HTC shares May revenue figures, and they’re a bit troubling
Last year’s HTC One was a critical darling that nonetheless failed to turn those glowing reviews into big sales figures. Indeed, by fall the company was showing signs of floundering, experiencing its first reported quarterly loss. Would 2014 see its fortunes improve? Ever since the launch of the One M8 we’ve been trying to get a handle on how its sales were doing; some reports sounded good, while others sounded bad, but HTC itself kept a positive outlook. Today the company posts its May revenue figures, and after a brief surge in April, income is already on a downward slump.
Remember, the One M8 launched in very late March, immediately going up for sale. As such, April gave us our first whole month of M8 sales figures to look at, with revenues of about $734M. By May, though, things were already cooling off, and HTC only brought in revenues of $700M.
The big question now is whether this marks the beginning of a downward trend, or is merely a temporary dip – maybe April captured all the initial interest, but things will pick up this summer as buzz about the phone spreads. That seems to be along the lines of what HTC is hoping, as the company is sticking to its second quarter sales estimates even in light of an under-performing May.
We’re also a bit concerned looking at HTC’s year-over-year performance; May 2014 saw revenues down over 27% from May 2013, the first full month of original HTC One sales. That doesn’t seem very promising for the M8, but we’ll have to wait and see how June goes and what the entire second quarter shapes up to be.