HTC forecasts revenue doubling in fourth quarter

Mobile phone manufacturer HTC has revealed that it expects its revenues to more than double in the fourth quarter of the year, according to the Wall Street Journal.

The Taiwanese company expects to make in the region of NT$100 billion ($3.27 billion) over the October to December period, a massive increase on the NT$41 billion ($1.34 billion) it earned during the same period last year.

HTC forecasted that its gross profit margin for the fourth quarter is likely to be between 29.5 percent and 30.5 percent, continuing the trend from its third quarter results, which revealed a gross profit margin of 30.2 percent.

Shipments during the fourth quarter are expected to hit nine million units, a 1.6 times increase on 2009.

Operating expense ratio is expected to be between 13.5 percent and 14.5 percent.

It did not state why it anticipates the growth, but it is likely due to its big success this year with a number of Android smartphones, along with the recent release of four Windows Phone 7 smartphones, all of which could become best-sellers on the Christmas wishlist.

The strong fourth quarter expectations also follow on from a highly-successful third quarter, where unaudited net profit rose from NT$5.7 billion ($186 million) in 2009 to NT$11.1 billion ($362 million), a huge 95 percent increase. Revenue also more than doubled from NT$33.88 billion ($1.1 billion) to NT$75.85 billion ($2.47 billion).