BenQ recently acquired Siemens's mobile phone unit

It recorded a net loss of 4.99bn Taiwanese dollars ($155m; �86m) for the first three months of the year, against a T$300m net profit a year ago.

The loss was greater than the T$4.02bn shortfall analysts had expected.

However, BenQ said second-quarter mobile phone shipments should be 30% higher than the previous quarter.

It also said that average selling prices for the handsets were set to be up by 10%.

In addition, analysts expect BenQ to be boosted by AU Optronics, in which it owns a 13% share and which is selling increasing numbers of liquid crystal displays (LCDs).