Taiwanese Handset-maker HTC said it easily beat its own revenue expectations for the first quarter, and in particular, saw strong sales growth in March — the same month that Apple (NSDQ: AAPL) slapped it with a patent infringement lawsuit.
HTC, which is best known for its Android and Windows-Mobile devices, attributes the sales spike in part to its advertising campaign that is designed to raise the awareness of the company’s brand. The company’s multi-million dollar advertising campaign hit late last year timed for the holiday shopping season, but has continued into the new year, which HTC has coined The HTC Brand Year. HTC’s revenues for the first three months of the year totaled NT37.8 billion (about $1.2 billion), easily beating its forecast of between NT32-34 billion. (about $1 billion).
The month of March was particularly strong when revenues rose sharply to NT$16.4 billion, an increase of about 60 percent from February and 32.4 percent compared to the same month last year. HTC said the better-than-expected figures prove that it has adopted successful branding strategies.
The company reports very few numbers, so it’s hard to get a complete picture of how the company is doing. However, Morgan Stanley recently raised its target price on HTC’s stock, which trades on the Taiwanese stock exchange, and Macquarie Securities reiterated its “outperform” rating for the company. BNP Paribas Securities raised its forecast for the sale of HTC phones in 2010 from 14.5 million to 15.8 million units.