Hewlett Packard (HP) has posted better results than expected, as it grabbed more market share from rival Dell.
HP's sales were led by portable PC products
The world's number two computer maker said net income jumped 51% to $1.46bn (£771.9m), or 51 cents per share, in the three months to April.
Analysts had expected earnings of around 49 cents a share.
HP also made up ground on global market leader Dell, with PC sales up 10% to $7bn - buoyed by more lucrative mobile products such as notebook computers.
A cost-cutting drive which has led to 1,600 job cuts also lifted profits.
Last year HP said it planned to axe 14,500 staff, the latest redundancies take the current job cuts total to near the 8,100 mark.
"This was another good quarter for HP," said chief executive Mark Hurd. "We grew revenue, expanded margins and generated record cash flow."
The firm has fared well in the highly-competitive PC industry since Mr Hurd joined the group just over a year ago, eating into Dell's market share as cheaper components allow it to lower prices on its products.
According to market research firm Gartner, HP's share of PC worldwide shipments jumped to 14.9% in the first three months of the year from 13.8% during the same period in 2005.
At the same time Dell's shipments share fell to 16.5% from 16.9%.
Looking ahead, forecasts for the current from the group were also ahead of Wall Street expectations - despite the three months to July traditionally being a difficult time for the firm.