Q2 numbers are it: the HTC U11 failed to return HTC to profitability
HTC has shared its Q2 earnings report for 2017, marking the company’s 9th quarterly loss. Revenue for the quarter came in at NT$16.1billion with a gross margin of 13.7%, but the company’s operating costs exceeded its income yet again, resulting in a net loss of NT$2.2billion or $72.47 USD.
With all the positive reviews of the HTC U11 circulating the web, some were expecting that sales of the new phone would help significantly reduce HTC’s losses for the quarter if not eliminate them completely. The good news is that Q2 of 2017 was the second best quarter HTC has had since Q1 of 2015 when the company managed to pull in $11 million in profits.
As we’ve stated before, the HTC U11 is a step in the right direction for HTC. Unfortunately, lack of retail availability and sales support from major US carriers has limited the phone’s sale potential. Hopefully, sales of the phone will continue to grow in Q3, but it’s doubtful that it’ll reach the momentum needed to return HTC to profitability in 2017.