HTC

HTC’s ship continues to fill with water as revenue numbers drop further

HTC’s ship continues to fill with water as revenue numbers drop further
Not that far back in time, HTC had more than 10% of the global smartphone market, but in recent years the company has seen a decline in numbers to the point where it’s not even worth mentioning in statistics. The latest financial figures coming from HTC show that things are only getting worse and at a faster rate.

The consolidated revenues of the company fell 37.23% in just a month and 77.41% compared to July 2017. To get an idea how bad the situation is, the last time HTC had such low revenue was in August 2003. The company’s total revenue for 2018 so far is around $544.6 million and while that’s no small figure, it’s 54% lower than it was for the same period last year.

The company’s revenue for the second quarter of 2018 came to $222.2 million, but it recorded a net loss of $68.3 million. One of the few positives HTC had in 2018 came from selling its original design manufacturing division to Google for $1.1 billion. The move kept HTC on the positive side in the accounting books with a net profit of $621 million for the first half of 2018.

The phone maker continues to release flagship devices (latest one is the U12+), but they make almost no impact on the market. One of the positive contributors at HTC is the VIVE virtual reality headset, but the VR industry is not mainstream enough for its 12% device share worldwide to bring sufficient revenue.

If the company’s restructuring efforts and spending cuts don’t have the desired effect, the day we’ll see the last HTC smartphone might not be too far in the future.

source: DigiTimes

FEATURED VIDEO

21 Comments

1. deanylev

Posts: 234; Member since: Mar 11, 2014

$621? Is that a typo, or was the difference between profit and loss roughly one phone sale?

4. georgi.z

Posts: 13; Member since: Aug 07, 2018

Forgot to add "million". Fixed now, thanks for pointing it out.

2. Zomer

Posts: 361; Member since: May 31, 2013

They're a small player these days and that certainly doesn't help when you negotiate with suppliers, which is probably also the reason why their screens are inferior.

3. STRANG3R

Posts: 234; Member since: Sep 24, 2015

They are launching half baked products with huge price tags they deserve this

12. vandroid

Posts: 405; Member since: Sep 04, 2012

And they still won't learn from their mistakes. I doubt they will

5. Aircrackng

Posts: 56; Member since: Jan 09, 2015

I think people stopped buying them since their resale value had always been extremely low... Like insanely low. Why would you buy a phone at flagship price and then exactly one year later it's worth like 1/10 of what you paid.

9. 36thDisciple

Posts: 28; Member since: Apr 21, 2014

I bought a U11 Eyes six months ago at what I would almost consider to be flagship price. A month later the same seller cut it down by $150. It shipped with Nougat and will never be updated beyond that. Moral of the story - I am stupid.

21. taz_chaz

Posts: 135; Member since: Aug 29, 2014

they r good phones just their support is quite questionable

6. Sparkxster

Posts: 1245; Member since: Mar 31, 2017

HTC has fallen out of relevancy with consumers especially since you can't walk into a carrier and buy an HTC phone. Hope HTC can turn it around.

7. raiter

Posts: 38; Member since: Mar 10, 2014

Sad, that other competent phone maker is going to disappear. Sony, Blackbery, Motorola and LG are on the same edge of losing market and considering their perspective in mobile market. Therefore mobile market goes towards small choice between few monopolists (Apple, Samsung, Huawei, Xamomi), and other/small/fancy/cheap chinese brands.

8. Trex95

Posts: 2383; Member since: Mar 03, 2013

Went to mobile shop 2 weeks ago looking for G7 and U12 plus and I couldn’t found any of these phones asked the sales man about both phones he told me that store not selling anymore any lg or Htc phones not even mid range phones.

10. MarvzIsFallen

Posts: 646; Member since: Aug 11, 2017

R.I.P HTC. They should copy apples’ design and os for them to survive.

11. Rigmaster

Posts: 234; Member since: Jan 22, 2018

Should have done anything and everything to get the Pixel lines. Missed. Get the paddles....

13. worldpeace

Posts: 3135; Member since: Apr 15, 2016

If it's not because Google let them making Pixel phone, they'll already gone long time ago.. They just can't learn.

14. domfonusr

Posts: 1094; Member since: Jan 17, 2014

… time to sell out... Well, maybe that was last year or earlier than that, even, but they need every penny they can get as they shut down operations. Long past abandoning-ship time now... everybody at HTC get out while you still can, if you can...

15. midan

Posts: 3117; Member since: Oct 09, 2017

They have near zero brand name among consumers these days. Phones are very expensive and people don't easily chose brand which they don't know or trust

16. ijuanp03

Posts: 659; Member since: Dec 30, 2014

We usually are the first ones (Southeast Asia) to get the latest HTC phones out in the market. But it's been months and there is no HTC U12+ in sight. I'm a huge HTC fan but (currently own the U11+) but this is a turn off even for me. Good thing I've accepted their fate and will continue using Motorola or Huawei.

17. fyah_king unregistered

Soon, it's gonna be only Apple and cheap android phones.

18. Trex95

Posts: 2383; Member since: Mar 03, 2013

Samsung and Huawei still around.

20. ijuanp03

Posts: 659; Member since: Dec 30, 2014

Soon, it's gonna be expensive android vs cheap android phones.

19. horialin

Posts: 23; Member since: Jan 29, 2014

Huge fan I was. I had like 7-8 HTC phones in the family. Bought A9, with all the fuzz about the updates. ONLY ONE major update. ONE. That phone died on nougat. The U11+ is still with december security. I remember the days when M7 got all those Sense and OS updates. Sorry HTC, I am a Pixel now. Again, ONE update on A9.

Latest Stories

This copy is for your personal, non-commercial use only. You can order presentation-ready copies for distribution to your colleagues, clients or customers at https://www.parsintl.com/phonearena or use the Reprints & Permissions tool that appears at the bottom of each web page. Visit https://www.parsintl.com/ for samples and additional information.