HTC 2010 Annual Report Download - page 77

Download and view the complete annual report

Please find page 77 of the 2010 HTC annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 101

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101

152 2 0 1 0 H T C A N N U A L R E P O R T 153
FINANCIAL INFORMATION
c. The Company had examined their circumstances and related information, including past experiences, expert opinions, results of
the evaluation of contingencies and estimation of the degree of actual occurrence, and concluded that the amounts of contingent
assets or liabilities were appropriately accounted.
Construction for Taipei R&D Headquarters
In September 2009, the Company’s board of directors resolved to build the Taipei R&D headquarters in Xindian City and the land was
bought from Yulon Motors Ltd. The estimated budget for the construction is NT$3,380,000 thousand for a total floor space of 92
thousand square meters. Construction is scheduled to be completed by August 31, 2011 (Note 14 has more information).
29. SEGMENT INFORMATION
Industry Type
The Company mainly manufactures and sells smart handheld devices.
Foreign Operations
The Company does not have any foreign operations.
Export Sales
Export sales in 2009 and 2010 were as follows:
2009 2010
NT$ NT$ US$ (Note3)
Asia $ 19,291,108 $ 28,505,519 $ 978,562
North America 70,729,422 137,284,600 4,712,825
Europe 44,000,227 90,094,743 3,092,851
Others 6,218,621 11,867,647 407,403
$ 140,239,378 $ 267,752,509 $ 9,191,641
Major Customers
Sales to major customers were as follows
2009 2010
Customer NT$ NT$ US$ (Note3)
A$ 1,118,794 $ 86,510,154 $ 2,969,796
B28,815,938 26,341,261 904,266
C27,213,647 11,156,997 383,007
$ 57,148,379 $ 124,008,412 $ 4,257,069
5. CONSOLIDATED REPORT
The Board of Directors and Stockholders
HTC Corporation
We have audited the accompanying consolidated balance sheets of HTC Corporation and subsidiaries (collectively, the “Company”) as
of December 31, 2009 and 2010, and the related consolidated statements of income, changes in stockholders’ equity and cash flows
for the years then ended, all expressed in New Taiwan dollars. These consolidated financial statements are the responsibility of the
Company’s management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits.
We conducted our audits in accordance with the Rules Governing the Audit of Financial Statements by Certified Public Accountants
and auditing standards generally accepted in the Republic of China. Those rules and standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial
position of HTC Corporation and subsidiaries as of December 31, 2009 and 2010, and the results of their operations and their cash
flows for the years then ended, in conformity with the Guidelines Governing the Preparation of Financial Reports by Securities Issuers,
and accounting principles generally accepted in the Republic of China.
Our audits also comprehended the translation of the 2010 New Taiwan dollar amounts into U.S. dollar amounts and, in our opinion,
such translation has been made in conformity with the basis stated in Note 3. Such U.S. dollar amounts are presented solely for the
convenience of readers.
January 18, 2011
Notice to Readers
The accompanying consolidated financial statements are intended only to present the consolidated financial position, results of operations and cash flows in accordance with
accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to audit such
consolidated financial statements are those generally accepted and applied in the Republic of China.
For the convenience of readers, the auditors’ report and the accompanying consolidated financial statements have been translated into English from the original Chinese version
prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any dierence in the interpretation of the two
versions, the Chinese-language auditors’ report and consolidated financial statements shall prevail. Also, as stated in Note 2 to the consolidated financial statements, the additional
footnote disclosures that are not required under generally accepted accounting principles were not translated into English.