HTC faces possibility of first loss in company’s history, missing even pessimistic analyst forecasts
HTC has followed its disappointing Q2 results by issuing revenue and profit warnings for Q3 suggesting the company may make its first ever loss in its 16-year history.
- 3Q revenue is expected to be in the range of NT$50bn to NT$60bn ($1.7 to $2M)
- Gross profit margin is expected to be in the range of 18% to 21%
- Operating margin is expected to be in the range of 0% to -8%
The forecast revenue is below the average of 22 analysts polled by Reuters, and its projected operating margin of between 0 and -8 percent falls below most of the more pessimistic forecasts. Operating margin is essentially net profit margin before taxes, interest payments and dividends. Its operating margin for Q2 was just 1.5 percent.
It’s an ironic position for the company to find itself in not long after launching what we consider to be the best Android handset on the market … Expand