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ZTE Q3 net profit rises 58.2%

(Agencies)
Updated: 2009-10-28 15:08

ZTE Corp, China's second-largest telecoms equipment maker, posted a 58.2 percent rise in third-quarter net profit on Tuesday as domestic carriers continued to spend on building new 3G networks.

ZTE's third-quarter earnings rose to 408.65 million yuan ($60 million) compared with a net profit of 258.3 million yuan last year, according to Chinese accounting standards.

Related readings:  Battle begins over 3G market  ZTE, Huawei expect overseas business to rise 30%  China's ZTE obtains $15b credit line from CDB  Huawei net surges past $1b mark

The results extend a string of strong ZTE earnings amid China's $58.5 billion spending spree to build networks after 3G licences were issued earlier this year.

Over the past year, both ZTE and Huawei nearly doubled their share of the global mobile gear market, as China telecom carriers rolled out 3G services, said researcher Dell'Oro.

The company's share price rose 52.0 percent in the third quarter, far outpacing the 8.16 percent gain on Hong Kong's China Enterprises index HSCE over the same period.