Taiwanese phone maker return to profitability thanks to hero, One M8.Unaudited results for HTC’s fiscal second quarter ended June 30 released yesterday, shows quarterly revenue was NT$65.06 billion – down 8%.
However, net profit after tax was NT$2.26 billion ($76 million), or NT$2.74 per share, the first time in several quarters HTC has recorded a profit, after suffering consecutive losses.
The lift was attributed to the One M8 handset released earlier this year and a cut in marketing costs. June’s monthly sales rose 4% in May but fell slightly compared to last year.
However, Q2 performance marks a massive improvement on Q1 when sales fell over 36% in both January and February. Q2 operating profit also rose to NT$2.43 billion.
The figures show HTC still has a long way to go in battling Android king Samsung and Apple, but it seems the battle is definitely not over. Rumor is that HTC will be releasing a smartwatch, tablet, and has already targeted the mid range with new Desire smartphones.
“HTC returns to profit, boosted by flagship One (M8). It will need 6 month, not one year, innovation cycle to sustain this new momentum,” tech analysts Canalys tweeted.