HTC Corporation makes $41.6 million profit in Q2 2013

Though the sales and profit figures of HTC Corporation are not as optimistic as Samsung Electronic’s estimates released yesterday, it still managed to get $41.6 million (T$1.25 billion) in profits and $2.4 billion total revenue  based on unaudited figures for Q2 2013. These figures still pale over last year’s Q2 results, when the company earned $250 million on $3 billion in revenue.

However This is a considerable improvement over a mere $2.8 million profit last quarter from when shortage of camera components delayed HTC One launch in major territories.

Strong sales of HTC’s latest flagship Android smartphone HTC One and HTC Butterfly are major reasons accounted for profits this quarter.

Analysts said that expectations are not so high for Q3 2012 as HTC’s June sales dropped 25% compared to same period last year.

BNP Paribas, in a recent research note, said it expected overall third-quarter orders to remain flat from the second-quarter.

“HTC may have new products in Q3, but competition from Apple and other Chinese brands are fierce,” said Taipei-based analyst Peter Liao of Nomura Securities. “It’ll be hard to keep the growth.”

“The big drop on June sales likely proves the HTC One sales momentum slowdown and 3Q may be only flattish as is the market expectation,” Goldman Sacks analyst Michael Shieh said.

Source : reuters