HTC announces another $100 million in losses, improvements expected from April

by: Bogdan PetrovanFebruary 3, 2016
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htc-one-m9-11

2015 was a year to forget for HTC. The company struggled with a disastrous flagship, leadership changes, and hundreds of millions in losses. Released today, HTC’s Q4 2015 report does little to change the gloomy atmosphere.

HTC recorded net losses of $101 million (NT$3.4 billion) in the last quarter of 2015. A shimmer of silver lining is the revenue, which jumped 20% compared to Q3, but is still a massive 46% down compared to Q4 2014. The One A9 can be credited with this slight revival, but it’s obvious that the mid-range iPhone lookalike wasn’t enough to steer the HTC ship out of troubled waters.

While revenues increased from Q3 to Q4, HTC’s gross profit actually decreased, suggesting that HTC managed to sell more devices, but at a smaller profit margin. Operating expenses declined quarter to quarter, but still amounted to NT$7.7 billion.

htc revenue q4 2015

HTC said it had “good momentum” with its Desire line, while the One A9 was supposedly “well received” across the world.

That said, CFO Chialin Chang suggested that any improvements in the company’s bottom line would only come in Q2 2016. In other words, expect another terrible report for Q1 2015 and don’t expect the One M10 to be available in March. We’ve previously heard that HTC is going to introduce its new flagship at a press event sometime after MWC, but the weak prediction for Q1 is confirmation that the M10 will only be released (at least in meaningful numbers) from April.

htc one a9 first impressions aa (12 of 45)See also: HTC One M10: Everything you need to know14

HTC once again touted its “innovation leadership” in virtual reality and the Internet of Things, and said it ramped up marketing expenditures for the Vive VR headset and UA Healthbox, the fitness kit it co-developed with Under Armour. Vive, in particular, could be a promising new line of business for the embattled Taiwanese company, but the potential of virtual reality as the next big consumer electronics product category is unclear.

  • Daniel B.

    I would totally buy an M10, if they would actually put a good camera in it this time. I like almost everything else about the M9/M8, good build quality, good speakers and video/audio-recording, the Android modifications are quite okay. The picture quality on the other hand (apart from putting a lot of work into RAW photography): Boooh. ;)

    • Daikenkini

      Leaks suggest HTC is considering removal of front facing speakers

      • Daniel B.

        Yeah well, that would be a huge pile of bullshit. :p

    • nebulaoperator

      Same here. I admired they M7 and M8 to a point but pathetic camera department year on year is out of this world no common sense . Another thing is degrading display quality since M7. F**k ya for a flagship. I consider them quietly brilliant at being oxymorons . Sorry for my rant …another disappointed HTC fan.

  • That One Guy

    HTC is dying company. Focusing on speakers is useless considering most people use Bluetooth Headphones/portable speakers for enchanced sound. I never understood this metal phone stuff either (plastic is more durable). To each his/her own. I have never cared for their phones so I will not miss them when they are gone. I gave LG another shot with the LG v10 after the terrible lg g2x years ago but look at how long I took to try again. I will never try HTC again. They had Bluetooth issues, phones restarting and crashes when I had the HTC amaze. Camera is horrible, the worst! ?

    • Dixie Normüs

      The speakers are the sole reason I bought an m9

  • Shamalama

    They deserve this faith. You can’t build a solid phone with all the goodies customer desire? No! You take always a key feature that already has admirers.
    brilliantly quiet….

  • ‘Price’ is their cause

  • ASYOUTHIA

    “HTC announces another $100 million in losses, improvements expected from April”

    That’s one of the better April Fools jokes I’ve heard Hipster Troll Carwash! XD

  • Diego

    Sorry HTC, but you will die a slow painful death if you don’t bring anything new to the market.
    And with samsung taking all of the money of android phones, the future is not looking up for you.

  • eliHd

    HTC is stupid, they concentrate on making a good speaker on a phone instead of making a good all around camera and bringing the price down! They dont have to make the best camera however they have to tailor their handsets with the price. If they want to make a shite camera phones thats fine they can but you do not charge customers (the hands that feeds you) $500 for a shitty phone with a half decent speakers.

  • Kody

    It’s kind of sad. I hope they manage to get the One M10 right. I probably would have gotten an HTC phone if they didn’t keep messing up the camera.