HTC Q2 profits fall, similar fate anticipated for Q3

HTC has reported financial earnings for the second quarter of 2012. The Taiwanese manufacturer generated revenues of 91.04 billion NT ($3.04 billion) and net profit after taxes of 7.4 billion ($248 million). Those numbers fell well short of the $608 million in profit reported during the same period in 2011.

HTC predicts that its performance in the third quarter will also be a year-over-year drop. The company forecasts revenue of $2.34 to $2.67 billion, a 41 to 48 percent decline from the same period last year.

An increase in brand awareness and retail presence in China could provide much needed growth for HTC. However, the company is losing ground to Apple and Samsung in the North American and European markets. The HTC One series has failed to replicate the commercial success of phones released in 2010 and 2011, so HTC says that it is "focusing on increasing consumer preference for HTC products."