Updated from 8:31 p.m. EDTTexas Instruments ( TXN) grew its sales 24%, meeting Wall Street's expectations on the top and bottom lines. The healthy financial results, after strong reports from TI customers Motorola ( MOT) and Nokia ( NOK) earlier this month, defy fears that demand for cell phones is at risk of drying up -- at least for the industry leaders. TI said it continued to benefit from demand for advanced, feature-rich cell phones as well as the low-cost handsets sold in developing countries -- both of which employ its chips -- in the three months ending June 30. But the Dallas chipmaker also said that demand in the second quarter was broad-based, pointing to products such as DLP chips for high-definition televisions and microcontrollers used in industrial machines. "There really is no one area that I would point to that I would say wasn't growing sequentially or year over year," said CFO Kevin March. Revenue in the second quarter totaled $3.7 billion, with income from continuing operations of $739 million, or 47 cents a share, compared with $2.97 billion in revenue and 36 cents EPS a year ago. Analysts polled by Thomson First Call were looking for TI to report $3.68 billion in revenue with 47 cents EPS for the recently ended quarter. Investors bid up shares $1.01 in recent after-hours trade to $28.85. Net income, including a gain from the sale of the sensors and controls business, totaled $2.39 billion. TI's earnings included 3 cents a share of stock-compensation expenses and a benefit of 5 cents a share from a tax benefit and a previously announced royalty settlement with Conexant Systems ( CNXT). TI had gross margin levels of 51.6% in the second quarter, vs. 50.1% in the first quarter. Inventory in the second quarter edged up $89 million to $1.34 billion, but days of inventory, at 67 days, remained the same as in the first quarter.