HTC’s financials continue to slide in Q3, loses almost US$151-million on US$655-million revenue

Continuing the declining profit margin trend HTC has experienced over the course of the last few months, the Taiwan-based company revealed that it lost approximately US$151-million after taxes and operating costs over a three month period ending in September.

HTC’s overall revenue dropped nearly US$367-million this quarter to US$655-million, resulting in a net loss of US$137-million before tax and operating costs. Interestingly, HTC’s latest financial reports don’t include specifics related to the number of devices the company has shipped over the last few months.

However, there is a bright side to these numbers. Last quarter the company lost US$245-million on revenue of $US1-billion. While the 35 percent drop in revenue suggests HTC’s flagship HTC One M9 probably isn’t selling as well as the company hoped, the drop in loss likely means that the struggling company’s loss-to-revenue ratio largely remains unchanged. In other words, things aren’t getting worse for HTC, but they also aren’t getting any better.

HTC’s most recently released flagship device, the One M9, has taken criticism from both fans and critics for its lack of innovation. Apart from a few minor hardware upgrades, the company’s M9 smartphone is largely the same as 2014’s HTC M8.

The company’s future success is pegged on the upcoming One A9, which still hasn’t been revealed, as well as HTC’s surprisingly impressive virtual reality headset, the Vive. However, it’s highly unlikely one smartphone, regardless of how impressive it ends up being, will turn around the company’s fortunes.

HTC’s Aero is expected to be released and revealed at some point in the near future. The A9 is rumoured to come equipped with a Snapdragon 617 oca-core processor, a 5-inch 1080p AMOLED display, 2GB of RAM, 16GB expandable internal storage. HTC’s new smartphone will also likely ship with Android 6.0 Marshmallow pre-installed on the device and include a built-in fingerprint sensor.

Related article: HTC One M9 review