HTC released its July results: mobile phone, VR business downturn, low revenue innovation
Recently, HTC released its July 2018 results, with revenue of NT$1.4 billion (US$45.7 million), down 37.23% from the previous month and down 77.41% year-on-year, the worst record since 2003.
According to industry sources, HTC's poor performance in July meant that its smartphone business remained sluggish, while the virtual reality (VR) business had yet to make a major breakthrough. In the first seven months of this year, HTC's total revenue was 166.92. NT$100 million, down 53.98% year-on-year.
In addition, HTC also announced its second quarter results this year, with a net loss of NT$2.09 billion (US$68 million), compared with a net loss of NT$1.95 billion in the same period last year. The second quarter revenue was NT$6.84 billion (approximately) US$221 million), a decrease of 58% from NT$16.1 billion in the same period last year and a 56% decrease from NT$15,563 million in the previous quarter. HTC said last month that in order to restore profitability, the company will lay off employees in the manufacturing sector in Taiwan. 1500 people. The layoffs will be completed by October this year.
HTC used to be the leader in the mobile phone industry. The world's first Android phone and Windows system phone is from HTC, its share once occupied the world's number one position. However, with the strong rise of Samsung, Apple, Huawei and other manufacturers, HTC The share has fallen sharply.
For HTC's failure in the mobile phone market, the outside world believes that the main reason is that the cost performance is not high, the positioning error, and the R&D investment is quite different from the industry giants. The flagship machine and the competitor are not competitive. At present, the virtual reality business has not been obtained. Breakthrough progress, and HTC is slipping down in the smartphone market. It is still unknown whether the situation can be reversed in the future.