June 12 (Bloomberg) -- HTC Corp., the Taiwanese smartphone maker that cut its revenue forecast twice in the past three quarters, hopes to see better results in the second half as new products boost momentum.
“The company’s direction and strategy is correct, we need a bit more time,” President and Chief Executive Officer Peter Chou told investors at HTC’s annual shareholder meeting in Taoyuan today.
HTC’s shares have fallen 15 percent to the lowest in two years since its June 6 announcement that revenue this quarter will miss an earlier forecast by 13 percent amid stronger competition in Europe and customs delays in the U.S. A change of strategy enacted last year to cut the number of models and strengthen relationships with distributors will pay off while it’s also expanding in new markets, Chou said today.
“Emerging markets such as India and China are very good opportunities for us as we are planning to release models that are suited to those who are using a smartphone for the first time,” he said.
The stock dropped 0.6 percent to NT$345 at the close of trade in Taipei. HTC has declined 31 percent this year after dropping 42 percent in 2011.
Chairwoman Cher Wang, once Taiwan’s richest woman, pledged today to boost shareholder value by releasing more competitive and innovative products. The company’s market value has declined NT$52 billion ($1.7 billion) in the past four days, according to data compiled by Bloomberg.
“We have faced and overcome bigger challenges, and we will try even harder,” Wang said today.
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