HTC: Stocks share slip not 'so serious'

Summary:Handset maker's shares drop more than 30 percent over last eight trading sessions sparking worries it has lost innovative touch, but one exec expresses confidence in upcoming products and year ahead.

A correction was made to this story. Read below for details.

Taiwanese phonemaker HTC reckons its recent poor stock market performances are not "so serious", and points to its plans to release "better and more competitive" handsets such as LTE phones for the U.S. market in 2012 as proof that its fortunes will rebound, Reuters said.

In a report published on Monday, the news wire pointed out that HTC has become the worst performer among global smartphone shares this year, with the company's stock falling over 30 percent in the last eight trading sessions alone. However, the Taiwanese company's chief financial officer, Winston Yung, said the situation is not "so serious".

He told Reuters: "We have six quarters of improvement, the most conservative guidance is 45 million units of shipments this year, a lot higher than 25 million last year."

Additionally, Yung said HTC will focus on its product offerings for 2012, making it "better and more competitive". Besides LTE handsets for the U.S. market, it will also introduce phones for the global market and launch some "worldwide flagship products". "We're confident in them," he stated.

The Taiwanese manufacturer had actually posted impressive figures in its third-quarter earnings report that was released on Nov. 1. It reported a 68 percent jump in profits to almost US$625 million and 79 percent surge in revenue to US$4.5 billion from the same quarter last year, due mainly to strong sales in China. During this same quarter, it sold 13.2 million devices, according to an earlier ZDNet Asia report.

That said, the company moved to dampen expectations for the fourth quarter, saying both revenue and shipments are expected to dip slightly or remain flat in the near future.



Correction: This article incorrectly stated that HTC's smartphone market share had fallen 30 percent over the past eight quarters. It should read as the company's stocks falling over 30 percent in the past eight trading sessions. The story has been amended. We apologize for the error.

Topics: Hardware, IT Employment, Mobility, Software

About

The only journalist in the team without a Western name, Yun Qing hails from the mountainy Malaysian state, Sabah. She currently covers the hardware and networking beats, as well as everything else that falls into her lap, at ZDNet Asia. Her RSS feed includes tech news sites and most of the Cheezburger network. She is also a cheapskate mas... Full Bio

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Related Stories

The best of ZDNet, delivered

You have been successfully signed up. To sign up for more newsletters or to manage your account, visit the Newsletter Subscription Center.
Subscription failed.