Unaudited Q3 numbers reveal HTC remains profitable despite sales slump
As usual, HTC has released its unaudited results just days after the close of the quarter. The numbers are laced with good and bad news. HTC’s revenue dropped 35% from NT$65.1 billion in Q2 to NT$41.86 billion in Q3 with net profits plummeting 72% from NT$2.3 billion to NT$0.64 billion.
The good news is that HTC has posted positive numbers in two consecutive quarters, adding nearly $100 million to the company’s bottom line. HTC has been trimming it operational costs in order to maintain profitability. While there’s only so much that can be cut from the budget, a lean operation means we would easily see the pendulum swing in the opposite direction at any time. If one of HTC’s products starts resonating with consumers, a slight increase in revenue could have dramatic implications on HTC’s profitability.