HTC forecasts Q2 profit as revenue seen doubling

HTC Earnings Forecast Q2 2014Image Source: Zach Epstein, BGR

HTC still hasn’t shared any firm numbers that might reveal how well its new flagship HTC One (M8) is faring against stiff competition from Samsung and Apple, but figures released in the vendor’s second-quarter forecast suggest that the handset has been well-received by consumers.

The Taiwan-based smartphone maker on Tuesday said that it expects to return to profit in the second quarter this year, thanks in large part to strong sales of its new M8. HTC again noted that the phone is selling faster than its predecessor, as HTC America president Jason Mackenzie confirmed last month during an exclusive interview with BGR.

HTC sees second-quarter revenue coming in at between NT$65 billion ($2.2 billion) and NT$70 billion, more than twice the NT$33 billion in sales the firm recorded during the March quarter. Even the top end of that range would mark a continued on-year decline, however — HTC’s revenue totaled NT$71 billion in the second quarter last year.

The Wall Street Journal also noted that HTC has begun utilizing the services of contract smartphone manufacturers for the first time in an effort to cut costs. These new manufacturing partners will help produce the company’s low-end and mid-range handsets.

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