Harbin Electric Inc, a Nasdaq-listed motor systems developer, said its net income for the second quarter of 2007 stood at 4.6 mln usd, up 24 pct from a year earlier due to higher product sales, government grants, and interest income from bank deposits and an interest rate swap.

Net earnings per diluted share was 0.24 usd compared with 0.21 usd last year.

Total revenues were 14 mln usd, a 44 pct increase from a year earlier, driven by continued growth in sales of industrial linear motors and special motors to existing customers, the Chinese firm said.

Net income for the first half stood at 8 mln usd, up slightly from 7.5 mln a year earlier, driven by higher sales which contributed 5 mln usd to gross profit for the period.

Net earnings per diluted share for the first half was 0.42 usd, compared with 0.43 usd in the same period last year.

The company generated net revenues of 27.6 mln usd in the first half, compared with 18.6 mln a year ago, primarily due to increased sales to existing customers.