ZTE (ZTCOF), which makes smartphones and network equipment, was thrown into crisis in April when the US Commerce Department blocked American companies from selling it vital components. The move forced it to halt almost all of its operations and fueled tensions between the Chinese and US governments.
It's back in business now after paying a $1 billion fine and agreeing to heavy oversight from the US government.
The months-long ban delivered a heavy blow to ZTE's revenue, which dropped to 39.4 billion yuan ($5.8 billion) for the first half of the year from 54 billion yuan ($7.9 billion) a year earlier.
Combined with the hefty fine, the ban helped drag the company to a net loss of 7.8 billion yuan ($1.1 billion).
But ZTE predicts it will post a net profit of as much as 1 billion yuan ($146 million) for the quarter ending in September, according to its earnings report released late last Thursday.
"ZTE is rapidly moving back on track," Edison Lee, an analyst with investment bank Jefferies, said in a research note.
The company's shares rose more than 1% in Hong Kong last Friday, but they are still down about 40% from where they were before the ban.