HTC Releases Q1 Financials — Net Profit Down 70%, Revenue Down 35%

Today, smartphone company HTC announced some dismal news for investors. It was expected that the company’s results for the first quarter would be low considering recent sluggishness in the global economy coupled with the increased competition in the smarphone market. Expectations were low, but the results still surprised.

The company’s unaudited results for  the first quarter of 2012 showed a 35% drop in revenue. The revenue for Q1 2012 was NT$67,790 million ($2.3 billion). For context, revenue for Q4 2011 was  NT$101.42 billion ($3.43 billion). The month of January epitomized the company’s struggle with a 50% decrease in revenue from the January a year before.

HTC’s income for Q1 2012 was NT$5,551 million ($180 million), and after tax NT$4,464 million ($151 million). This represents a 70% drop in net profits for the smartphone maker.

HTC’s hopes to recreate it’s particularly remarkable performance of last year with the release of the HTC One X.

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