Troubled Taiwanese smartphone manufacturer HTC has released its latest figures which indicate that the company has seen a net loss of Tw$1.88 billion ($62.3 million) in the first three months of 2014. These figures are higher to the anticipation of analysts who predicted Tw$1.59 billion. This loss also marks the lowest figures in the last five years.
The company has also agreed with the loss statistics
HTC, however, stays optimistic due to the fact that it relies heavily on its next mainstream smartphone HTC One (M8) alongside mid-range Desire 816 aimed for emerging markets. The company feels that these flagship devices will turn the tables for the troubled phone maker and will also improve its revenues in the Q2 of this ongoing year.
On the other hand, analysts seem to be in an opposite mood. They have warned the company that it won’t be a piece of cake to get the lost ground in the smartphone market which is currently flooded by arch rivals Apple and Samsung. The fight for the best between these two giants is crushing the low-performers like Nokia, HTC and Sony. Apart from that, several price-conscious Chinese smartphone makers such as Lenovo and Huawei are also making it tougher for the Taiwanese firm to get out of this whirlwind which is going to swallow the company.
J. P. Morgan analyst Alvin Kwock from J.P. Morgan predicts that it might be a hard job to get itself in the right spot due to the fact that it cannot compete with the marketing investments and tactics like of Samsung.
In 2013, Samsung threw some $11.6 billion for its marketing promotions. In contrast, HTC managed to spend nearly $877 million on its marketing campaigns for the aforesaid duration.
Dale Gai, an analyst at Barclays claimed that HTC’s shares in the worldwide smartphone market are only 2 percent.
in 2012, the market share in the worldwide smartphone market for HTC were 4.6 percent, which were 8.8 percent in 2011.
Research firm IDC ranked Korean behemoth Samsung at the top of this list with a decisive 30.3 percent market share. US giant Apple was catching fast with 19.1 percent stakes in the global smartphone market.