HTC posts $100 million Q4 2015 loss, emphasizes virtual reality potential

Rob Attrell

February 3, 2016 11:46am

HTC has been working hard for the last year to change its financial fortunes, pushing to enter new markets like VR and wearable technology, but it looks like those efforts haven’t paid off, at least not yet.

Last quarter, the company said it would no longer be providing future guidance in earnings calls as the company attempted to get back to profitability.

In the latest Q4 2015 earnings report released today, it’s still mostly bad news for the struggling Taiwanese company. HTC reports a net loss of over $100 million USD in 2015, and a drop in revenue of almost 50 percent compared to the same period last year. And while revenue did increase from last quarter by 20 percent, profit on that revenue actually declined, suggesting that HTC is operating with smaller profit margins.

HTC gave a good showing at CES earlier this year, demonstrating new VR and health-related tech, even taking home awards, including Best in Show for the HTC Vive VR headset. The company aims to return to profitability by pursuing these avenues, in addition to showing off the HTC One M10 later this spring.

  • fruvous

    “vive [sic] Pre” Long live the Pre? Interesting name.

    • gommer strike

      heheh brings back memories of the Palm Pilot, Handspring Visor, and Palm Treo. Sadly I never owned a Palm Pre.

  • gommer strike

    What’s with all this stuff on VR? We’re nowhere near ready yet. A clunky, big headset attached via wires which has no firm standardization?

    The applications aren’t there(ok sure chicken and egg scenario) and the ones that are there in terms of FPS titles, are nausea-inducing(walking forwards/backwards need to look more “correct” and have the barf bag ready should you ever go down a flight of steps/stairs). The roller-coaster thing is fine, but good for how many times?

    And finally that’s without talking about the field of view. It might be anywhere from a narrow horizontal strip(Microsoft’s current implementation, despite what they would have you believe) to something more “full screen”.

    • It’s Me

      Yup. Seems to be a lot of hype regardless of all of the people jumping on the bandwagon (without actually buying) tell us it’s the big thing for 2016.

    • fruvous

      Give me back the old Virtual Boy.

    • gommer strike

      The Virtual Boy was an interesting idea at the time. Didn’t sell though…it was clumsy to use, and that little thing about some people experiencing headaches after using it…

    • Mo Dabbas

      I don’t see the problem with that. Companies will produce products that may not be complete as a 1st gen then work on the faults from there.
      I personally though don’t see it as a huge money maker. Maybe something like the Sony Morpheus would grab some buyers for some games. But that puts it line line with the kinect or buying a steering wheel accessory for racing games or a 6 button arcade style controller for fighting games….. somewhere along that line.

      I think if makers want the best to attract consumers, they should make something simple to use, light (no wires and garbage attached), and even if it’s a companion accessory (with phone for example) to keep the price down it would make more sense. The Galaxy Gear VR has good reviews and it cost 99 CAD which is alright compared to what others headsets are projecting the prices (600 USD is expected to be the price of the HTC Vive)

    • thereasoner

      $99 U.S, $139 Can. And it’s well worth it!

    • Mo Dabbas

      Oh, I was looking at the innovator’s edition (which from my understanding works with both note 5 and S6). That one is listed at best buy canada for 99CAD

    • thereasoner

      Yeah, my understanding is that the 2014 innovator edition works with the Note 4 only. The new Gear VR works with the Galaxy S6, S6 edge, Note 5 or basically any 2015 flagship/phablet Galaxy models.

    • thereasoner

      I love my Gear VR although it has its limitations being powered only by the phone. We got it for the 360 pictures and 360 video primarily and it is very cool. I’m not a big gamer myself and neither is my wife but when she tried the Lands End game for the Oculus Rift on the Gear VR she couldn’t put it down until she completed all five levels.

      Even though the Gear VR is just an entry level VR experience we enjoy it as it’s very immersive and fun. I can only imagine how good these high end VR kits are going to be if the $139 Gear VR is any indication. The Vive Pre especially is getting great reviews as its wall mounted sensors can map the entire room and tracks all of your body movements with absolutely no lag. The biggest draw back is not so much the available content but the huge price and the fact that a gaming computer is necessary. That’s why we are sticking with the Gear VR, it gives you a taste of what VR is about and their is lots of content with more being added all the time all for just over a hundred bucks, it’s a no brainer if you already have the latest Samsung phones.

  • Pingback: HTC posts $100 million Q4 2015 loss, emphasizes virtual reality potential – Reboot Daily()

  • George

    Everything I hear the name of HTC, I remember the Titanic movie and sinking boat!