Despite the fact that HTC has hit earning estimates and turned a profit in the second quarter of 2014, sales in July hit a five-month low for the company. HTC reported sales of NT$ 10.6 billion (US $ 353 million) for the month, leading the company to say the figures underline a product transition period.
As far as figures are concerned, sales fell 51.6 percent from June and by 32.5 percent from the previous year. The company's consolidated revenue is also down by 15.8 percent totaling out at NT$ 108.8 billion for the first seven months.
The July through Sept. forecast suggests more decline by about 27 to 35 percent with a range of NT$ 42 billion to NT$ 47 billion. Early delivery of products to distributors this last quarter and product transition periods are being cited for the forecast.
Overseas brokerage firms are still pessimistic about HTC and its ability to turn the negative financial direction around. This is in part, due to increased competition from low-cost Android phone makers in China, and the expected larger screen wielding iPhones due out next month.
source: Focus Taiwan
