HTC: Continuing to Make All the Right Moves
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HTC, the world's fourth largest smartphone brand (though that may change in the coming months), said that they expect shipments and revenue numbers to double in FY11. This is tacking-on to an arguably successful FY10 in the industry.
Last quarter, the company reported a 160% jump in net profit to $500 million and sales surging 153% to $3.5 billion.
For the current quarter, revenues are expected to top $3.2 billion on shipments of 8.5 million units, with a gross margin of 29.5%. Goldman and Citi recently revised their Q111 shipments to be above 9 million units.
A survey from Reuters, however, reveals that smartphone growth in 2011 is expected to slow from 13% in FY10 to 8.4%. Reuters surveyed 32 banks, brokerages and research firms for the data.
HTC has benefited from Google's (Nasdaq: GOOG) Android operating system, with their first launch, the HTC Dream in 2008, setting the tone for the company, the Desire and Wildfire smartphones giving HTC a boost from Europe and Asia, and new 4G offerings, like the ThunderBolt (for Verizon
(NYSE: VZ)) and Inspire (for AT&T (NYSE: T)), expected to keep the ball rolling.
CEO Peter Chou commented that that company suffered last year because they didn't anticipate such high growth, and supplies were bottle-necked.
The company will certainly see more growth, as consumers continue turning from Apple (Nasdaq: AAPL) and Research in Motion (Nasdaq: RIMM) to Android. Neilsen recently noted that Android devices account for 40.8% new smartphones sold.
HTC can be traded on the Taiwan Stock Exchange under the code "2498."
No word if the company will begin trading on American exchanges anytime soon.
Last quarter, the company reported a 160% jump in net profit to $500 million and sales surging 153% to $3.5 billion.
For the current quarter, revenues are expected to top $3.2 billion on shipments of 8.5 million units, with a gross margin of 29.5%. Goldman and Citi recently revised their Q111 shipments to be above 9 million units.
A survey from Reuters, however, reveals that smartphone growth in 2011 is expected to slow from 13% in FY10 to 8.4%. Reuters surveyed 32 banks, brokerages and research firms for the data.
HTC has benefited from Google's (Nasdaq: GOOG) Android operating system, with their first launch, the HTC Dream in 2008, setting the tone for the company, the Desire and Wildfire smartphones giving HTC a boost from Europe and Asia, and new 4G offerings, like the ThunderBolt (for Verizon
(NYSE: VZ)) and Inspire (for AT&T (NYSE: T)), expected to keep the ball rolling.
CEO Peter Chou commented that that company suffered last year because they didn't anticipate such high growth, and supplies were bottle-necked.
The company will certainly see more growth, as consumers continue turning from Apple (Nasdaq: AAPL) and Research in Motion (Nasdaq: RIMM) to Android. Neilsen recently noted that Android devices account for 40.8% new smartphones sold.
HTC can be traded on the Taiwan Stock Exchange under the code "2498."
No word if the company will begin trading on American exchanges anytime soon.
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