Taipei, Taiwan – August 6, 2015 – HTC Corporation (TWSE: 2498), a global leader in mobile innovation and design, today announced consolidated results for its fiscal 2015 second quarter ended June 30, 2015. Key figures:
- Quarterly revenue of NT$33.0 billion with gross margin of 19.3%
- Quarterly operating loss of NT$5.1 billion with operating margin of -15.6%
- One-time charge for idled assets, prepaid expenses: NT$2.9 billion
- Quarterly net loss after tax: NT$8.0 billion, or -NT$9.7 per share
Weaker than expected demand at the high end, consistent with the current Android market, along with weak sales in China, lead to a year on year fall in the second quarter. Meanwhile, year-on-year shipment volume increases were seen in select key emerging markets.
HTC has begun to implement company-wide efficiency measures to reduce operating costs across the organization and ensure resources are appropriately allocated to future growth.
“While the current market climate is challenging, I firmly believe the measures we are putting in place to streamline our operations, improve efficiency and focus, and increase our momentum will start to show results over the coming quarters,” said Cher Wang, Chairwoman and CEO of HTC. “I am confident that our smartphone phone and connected devices strategy is the right one for HTC, and our corporate initiatives will ensure that we deliver on both our vision and business goals.”
HTC continues to invest in promising new product areas such as virtual reality, where the Company is working with over a thousand developers on content creation over a wide spectrum of applications including gaming, entertainment and education, to ensure a compelling ecosystem ahead of the highly anticipated launch of HTC Vive at the end of the year.
3Q 2015 Outlook
HTC is providing the following guidance for this quarter:
- Revenue is expected to be in the range of NT$19 billion to NT$22 billion
- Gross profit margin is expected to be 19% to 19.5%
- EPS is expected to be in the range of -NT$5.85 to -NT$5.51
Quarterly Results Conference Call and Webcast
The webcast of the Q2’15 quarterly results conference call may be accessed at: http://edge.media-server.com/m/p/98hnbh4y
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