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HTC Posts Double-Digit Q3 Gains In Sales, Profits

10/31/2011 09:52:09 AM Eastern

Taoyuan, Taipei - The
triple-digit percentage gains that smartphone maker HTC posted in revenue,
handset shipments and profits in the first and second quarters slowed to high
double-digit gains in the third quarter.

Total revenues grew for the sixth
consecutive quarter, this time by 79 percent to NT$135.82 billion ($4.54
billion) compared with the year-ago quarter. Handset shipments rose 93 percent
year over year to 13.2 million units, and net profit rose 68 percent NT$18.68
billion ($625 million.)

The average selling price of a
handset rose 0.6 percent to $344. Gross profit margin and operating margin were
both in line with original guidance, at 28 percent and 14.9 percent,
respectively, the company said.

The company cited its "diverse
product offerings, expanded distribution network and growing global brand
recognition" for its third-quarter performance.

For its fiscal fourth quarter,
the company forecast a 20 percent to 30 percent increase in revenue to around
NT$125 to NT $135 billion ($4.18 to $4.52 billion), with unit shipments rising
31 percent to 42 percent to around 12 million to 13 million units. The company
also forecast gross margins of around 28 percent and operating margin of about
14.5 percent.

In the second quarter, total
revenues grew 104 percent year over year to NT$124.4 billion, a record high for
any quarter. Net profits grew 103 percent to NT$17.52 billion, and unit
shipments of smartphones grew 124 percent more smartphones to hit 12.1 million.

In the first-quarter, revenues
shot up 175 percent, and net income rose 197 percent.