HTC Sees Q4 revenue to be 15% lower
November 10, 2009, Tuesday
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HTC, the world's No. 4 smartphone brand, expects fourth-quarter revenue to be almost 15 percent lower than the same period a year earlier, as competition intensifies and prices decline in the fast-growing sector.
Revenue in the October-December quarter could clock in at between NT$40 million to NT$42 million (US$1.3 million), lower than the NT$47 million recorded a year ago, HTC said in a statement yesterday.
Average selling prices are also expected to fall about 10 percent from a year ago as bigger rivals such as Nokia and Apple look to muscle out smaller players, while upstarts such as Acer depress prices.
"Things are sounding a little subdued for them," said Vincent Chen, an analyst at Yuanta Securities. "I'm hearing that HTC doesn't have visibility beyond the next couple of months, and the first quarter could be very weak."
HTC announced worse-than-reported third-quarter results in October, hit by keen competition in the smartphone sector from rivals such as Blackberry maker Research in Motion.
Revenue in the October-December quarter could clock in at between NT$40 million to NT$42 million (US$1.3 million), lower than the NT$47 million recorded a year ago, HTC said in a statement yesterday.
Average selling prices are also expected to fall about 10 percent from a year ago as bigger rivals such as Nokia and Apple look to muscle out smaller players, while upstarts such as Acer depress prices.
"Things are sounding a little subdued for them," said Vincent Chen, an analyst at Yuanta Securities. "I'm hearing that HTC doesn't have visibility beyond the next couple of months, and the first quarter could be very weak."
HTC announced worse-than-reported third-quarter results in October, hit by keen competition in the smartphone sector from rivals such as Blackberry maker Research in Motion.
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