Despite the company’s own projections of double-digit growth in 2009, HTC’s latest Q1 2009 financial report is less than rosy. Compared to the same period a year ago, HTC saw its profits slide some 30%, resulting in first quarter profits of NT$4.89 billion (US$148 million). While still profitable, HTC’s Q1 2009 highlights the rocky economic climate that handset manufacturers will have to battle in order to grow their market share.
HTC pulled in first quarter revenue of NT$31.59 billion (US$954 million), down from NT$32.70 billion (US$988 million) in the first quarter of 2008.
The fast-growing smartphone maker is blaming delayed product shipments for the fall in profits. The HTC Magic has been delayed for another month, pushing back the launch of the second-generation Android device. And, with the HTC Touch Pro2 and Touch Diamond2 still waiting to blitz the global smartphone market, HTC has yet to realize revenue from their most visible bunch of mobile phones.
The coming quarters could be good to HTC’s bottom line, and may help push the double-digit growth that HTC is still expecting to see.