Memory module maker Adata Technology saw its first-quarter net profits surge 340% from a year earlier, buoyed by rising non-operating profits.

Adata's operating income remained negative in the first quarter of 2016, but the company's non-operating activities such as the sale of sports lottery tickets in Taiwan, boosted its net income, the company disclosed.

Adata generated net profits of NT$120 million (US$3.7 million) in the first quarter compared with profits of NT$119 billion in the prior quarter and NT$27.1 billion during the same period in 2015. Operating losses improved to NT$95 million in the first quarter from losses of NT$144 million in the fourth quarter of 2015 and losses of NT$119 million a year ago.

Adata posted net EPS of NT$0.56 in the first quarter of 2016 compared with NT$0.12 a year earlier.

Adata's gross margin climbed 2.58pp on year to 7.15% in the first quarter of 2016, thanks to rising shipments of its SSD products. SSD sales accounted for nearly 30% of the company's total revenues in the first quarter.

Fellow memory module firm Apacer Technology, which has in recent years put increased focus on high-margin industrial products, saw its EPS climb to a five-quarter high of NT$0.60 in the first quarter of 2016.

Apacer has reported consolidated revenues for the first quarter of 2016 declined 30.7% from a year earlier to NT$1.5 billion. Gross margin, however, climbed 5.83pp on year to 18.06% thanks to a favorable product mix.

Apacer had net profits of NT$91.02 million in the first quarter, up 50.9% compared to the same period in 2015.