China's ZTE has announced that its first-half revenues rose by 15% to reach RMB 42.64 billion (US$6.7 billion), although pre-tax profits nearly halved to RMB 656 million (US$103.5 million). The company issued a profits warning last month, citing foreign exchange losses, tighter margins and delays with a China Mobile network tender.

In a statement, the company said that it will "maintain its efforts to strengthen cash flow, control risk and optimize processes with a view to improving efficiency."

During the reporting period, ZTE reported operating revenue of RMB 20.89 billion from the domestic market, accounting for 49% of overall operating revenue and representing year-on-year growth of 26.4%. From the overseas market, ZTE reported operating revenue of RMB 21.76 billion during the period, representing year-on-year growth of 6.2%.

ZTE reported revenue of RMB 21.28 billion for carrier network products during the period, representing year-on-year growth of 3.9%. Terminal products revenue was RMB 14.25 billion, representing year-on-year growth of 27.1%. Revenue for telecommunication software systems, services and other products was RMB 7.11 billion, representing year-on-year growth of 33.8%.

ZTE also saw a 70% increase in sales in its government and enterprise business for the period ending June 30, compared with the same period a year earlier.