updated 07:20 am EDT, Tue April 24, 2012
HTC forecasts 55 percent jump in revenue
HTC has forecast a 55 percent jump in revenue for the second quarter of 2012. The upbeat outlook hints at a strong consumer response to its new line of One-series smartphones. The news is a positive sign that it has regained a competitive footing as it seeks to regain lost ground to Samsung and Apple over the past two quarters.
HTC expects that it will generate operating income of around $3.56 billion for over the months of April, May and June compared to revenue of $2.3 billion for the previous quarter. However, while positive, projected revenue for the quarter is still 20 percent lower than for the same period in 2011.
HTC also added that it expects its gross margin to increase to 27 percent against 25.03 percent for Q1, while its operating margin should also be up at around 11 percent against 7.53 percent. The company also recently announced that it would drop Beats Audio bundled headsets from most of its devices, which could help to account for the expected boost to margins.
Although HTC has not revealed sales of its HTC One X, S and V, the devices have gained positive reviews and have been quickly picked up and promoted by carriers in markets around the globe where the devices have been released. The company announced a 70 percent slide in profits in Q1 ahead of the launch of its new line of smartphones. [via The Next Web]