Jan 06 AT 9:53 AM Nick Gray 38 Comments

HTC hits a brick wall – revenue and profits decline in Q4 of 2011


HTC’s growth streak has come to an end. HTC has released its unaudited results for Q4 of 2011, revealing that the company’s revenue stream was down 2.49% from the same quarter last year. Total revenues for the quarter reached NT$101,419 million while net income after tax was NT$11,017 million, a 25% decline from the previous year.

The decline in total revenue was certainly not a surprise to investors since HTC revised its earnings projections for the quarter in late Q3 which was then followed by a 20% drop in year-over-year earnings in November. While HTC may no longer be breaking any of its own sales records, the company’s outlook is anything but bleak. HTC is projecting to report NT$465,795 million in revenues for 2011 which is 40% higher than 2010’s numbers.

While HTC’s profits are certainly not as impressive as Samsung’s, we suspect this little hiccup for the fourth quarter of 2011 is directly related to its handset release cycle which had a very impressive showing in 2010 when the T-Mobile G2, HTC Desire HD and Desire Z launched across the globe. We’re not sure what HTC has planned for CES, but let’s hope it’s enough for the company to post some positive numbers for the first quarter of 2012.

What do you think HTC needs to do be successful in Q1 of this year?

Via: Engadget

Source: HTC

Nick is a tech enthusiast who has a soft spot for HTC and its devices. He started HTCsource.com (the first HTC blog) back in 2007 and later joined the Android and Me family in the summer of 2010.

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