HTC posts record quarterly earnings

High Tech Computer Corp (HTC, 宏達電), the world's biggest maker of mobile phones operating with Microsoft's system, yesterday said quarterly earnings set an all-time high, helped by strong demand for its products.

Net income more than doubled to NT$5.39 billion (US$168.9 million) in the first three months of this year, compared to NT$1.57 billion a year earlier, according to a company statement. Earnings per share also rocketed to NT$15.11 from NT$4.44 over the same period.

Gross margins bounced back to hit historical highs of 29.26 percent, compared to 20.53 percent a year ago, it said.

First-quarter net income was about 24 percent higher than the NT$4.35 billion projected by Vincent Chen (陳豊丰), an analyst with CLSA Ltd's Taipei branch.

HTC said it was bullish about the future demand for smartphones and personal digital assistant (PDA) phones.

The company also plans to supply mobile phones with TV transmitters for third-generation (3G) operators including Japan's top mobile operator NTT DoCoMo Inc and European carrier T-Mobile.

"Robust shipments of wireless products amid a positive response from clients and individual customers were the key driver for first-quarter sales and profits," HTC said in the statement.

HTC said it would start adding Microsoft's direct "push e-mail" function to all of its new products.