HTC stock is about to take a hit after news that the company saw a significant downturn in revenues during the fourth quarter of 2011. While annual revenues were up overall, the surge seen for most of the year trailed off as HTC’s take for the final months of 2011 lagged at 101.42 billion Taiwanese dollars. The drop off follows four quarters of successive growth that saw revenues rise to 124.40 billion in Q2 and 135.82 billion in the third quarter. Despite the overall increase in revenue, profits were down 11.99 percent for 2011.
With the poor year end performance, HTC is forecasting unfavorable results heading into the new year. Revenues for Q1 predicted by independent analysts to be close to 90 billion Taiwanese dollars have now dropped to 65-70 billion by HTC’s own financial department. The smartphone manufacturer hopes the downturn is only temporary and expects the new device announcements at Mobile World Congress this month to spark increased revenues though ever shrinking margins may continue to dig into profits.
What could HTC announce at Mobile World Congress later this month that could turn their profits around? Perhaps a quad-core 4.5″ device that launches with ICS at Mobile World Congress, that will be available worldwide? Hit up the comments and let us know what you think.
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