October 25, 2012 / 8:46 AM / 5 years ago

UPDATE 1-Gemalto Q3 sales jump as mobile unit shines

2 Min Read

* Keeps full-year operating profit target

* Q3 sales up 11 percent to 575 mln eur

* Shares rise 3 pct (Adds share price, analyst comment, details)

PARIS, Oct 25 (Reuters) - Smart-card maker Gemalto on Thursday p osted a rise in t hird-quarter revenue, helped by growing demand for products and software aimed at phones using fourth-generation networks.

Paris-listed Gemalto, which develops the security software embedded in chips for mobile phones and payment cards, posted sales up 11 percent at constant exchange rates to 575 million euros ($745.72 million) abo ve analyst expectations.

Shares in Gemalto rose 3 percent at 0926 GMT to 69 euros, the biggest gainer on France's SBF120 index.

The group kept its target for full-year operating profit to reach 300 million euros, a year earlier than initially planned, and about a quarter higher than last year's operating number. It also reiterated its outlook for an increase in sales and operating profit in all of its units in 2012.

Sales at its mobile division -- which brings in close to half of revenue -- rose 16 percent to 283 million euros, helped by a surge in demand for its 4G-LTE SIM products and software ahe ad of the lau nch of new mob ile devices.

"This very good performance is mainly due to mobile telecoms (..) thanks to the building-up of demand for 4G-LTE networks and the dynamism of software platforms and services," an alysts from broker Gil bert Dupont wrote in a note.

In its security business -- which makes electronic passports, driving licences and health cards for the public sector -- sales grew 22 percent to 98 million euros thanks to the roll-out of electronic identity programs from governments.

Gemalto said it would present a new strategic plan during the second half of 2013. ($1 = 0.7711 euros) (Reporting by Alice Cannet; editing by Mark John and Christian Plumb)

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