Its consolidated net profit reached 16.56 billion yen (153.3 million dollars), up 686.8 percent from the same period last year, with recurring profit jumping 289.9 percent to 32.11 billion yen.

Sales grew 9.3 percent to 657.85 billion yen.

"Sales of photo printers kept growing, led by robust sales of digital cameras," the company said in a statement.

"The market for multi-function printers, which combine the functions of a printer, scanner and copier, is growing significantly," it said.

"The success of high-quality picture-snapping cellphones in Japan has also spawned new demand for digital photo processing," it added.

For the full year to March 2004, Seiko Epson expects net profit to grow 164 percent to 33 billion yen, with recurring profit projected at 70 billion yen on sales of 1.41 trillion yen.

Seiko Epson was first listed on the Tokyo Stock Exchange on June 24 in one of the year's biggest flotations, when its shares ended the first day of trading at 3,510 yen, up 35 percent of its initial public offering price.

Seiko Epson closed on Thursday at 3,830 yen, down 30 yen or 0.78 percent.

SPACE.WIRE