HTC reported second-quarter results in line with its earlier profit warning and said results will fall further in Q3. The smartphone maker's second-quarter revenues fell 26.8 percent from a year ago to TWD 91.04 billion, and the gross margin dropped to 27.01 percent from 28.76 a year earlier. The operating margin declined to 9.00 percent from 15.47, and net profit tumbled 57.8 percent to TWD 7.40 billion, hurt by inventory writedowns. HTC said it was seeing good progress with its phones launched in Q2, with sales in Asia in line with expectations. However, it plans to boost marketing and sales efforts in North America and the EMEA region to drive demand in the consumer segment. It also announced the appointment of Mike Woodward, former AT&T Vice President of Consumer Wireless Devices, as president of its US and Canada operations. For the third quarter, HTC forecast revenues of TWD 70-80 billion, a gross margin around 25 percent and an operating margin at 7 percent.
