HTC (2498) Q4 2024 earnings summary

Executive summary

• FY2024 revenue was NT$3.08 billion, gross margin 40%; net loss NT$3.42 billion, EPS NT$-4.11.

• Audited consolidated financials received an unmodified opinion, confirming IFRS compliance.

• Main business is VR and smart mobile devices, with VR as the primary revenue source.

• Hosted VIVE XR & AI Innovation Day, launched VIVE Focus Vision, and promoted digital transformation.

• Major post-year-end deal with Google for US$250 million supports XR strategy and financial flexibility.

Financial highlights

• FY2024 operating revenue declined from NT$4.42 billion in 2023 to NT$3.08 billion in 2024.

• FY2024 operating loss was NT$4.64 billion, operating margin -150.6%.

• FY2024 gross profit was NT$1.25 billion, down from NT$1.82 billion in 2023.

• FY2024 total comprehensive loss was NT$1.40 billion, improved from NT$2.89 billion in 2023.

• Cash and cash equivalents at year-end were NT$14.24 billion, up from NT$12.44 billion a year earlier.

Key financial ratios and metrics

• Quarterly gross margin decreased from 41.5% (Q4 2023) to 39.9% (Q4 2024).

• Basic loss per share was NT$-4.11 in 2024, compared to NT$-4.09 in 2023.

• Total assets at year-end 2024 were NT$46.23 billion; total equity was NT$21.43 billion.

• Equity ratio was 46% at year-end 2024, down from 50% at year-end 2023.

• Operating margin improved sequentially to -118.4% in Q4 2024.