HTC's Financials are Getting Worse; Things Look Very Grim and Investors are Bailing

Discussion in 'Android News' started by dgstorm, Aug 8, 2012.

  1. dgstorm

    dgstorm Editor in Chief
    Staff Member Premium Member

    Joined:
    Dec 30, 2010
    Messages:
    11,015
    Likes Received:
    3,981
    Trophy Points:
    823
    Location:
    Austin, TX
    Ratings:
    +4,256
    [​IMG]

    Things are looking pretty dire for HTC, the former darling of the Android smartphone industry. Their newest financials were revealed and things have gone from bad to worse. Our previous report indicated that profits had slipped by a large margin, but now their revenues have dropped significantly as well, and investors ran for the hills.

    HTC's profit dropped by 58% in the second quarter, as we reported previously, but in the third quarter, not only did they lose profit, they also lost 23% of their sales and their revenue dropped by 45%. Because of these grim numbers, investors have been more than skittish. HTC's stock price has dropped by 50% over the year, and shaved off over $1 Billion dollars from their market cap.

    They are trying to offset these massive losses in Europe and the United States by moving into the growing Chinese and Indian markets, but their gains there have not offset any losses yet. The main problem isn't that they make poor products. The HTC One series, and especially the One X, have been getting excellent reviews across the board. The problem is branding presence. Right now, Apple's iPhone and Samsung's Galaxy series are dominating the landscape in terms of consumer attention.

    Could HTC be the next big company to start crumbling like RIM and Nokia? What would it take to turn things around?

    Source: HTCOneForum via BGR
     
  2. LoudRam

    LoudRam Senior Member

    Joined:
    Dec 18, 2010
    Messages:
    1,431
    Likes Received:
    137
    Trophy Points:
    63
    Location:
    Southern NJ
    Ratings:
    +146
    Current Phone Model:
    Moto X
    That stinks. I've owned nothing but HTC's and I loved them all. That's going to be really lame if the only choice I have for a phone is Samsung or Moto. I'm really not crazy about either one of those brands.

    Sent from my HTC Rezound using Droid Forums
     
    • Like Like x 2
  3. [SP]JESTER

    [SP]JESTER Developer
    Developer

    Joined:
    Sep 26, 2010
    Messages:
    47
    Likes Received:
    2
    Trophy Points:
    8
    Ratings:
    +2
    If they updated their products they might not lose people
     
    • Like Like x 2
  4. cellhead

    cellhead New Member

    Joined:
    Jun 30, 2010
    Messages:
    5
    Likes Received:
    0
    Trophy Points:
    1
    Ratings:
    +0
    Agreed, love my Rezound!
     
  5. dgstorm

    dgstorm Editor in Chief
    Staff Member Premium Member

    Joined:
    Dec 30, 2010
    Messages:
    11,015
    Likes Received:
    3,981
    Trophy Points:
    823
    Location:
    Austin, TX
    Ratings:
    +4,256
    I have to agree. I think this is sad news. But, we can't count them out. Perhaps they will figure out the magic formula to get back in the game!
     
    • Like Like x 3
  6. johnomaz

    johnomaz Silver Member

    Joined:
    Jul 12, 2010
    Messages:
    3,064
    Likes Received:
    562
    Trophy Points:
    178
    Location:
    Central Valley, California
    Ratings:
    +675
    Current Phone Model:
    LG G4
    When the Thunderbolt was new, my wife got one and I have to say I never liked the device. I think SenseUI is worse than Blur. The feel of the device isn't good in my hand. The only thing I like about the TB is the kick stand that is built in. Same goes for current Moto phones. I'm not fond of the RAZR look or feel. My S3 is my first S3. Never used one before either and I'm beyond happy with it and I preordered it. I had no idea if I'd like it and I dont' mind returning a phone but I liked it as soon as I held it. Not every company will survive. There will be successful ones, mediocre ones and failures. HTC just seems to be going down the failure road.
     
  7. LoudRam

    LoudRam Senior Member

    Joined:
    Dec 18, 2010
    Messages:
    1,431
    Likes Received:
    137
    Trophy Points:
    63
    Location:
    Southern NJ
    Ratings:
    +146
    Current Phone Model:
    Moto X
    Maybe if it gets really bad someone that knows how to market a great phone will buy them out. That's what is killing them. The Rezound is a top tier phone even now a year later, it can easily hold it's own against almost any phone out there but it was marketed as an overpriced mp3 player.:mad:
     
    • Like Like x 2
  8. cybertec69

    cybertec69 Silver Member

    Joined:
    Apr 19, 2010
    Messages:
    2,207
    Likes Received:
    267
    Trophy Points:
    148
    Location:
    Staten Island, NY
    Ratings:
    +318
    Dito.
     
  9. tjk629

    tjk629 Silver Member

    Joined:
    Jan 5, 2010
    Messages:
    3,040
    Likes Received:
    65
    Trophy Points:
    113
    Ratings:
    +65
    Current Phone Model:
    NEXUS 6
    How did HTC fall so far?
     
  10. cobravnm13

    cobravnm13 Senior Member

    Joined:
    May 2, 2011
    Messages:
    1,767
    Likes Received:
    49
    Trophy Points:
    93
    Location:
    Alabama
    Ratings:
    +54
    Apple.

    Sent from my 3rd reincarnation of the ever-so-lovable Droid
     
    • Like Like x 1
  11. MissionImprobable

    MissionImprobable Silver Member

    Joined:
    Sep 5, 2011
    Messages:
    2,029
    Likes Received:
    135
    Trophy Points:
    128
    Ratings:
    +162
    What did people know the HTC Thunderbolt as? The Droid Thunderbolt. What did people know the Rezound as? Nothing, because it was horribly marketed. They have a lot of love from the modding community, but if I asked the average person what they think of HTC phones they probably couldn't name a single one. Sad that they've both failed there, as well as upsetting some fans with lackluster update timetables and locked bootloaders when they were promised to be delivered unlocked.
     
  12. xeene

    xeene Silver Member

    Joined:
    Jun 28, 2010
    Messages:
    2,552
    Likes Received:
    657
    Trophy Points:
    178
    Location:
    usa
    Ratings:
    +752
    droid thunderbolt? first time i'm hearing that. htc has nothing that makes it stand out from other phone manufacturers and buyers agree with their pocketbooks. beats > gimmick. battery life = none existent. sense = insignificant.

    watch samsung buy out htc.
     
Search tags for this page

htc financials