The Taipei-based smartphone maker posted quarterly revenue of NT$42.9 billion (about $1.4 billion USD). That’s a 28% decline year-over-year from Q4 2012, when HTC posted revenue of NT$60 million ($2 billion). Its net profit for the quarter was a slim NT$0.31 billion (about $10 million) and gross margin was 17.8%, but its operating margin was negative 3.7%.
HTC expects its revenue to drop even further in Q1 2014 to a figure between NT$34 billion ($1.12 billion) and NT$36 billion ($1.18 billion), representing its third consecutive quarter of losses.
Known for its premium Android smartphones, HTC recently added several devices to its mid-range Desire line and sold a champagne gold edition of the HTC One in certain markets.
There are signs, however, that the company is retooling its strategy as it struggles to recover from a year plagued with declining revenue, the departure of several key executives, and supply chain problems. CEO Cher Wang told Reuters that it will begin to sell more products priced between $150 to $300, including a new flagship phone, in order to compete with other device makers like Samsung and Xiaomi.