Yet more good news for a key partner in Apple's iPod ecosystem, this time Taiwan's Hon Hai Industries.

The electronics manufacturer exceeded market expectations in its third quarter, revealing a 41 per cent increase in profits, and was optimistic for its fortunes in the current Christmas quarter.

Hon Hai made a net profit of T$11.11 billion in the July-September quarter, according to Reuters. It made T$7.89 billion a year ago.

Goldman Sachs said that it expects iPod nano and PlayStation Portable shipments (Hon Hai manufactures both products) to climb 30-40 per cent sequentially.

The company also makes PCs for Dell, HP and Apple.