HTC shared its projections for the quarter today, revealing a positive outlook despite some mixed numbers. Even with sales of the HTC One (M8) meeting the company’s expectations, HTC is projecting that revenue for the second quarter of 2014 to come in slightly lower than it did in 2013. HTC is forecasting NT$65 billion ($2.16 billion) to NT$70 billion in revenue from April through June – a number that could be 2-8% lower than hat HTC was able to pull off in 2013.
While HTC’s projected revenue for the quarter isn’t that impressive, the company’s projecting net income between NT$923 million ($31 million) and NT$3.46 billion ($115 million), exceeding analysts’ expectations. If HTC hits the upper end of its projection, Q2 of 2014 could be the most profitable quarter for the company since 2012.
HTC CFO Chialin Chang revealed that the HTC One (M8) is already selling better than last year’s One (M7). Chang also expects “more effective and efficient marketing” will allow HTC to regain a portion of the market share that HTC lost in the past two years. He also stated that the company is increasing its media buy in 2014 which should give the HTC One (M8) a better fighting chance since the competition will most likely not be backing down their media presence.
The HTC One (M8) may be the phone which grabs all of the headlines, but HTC focusing has plans to “dominate the mid-tier” smartphone segment with the HTC Desire 816 which has already grabbed a lot of attention in China and is already making its way to Europe.
“We are aiming for incremental market share gain at all levels. The (M8) volume this year is better than last year, so if the market stays the same then our market share will grow.”
– Chialin Chang
HTC’s stock price jumped another 3.5% to before the projection numbers were released. We wouldn’t be too surprised is the stock picks up a few more percentage points when the market opens in Taiwan tomorrow.
good luck htc