MICROSOFT is the largest exporter of computer products from Ireland, with estimated sales of £1.44 billion last year, according to a new survey.

Microsoft's sales from its Sandyford plant in Dublin, one of only two manufacturing sites operated by the company, surged by 54 per cent last year, due mainly to the launch of Windows 95 and its impact on all other Mircrosoft products.

The survey of the leading Irish based computer companies, which appears in the current issue of Irish Computer magazine, shows that Dell has increased sales to become the second largest exporter with sales up 48 per cent to an estimated £950 million. Apple slipped back one place into third with sales up 24 per cent to £800 million.

Irish owned companies also enjoyed significant sales growth during last year, the survey found. The distribution company Sharptext was clearly ahead with sales of £120 million, an increase of 78 per, cent on its 1994 turnover. One of the main factors in the growth was the acquisition of Gem Distribution in Britain, which has a turn over of about £40 million sterling.

Cara is the second largest indigenous company, with sales unchanged at £32 million last year.

But Cara is unlikely to be included in next year's Irish list as the

French company Bull recently acquired 51 per cent of the former Aer Lingus subsidiary. Mentec, the third largest Irish company, increased its sales by 20 per cent to £19.8 million.

IBM was Ireland's leading domestic computer vendor during the year with sales in the Republic increasing by 2.5 per cent to £53.5 million. Digital remained in second place with sales static at £45 million, while Hewlett Packard increased its turnover by 59 per cent to £31.5 million and just pipped Dell to become the third largest domestic vendor.

Meanwhile Digital has announced a near eightfold increase in after tax profits for the second quarter, surpassing expectations on Wall Street and sparking an early rally in its share price.

Digital, which employs 700 people in Dublin, Galway, and Belfast, said after tax profits jumped to $148.8 million (£95.38 million) in the quarter ended December 30th, compared with $18.9 million, in the same three month period in 1994.

Turnover for the quarter increased by 14 per cent from $3.47 billion to a record $3.95 billion. The profit figures were better than had been expected and Digital's stock jumped $2 to $69.50 in early trading on the New York Stock Exchange.