ZTE 3rd-Quarter Profits Jumps Nearly 60%

­China's ZTE has reported that its third-quarter revenues jumped by nearly 43% to US$ 2.216 billion, as compared to the same period last year, while net profit attributable to the parent company grew 58.18% to US$60 million.

In terms of market development, ZTE reported substantial growth in operating revenue largely attributable to large-scale 3G network construction in the domestic China market. Internationally, ZTE says that it was well-geared for a stronger competitive position on the back of its cost advantage, financing resources and customisation abilities.

The changing competitive landscape also provided strong opportunities for breakthroughs in key markets and product areas.

Product-wise, ZTE's carrier network segment reported year-on-year growth of 47.32%, which was driven mainly by revenue generated from sales of the Company's 3G network equipment, optical transmission products and data communication products. Revenue from terminal products also grew by 38.67%, which was in line with sales growth for 3G products. Revenue from the Group's telecommunications software systems, services and other products grew by 17.85%, reflecting primarily growth in the sales of fixed terminals.

Looking to the final quarter of the year, core to ZTE's strategy will be to seek increased presence in key markets such as Western Europe and North America while reinforcing its position in the China 3G market.

Posted to the site on 27th October 2009