HTC has still not found a way to stop hemorrhaging cash. The Taiwanese phone maker stated that it has made a loss of $62 million in the first quarter of 2014 in a financial post on Monday. The figure has turned out to be worse than analysts’ predictions of about $53 million in losses. Just a year ago, HTC had posted quarterly profits of $2.8 million and the new numbers only show how much HTC is suffering due to competition on the high end from Samsung and Apple and in the mid-range from regional mobile companies that are able to churn out phones with good specs at low prices.
HTC recently launched the One M8 flagship Android smartphone and is counting on it to perform well in the market. HTC expects to make a profit in the second quarter of the year but it will certainly be an uphill battle. The One M8 has been reviewed well but the general consensus seems to be that it is merely an incremental upgrade over the One (released last year) and does not represent significant innovation.
While we hope that HTC manages to climb out of the hole it’s currently in, it will have to fight really, really hard to reach the position it once held.
Sources: Ars Technica, Dawn