10-06-2005, 05:00 PM
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Editor Emeritus
Join Date: Aug 2006
Posts: 6,305
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HTC to Ride High on 3G PDA Phone Sales
"Handheld device giant High Tech Computer (HTC) is expected to see its gross margins rise from 21.7% in 2004 to 24.2% this year, buoyed by rising sale contributions of its 3G PDA phone segment, according to a recent report by Merrill Lynch. In addition, the investment bank upgraded HTC�s earnings per share (EPS) projection to NT$30.38 (US$0.91) for this year, up 6% from its original estimate. Sales of the HTC Universal, the company�s first 3G mobile phone based on the Windows Mobile 5.0 operating system, will account for 8% of HTC�s revenues this year and 21% in 2006, Merrill Lynch anticipates. In 2004, HTC shipped 2.16 million PDAs, 791,000 PDA phones and 974 smartphones. This year, the company may see a 3% slide in PDA shipments, but a 340% shipment jump in the PDA phone segment and 67% growth in smartphone shipments, Merrill Lynch estimates."
Apparently these folks have some trouble reading their own charts. The "974 Smartphones" should read "974,000 Smartphones". Big difference! At any rate the trend is clear. The PDA is slipping and the Smartphone is gaining.
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