MOBILE phone users lapping up the latest colour display handsets have helped boost half-year profits of Sesdaq-listed MFS Technology by a whopping 5 1/2 times to $11.6 million.

A surge in orders by handset makers following the introduction of new models pushed revenue to $140.4 million for the six months ended March 31, more than three times that of the same period a year ago.

MFS, a subsidiary of mainboard-listed WBL Corp, designs and makes flexible printed-circuit boards (FPC) for products such as mobile phones and personal digital assistants.

Its sterling set of results shone amid the generally lacklustre performance posted by many other firms in general here.

Turnover from the firm's FPC operations alone increased more than four times to $126.9 million, riding the wave of phone upgrading with the introduction of colour display and MMS features in handsets.

Telecom-related businesses contributed 84.1 per cent of MFS' total turnover.

Managing director Pang Tak Lim said: 'There was a strong migration from monochrome handsets to colour handsets. This is due to a shift in preferences and also multimedia messaging functions.'

The rest of MFS' revenue came from its more traditional printed circuit-board business, which grew 8.8 per cent to $13.5 million. This was driven largely by greater demand in power supply devices.

MFS said higher profits were achieved through better yield, better asset utilisation and more effective cost management.

The company sees demand for cutting-edge mobile phone handsets continuing to drive its FPC business.

It expects the next half of the year to be weaker, although it would still outperform the same period in FY2002.

The company said it has won contracts for several new handset designs which will go into mass production in the third quarter. It added that the emergence of embedded cameras in mobile phones will also provide an extra boost.

Earnings per share was 2.67 cents, up from 0.54 cent the previous year. MFS declared an interim gross dividend of 0.3 cent split in two portions, with one part tax exempt. Net asset value per share rose to 19.8 cents, from 17.4 cents as at end September.