HTC reiterates commitment to Windows Phone, issues strong Q2 revenue guidance on HTC One sales

HTC reiterates commitment to Windows Phone, issues strong Q2 revenue guidance on HTC One sales
HTC's stock got upgraded recently by analysts, but it wasn't because of a stellar last quarter, as today's financial release for Q1 shows, but rather the expectations going forward.

As the unaudited figures hinted last month, today's audited official report lists just $2.88 million net profit on $1.45 billion in revenue. For the current quarter, however, HTC gave much more optimistic guidance, thanks to the start of HTC One sales, and said revenue is expected to go up 63% to $2.5 billion. Gross margin is expected to hit 22-24%, while operating margin is to get to 1-3%.

As for the state of the industry, CEO Steven Chou had good things to say about the HTC One, unsurprisingly: "In February our teams set a new standard for smartphones, launching the new HTC One. The reviews of fans and critics alike have been overwhelmingly positive and we look forward to delivering on the promise of this device... We are working as hard as possible to meet the demand everywhere.”

Asked about the financial status of the company, Peter Chou said they are fine "in terms of cash flow," so no underfunded worries, and confirmed HTC plans to stick with both Android and Windows Phone going forward. On the topic of innovation, and copying it thereof, HTC's CEO stated: "In this industry, everything can be copied. I think there's no point [in] thinking you can prevent this... but whether they would get this original quality -- I think the most important [thing] is that you are first."

source: HTC via Engadget


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