Repurchase program will run over next two months with up to 50 million shares available, 6pc of the outstanding shares
HTC has announced a share repurchase program that will see it buyback up to 50 million shares which it claims could see up to $60 million (£38 million) returned to shareholders.
The Taiwanese manufacturer said the program will run over the next two months and could see it buy back up to six per cent of its outstanding shares.
The repurchasing scheme comes just a few weeks after HTC announced plans to axed up to 2,500 jobs following heavy Q2 losses of £163 million at the end of July.
HTC has seen its revenues plummet by almost 50 per cent to £672 million for the three months ending June 30.
It has already announced plans to cut its product lines to focus on the high end of the market after disappointing take-up of the HTC One M9, which launched at Mobile World Congress in March.
M9_PerLeft_Silver_010315_EMEAThe manufacturer also provided a bleak outlook for Q3, forecasting revenue to more than halve to between NT$19-22 billion (£387 million-£448 million).
“I welcome this opportunity to enhance shareholder value utilizing a relatively small proportion of our balance sheet,” said HTC chairwoman and CEO Cher Wang. “The program reflects our Board’s belief in our ability to execute across our diversification strategy, having put the right structure and procedures in place to pursue sustainable, profitable growth.
“I am excited about all the opportunities ahead in smartphones, virtual reality and connected devices, and remain committed to building the HTC of the future.”