HTC Announces 83% Fall in Quarterly Profits

Taiwan's HTC has announced an 83 percent fall in its second-quarter profits as the company again missed analysts already weak expectations for the company.

HTC posted a net profit of NT$1.25 billion (US$41.6 million) which was down on the NT$7.4 billion a year ago. However, the results were an improvement sequentially, as the company barely avoided posting a net loss earlier this year as sales of its HTC One smartphone were delayed.

Revenue fell 22% to NT$70.7 billion from NT$91.04 billion a year earlier, which was in line with earlier guidance of around NT$70 billion.

The company is however facing a difficult third-quarter as sales of the HTC One are reported to have peaked, and the smartphone tie-in with Facebook proved to be a flop for both companies.

A rumoured smaller version of the HTC One due out later this year may help the company regain some of its lost lustre if it can compete against smaller devices expected from both Samsung and Apple.