HTC REPORTS 2012 SECOND-QUARTER RESULTS

HTC Corporation (TWSE: 2498), a global leader in mobile innovation and design, announced consolidated results for the Company and its subsidiaries for the second quarter of 2012.

2Q 2012 results
The Company posted quarterly revenue of NT$91.04 billion, with gross margin of 27.01% and operating margin of 9.00%. Net profit and EPS were NT$7.40 billion and NT$8.90, respectively.

New products launched during the second quarter incorporated a variety of customers and market segments, including the rollout of HTC One series, Desire series, and regional-focused devices such as the HTC EVO 4G LTE and HTC DROID Incredible 4G LTE. The Company also launched HTC Connect™, a certification program that allows customers to send high-quality, wireless audio and video experience from their HTC devices to compatible in-home and in-car electronics.

HTC launched the Desire V series with three largest mobile operators in China.  With growing brand awareness, strong operator partnerships and increasing retail presence, China is well positioned to become a key growth driver.  Asia regional sales met expectation since the One family launched in 2Q.  We have also successfully launched HTC J in Japan. In North America and EMEA, products are well received by both operator and channel partners, focusing on increasing consumer preference. HTC continues its marketing and sales efforts, focusing on increasing consumer preference.

The Company continues to optimize organizational structure and resources to increase efficiency and competitiveness.  Mike Woodward, former AT&T Vice President of Consumer Wireless Devices, was appointed President of North America, responsible for the Company’s sales, marketing and operations for the US and Canada markets.

3Q 2012 Outlook
The Company’s outlook for the third quarter of 2012 is as follows:
- 3Q revenue expected to be between NT$70 to 80 billion
- Gross profit margin expected to be around 25%
- Operating margin expected to be around 7%

2Q 2012 Conference Call and Webcast
HTC will host its quarterly conference call in Chinese beginning at 4 p.m. (Taiwan Time, GMT+8), and quarterly conference call in English beginning at 8 p.m. (Taiwan Time, GMT+8) on Friday, August 3rd , 2012. The conference call in Chinese will be webcast live with audio and slides at: http://www.mzcan.com/cancast/taiwan/register.php?id=tw2498_154&version=c and webcast link for call in English: http://www.mzcan.com/cancast/taiwan/index.php?id=tw2498_155&version=e

About HTC
Founded in 1997, HTC Corporation (HTC) is the creator of many award-winning mobile devices and industry firsts. By putting people at the center of everything it does, HTC pushes the boundaries of design and technology to create innovative and personal experiences for consumers around the globe. HTC’s portfolio includes smartphones and tablets powered by HTC Sense™, a multilayered graphical user interface that vastly improves user experience. HTC is listed on the Taiwan Stock Exchange (TWSE: 2498). For more information, please visit www.htc.com