Taiwan's biggest smartphone maker, HTC, recently posted a loss for their third-quarter that was larger than analysts originally estimated. It was reported that their handset market shares were affected when consumers turned to Apple and Samsung products instead.
HTC reported a net loss of about $2.7 billion for their last three months of sales. The figure was based off an email statement that the company sent on Thursday. The amount is far larger than what analysts originally estimated, which was a $1.7 billion loss. Bloomberg compiled the data.
HTC's Flagship One failed to make sliding sales due in part to product delay. The company also decided to change its strategy as they were faced with competition from other Chinese smartphone producers like Huawei Technologies. Although Huawei did not make it into the top 5 producers of the second quarter, the company has expressed plans to up promotion by getting actor Robert Downey Jr. on board, as well as roll out cheaper products in order to revive growth.
An analyst has remarked that "HTC needs to figure out if it just wants to focus on the high-end market or the mid- to low-end segment, and right now it is missing out on both,".
In Taipei, shares of HTC managed to gain about 1.5% come closing time and closed at NT$135. However, HTC stock, in the last two years, has lost about 80 percent of its original value.
HTC was the first smartphone maker that used Google Inc. hardware. In July, it reported an eighth consecutive drop in quarterly sales. The Taiwanese company has been struggling to compete with giants Samsung and Apple.
In the second quarter, the company came in 9th in the global smartphone market. A previous 5.8% share of the market dropped to 2.8%.
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