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HTC Predicts Profit Jump

Usually fans look forward to the launch of the next great smartphone. In case of the One series, fans, analysts and rivals were breathlessly waiting to see if the line can save the drowning boat of HTC. After the disappointing results of 2011 and the first quarter of 2012, the line seemed to be the only hope for the company to climb a couple of stairs higher.

HTC predicts a 55% revenue increase compared to the Q1 2012. Based on the Q1 report, the revenue is down by 34.3%, while gross profits by 38.3%. The decline percentages compared with last year’s reports are even higher (34.9% and 44.3% accordingly). Even if the predictions do come true, HTC has to plan something equally or even more effective to compensate its 2011 decline fully.

This would work, if only we didn’t know about the Samsung Galaxy S III planned to come out on May 3. The One line has been out in Europe for three weeks now but the US market still waits. In this regard, HTC should hurry up in the Northern American continent because if the Galaxy S III is launched on May 3, the Taiwanese  manufacturer will definitely have a strong competitor on its way.

Seeing how sure HTC is about its future success, I could assume the sales in Europe are already going well, or the company has a Plan B in case of Samsung intervention. In any case, HTC hasn’t published its ongoing financial report, therefore we can’t really say how well One smartphones are doing.


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