Central News Agency
2013-10-22 12:30 PM
As of 11:28 a.m., shares of HTC had added 4.60 percent to NT$136.50 (US$4.62), with 14.42 million shares changing hands. The weighted index on the Taiwan Stock Exchange was up 0.01 percent at 8,420.51.
In an interview in the Financial Times dated Oct. 20, Chou said he has offloaded some of his duties to Wang to focus on product development, while Wang will now oversee sales, marketing and supplier relationships.
"I took on too many things. I need to be more focused on innovation and (the) product portfolio," Chou told the British newspaper.
HTC said that with global competition fiercer than ever the company is at a critical stage, and Chou will now be able to concentrate on creating the best products to boost the company's competitive edge.
Yet while Chou shed some of his operational duties, HTC said, he will still have the final say in the company's operating strategy. "After HTC shares had fallen sharply on concerns over its falling market share and worsening bottom line, the change has prompted many bargain hunters to return to the stock," Lee said.
Before the latest rebound, HTC shares had shed more than 56 percent of their value since the beginning of this year. The stock is down to about one-tenth of its historical high of NT$1,300 seen in April 2011.
Earlier this month, HTC reported a net loss of NT$2.97 billion, or NT$3.58 per share, for the third quarter, the company's first quarterly loss since listing on the main board in March 2002.
HTC missed its third quarter sales target of NT$50 billion-NT$60 billion and incurred an operating loss of NT$3.5 billion in the three-month period.
According to International Data Corp., HTC's global market share fell to 2.6 percent in the second quarter of this year, from a peak of 10.3 percent in the third quarter of 2011.
"The shift in duties could provide HTC with a turning point to boost interest in the stock. The technical rebound may continue until the stock moves closer to the nearest technical resistance at around NT$160.00.
Lee said he expected the launch of its first phablet model -- the HTC One max -- to boost the company's sales and improve its bottom line.
Deutsche Securities remained downbeat about the HTC's prospects, however, reiterating its "sell" recommendation and NT$85 target price on expectations that the smartphone vendor will continue to post a loss in the fourth quarter. (By Esme Jiang and Frances Huang)