It looks like Creative Technology is turning the corner.
After a few quarters of poor results, worsened by taking the iPod head on in the MP3 space and a series of patent lawsuits against Apple, the company yesterday said it had returned to profitability.
The net profit of US$92 million in the second quarter to December was a far cry from the net loss of US$21 million the company posted in the previous quarter.
However, this was largely thanks to a settlement payout of US$100 million from rival Apple, which contributed US$82 million to the bottom line and boosted revenues to US$434 million for a 76 per cent increase on the previous quarter.
The numbers look good enough for investors to lift the stock's price initially on the Nasdaq.
On the Singapore Exchange yesterday, its shares gained as much as 2.8 per cent but ended 1.9 per cent lower.