Taiwan's MediaTek reports 51 per cent growth in 1Q profit, fueled by China's handset market

TAIPEI, Taiwan - Asia's largest chipset designer, MediaTek Inc., said its first quarter profit grew 51 per cent from a year earlier, benefiting from China's flourishing smartphone market.

The Taiwanese company said Monday its net profit reached 3.7 billion New Taiwan dollars ($125 million) in the January-March period on revenue of NT$24 billion.

MediaTek helped fuel the sales growth of China's low-cost handsets by providing integrated, customized chipsets that significantly shorten the time and cost of marketing a new product.

It has delivered more sophisticated chipsets over the past year to run entry-level smartphones produced in China.

MediaTek President Hsieh Ching-jiang said the company shipped 35 million chipsets that power low- and mid-cost smartphones in the first quarter, accounting for more than 40 per cent of overall revenue.