Palm-based PDA maker Handspring saw its revenues continue to rise last quarter - the third of its current fiscal year - suggesting it's coping a little better with the economic downturn than rival Palm.

For the three months to 31 March, Handspring produced sales of $123.8 million, up 261 per cent year on year and seven per cent over the previous quarter.

A small quarter-on-quarter rise, to be sure, and not quite as "strong" as Handspring reckons, but better than Palm's quarter-on-quarter fall of just under ten per cent. Handspring also managed to improve - just about - its gross margins, from 31.4 per cent to 31.8 per cent.

Handspring lost $6.7 million during the quarter. One-off expenses took that to $27.2 million. ®