

17. AwesomestMaximuss (Posts: 113; Member since: 09 Jul 2013)


5 years ago?? Sd cards these days are faster and cheaper than the internal memory...you can buy a 16 gigs version of some phone and add another 64 gigs(128 gigs or more coming in the next few months) for a much cheaper price than having the model with 64 gigs of internal memory...and in many cases,if u have a good class 10 sd card(or faster cards from Samsung and sandisk),your external memory is gonna be faster than your internal one...With 4k resolution media,large music files(flacc,etc) and hi-res photos becoming common, we need more space..
And most ppl do understand this...so there are very few who don't care for an external memory..ppl buy iphones but an external memory option is one of the most asked feature in a newer iphone(among other things such as a bigger screen)..

posted on 03 Oct 2013, 23:35

9. JMartin22 (Posts: 756; Member since: 30 Apr 2013)


Removable battery and SD card is one argument. But the reason people bought the GALAXY phone is simply because it's GALAXY. That brand awareness is the second greatest thing here in mobile tech. And despite how you people bash the Galaxy line up for their look and material..

IT'S THE MAIN REASON PEOPLE BUY IT! Because of the signature design aesthetic that's discernible, kind of how iPhones stand out. Appearance and brand awareness go hand-in-hand. And the out-of-touch tech community doesn't seem to understand this when they wonder why a "premium" metal phone gets outsold by a "toy".

posted on 04 Oct 2013, 00:01

13. taz89 (Posts: 2014; Member since: 03 May 2011)


couldnt have said it better myself..online people ie people who comment on tech sites etc are for the most part live in there own little world not realising that aluminium doesnt equal success and are always mocking samsung or apple for keeping a similar looking design but dont realise that the design is part of a brand awareness and people want others to know they have a galaxy or an iphone. sure new design would be nice but i can see why apple or samsung dont change design too drastically.

posted on 03 Oct 2013, 23:50 1

10. Taters (Posts: 2654; Member since: 28 Jan 2013)


HTC just sucks. It is obviously not just marketing. HTC puts money into marketing and they see their first lost ever. Not a coincidence.

I know the HTC shills will just say that they market wrong but I think it is about time that they just admit that HTC products just are not desirable. They have ton of issues and I have seen the HTC One right next to a GS4 at every rogers, carrier, best buy etc and when customers make comparisons, they still like the GS4 better without knowing it is a Samsung. Not a coincidence.

posted on 03 Oct 2013, 23:58

12. Muayyad (Posts: 102; Member since: 05 Oct 2012)


False

posted on 04 Oct 2013, 05:25

19. CanYouSeeTheLight (Posts: 761; Member since: 05 Jul 2012)


Implies others are shills, the only thing he does is hate on HTC and worship Samsung. Get a life.

posted on 04 Oct 2013, 00:15

14. galanoth (Posts: 302; Member since: 26 Nov 2011)


HTC spent $1 billion on marketing and they are still taking a loss.
HTC should have stuck with the Evo branding.
HTC Evo in 2010. Evo 2, Evo 3, HTC Evo 4 to go against Samsung Galaxy S 4.
4 years on building a brand name for their top tier phone line.

posted on 04 Oct 2013, 01:22

16. jaychildz (Posts: 104; Member since: 31 May 2013)


Keep in mind the EVO was Sprints branding HTC provided the phone...i think but either way the carrier branding is what they were trying to move away from. They were the best though. 4G 3D LTE

posted on 04 Oct 2013, 01:03

15. itsdeepak4u2000 (Posts: 2429; Member since: 03 Nov 2012)


Lower your phones' prices HTC.

posted on 04 Oct 2013, 04:32

18. dmakun (Posts: 148; Member since: 06 Jun 2011)


The HTC one looks good but is it really selling compared to Samsung's offering? All this hype about the premium aluminium build is only making rounds on tech sites just making noise. It's a farce to believe building aluminum phones alone will improve sales for a company that as lost its customers simply because it's design & business strategies (software & hardware) is in direct conflict with whats its isomers want & expect. HTC's ceo should have long been fired! Any android flagship needs cutting edge specs from the battery to its camera (megapixel numbers counts too @least to the ordinary consumer who needs to believe they are paying for something "premium").

Samsung understands this whilst HTC reads biased reviews from John V and thinks they should go the apple" design" route to improve sales for a android device.

posted on 04 Oct 2013, 06:04 1

20. Edmund (Posts: 654; Member since: 13 Jul 2012)


The quality of their phones is too inconsistent, which ends up leaving a bad taste in consumer's mouths. Even today, their flagship model - the HTC One - is plagued with hardware issues like unresponsive buttons, overheating, and a camera that doesn't always work properly under low light.

posted on 04 Oct 2013, 14:25

21. alcheng (Posts: 7; Member since: 10 Nov 2012)


They do o have a very nice phone... the Butterfly S, can beat most of the flagships from other brands easily...
however.. it is not available to most of the markets...

really don't understand the strategy of this company..

make good phone.. but don't open the market globally...

Want to comment? Please login or register.

Latest stories