HTC's Q3 clings to a thin profit on sluggish sales

HTC has reported a second consecutive quarter of profit but it's yet to boost revenues to levels of years gone by.

Taiwanese handset maker HTC on Friday reported a thin profit for its third quarter, but on the back of stubbornly low sales.

HTC has achieved a second consecutive quarter of profit after three quarters of operating losses as the company worked through cost-cutting beginning last year with job losses in the US last year .

ZDNet: HTC One (M8) review

HTC One (M8) review: The flagship smartphone to beat

The HTC One (M8) ticks most of our boxes: design, build and performance are all excellent, there's no app overload, and HTC Sense is improving with every iteration. Battery life could be better and some of the camera tools may seem unnecessary, but overall it's a winner.

Read More

HTC on Friday reported NT$640m ($21m) in unaudited net profit during the quarter to September 30, which, according to Reuters, beat the NT$216.23m ($7m) average estimated by 13 analysts. In the second quarter, it recorded NT$2.4bn in profit .

HTC's newest flagship the HTC One (M8) has impressed reviewers . It's followed up with a smaller sibling, the HTC One mini , and is rumoured to be refreshing its One Max handset soon. Still, when the HTC phablet launches, it will be facing stiff competition from Apple's new iPhone 6 and iPhone 6 Plus. 

HTC also recently launched a range of Desire mid-tier flagships and, like its rivals, is targeting the selfie market with better front-facing cameras. 

Despite seemingly making all the right moves, the company still finds itself being squeezed by Samsung across all price points while Chinese handset makers, most notably Xiaomi, are rising to prominence in China. Xiaomi overtook Samsung as the biggest seller in China in the second quarter, according to Canalys.

HTC's unaudited revenues for the third quarter of NT$41.86bn ($1.4bn) are the lower end of NT42bn to NT$47bn it last quarter predicted it would make .

HTC may also have some new tricks up its sleeve, recently inviting media to an event in October where it's tipped to be unveiling a new camera-centric device. The invite was given the tagline 'Double Exposure', urging invitees to submit a selfie with their RSVP. More potentially good news for HTC in coming quarters is its reported selection as Google's manufacturing partner for a new Nexus tablet .

Read more on HTC