According to Reuters, Taiwan smartphone maker HTC likely to report a much lower –than-expected revenue in its first quarter. The company will sees a drop in revenue of around 33%-38% to T$65 billion-T$70 billion, from $T$104.16 billion in the previous year. Adding further, the smartphone maker is expecting its first-quarter gross profit margin to be 25% while its operating profit margin would likely be 7.5%. A poll among 19 analysts conducted by Thomson Reuters reports that HTC would see T$89.64 billion (about $3.04 billion) in revenue this quarter.
- Laura Chen: BNP Paribas analyst Laura Chen said in a report before Monday’s guidance she was expecting a muted first quarter “due to lackluster demand for its old products, and as most of their new projects will be only kicked off in late 1Q.”
- Melissa Chau: “It can be turned around,” says Melissa Chau, Singapore-based research manager for IDC, speaking before the company gave its first quarter revenue guidance. “But the problem remains the same: How are they going to differentiate?”