HTC reports loss of $100 million in Q4 2016

It seems that things are not going the way HTC wanted, as the company has reported a net loss of NT$ 3.1 billion( $100 million), or NT$ 3.77 per share and on revenue of NT$ 22.2 billion ($720 million) in the fourth quarter (October-December) last year.

The operating profit of the company has also dipped to NT$ 3.6 billion ($116.8 million) with operating margin of -16.0 per cent.

"I am pleased with the overall performance over the past year, with innovation triumphing in all of our focus product areas, widely recognised among customers and media alike, while we continue to enhance efficiencies across all key processes," said Cher Wang, Chairwoman and CEO of HTC."

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He said, "We have learned much from our entrance into the world of virtual reality, and we believe our focused approach to building the ecosystem is the right strategy to enable the whole industry to expand through the creation of compelling content and rich experiences, and that our HTC VIVE is at the forefront of that market."

"HTC saw robust sales performance over the fourth quarter, with quarterly revenue improving sequentially over 2016, while operating expenditure has been aggressively managed through enhanced resource realignment to deliver a 34 per cent cost reduction over the year,"company said in a statement.

HTC also said that its virtual reality business is in the early stages but contributed very small amount to its sales.