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Chinese vendor says bottom line grew by almost 16% in first three months of 2016.
ZTE this week reported strong growth in net profit for the first quarter of the year, just weeks after revising downwards its full-year 2015 bottom line on the back of its problems in the U.S.
The Chinese equipment maker reported a net profit attributable to shareholders of 950 million yuan (€128 million) for the three months to the end of March, an increase of 15.97% year-on-year.
Basic earnings per share came in at CNY0.23.
The vendor said improvements in operating cash flow drove the increase.
ZTE generated operating revenues of CNY21.86 billion (€2.9 billion), up 4.09% on the same quarter a year ago.
Earlier this month ZTE reported a full-year profit of CNY3.21 billion for 2015, down from the CNY3.78 billion figure it predicted in January.
Full-year revenue came in at CNY100.19 billion, also slightly lower than the preliminary figure the Chinese firm shared.
ZTE delayed the release of its final numbers until it could assess the impact of export restrictions placed upon it by U.S. authorities.
It was given a temporary reprieve from the sanctions in March, and said it is working towards a resolution with the relevant authorities.
