HTC’s One was a popular handset. Its new One Max isn’t as popular, and unfortunately the company may soon note its second operating loss in a row, after posting its unaudited first loss last quarter. The company released its guidance for the fourth quarter on Tuesday and the figures missed analyst estimates by a large margin.
According to Bloomberg, HTC is projecting revenue between NT$40 billion ($1.4 billion USD) and NT$45 billion ($1.53 billion USD) for Q4, but Wall Street analysts were calling for an estimate of NT$52.2 billion ($1.77 billion USD) for the quarter. While we’re still two months out from when HTC will likely release its unaudited results, the company’s projections set some guidance for what to expect.
If we look at the company’s Q3 earnings, which were released today after an audit, but reflect what we already saw last month, we can see that the company posted revenues of NT$47 billion ($1.59 billion USD) and a net loss of NT$3 billion ($102 million USD). If HTC falls in that range again during Q4, which it suggests it’s going to, we could see the company post its second operating loss in a row.
HTC has some work to do to dig itself out of this hole, and the company knows it. It increased its marketing budget in the United States to try to build brand awareness, and recently released its Note 3 competitor, the One Max. A rumored partnership with Amazon on three new smartphones could help turn its fortunes, though the company will also need to aggressively compete against whatever new handsets Samsung and LG, among others, have coming down the pipeline in the coming months.