- Huawei announces solid business performance and commitment to creating greater value for customers and society
- Continuous investment in technological innovation & research; Percentage of annual sales re-invested into R&D >10%
- Employees in R&D, accounting for 49% of Huawei’s total workforce 96,000+
- Spent on R&D in 2019 131.7 CNY Billion
- Spent on R&D over the past decade 600+CNY Billion
- Active patents held by Huawei as of December 31, 2019 85,000+
- Employees engaged in basic research 15,000
Bengaluru, NFAPost: Huawei released its 2019 Annual Report stating global sales revenue in 2019 rounded off at CNY858.8 billion, up 19.1% year-on-year.
The Chinese telecom and hardware giant registered a net profit of CNY62.7 billion; and its cash flow from operating activities topped CNY91.4 billion, up 22.4% year-on-year.
As part of a long-term, ongoing investment in technological innovation and research, Huawei invested 15.3% of its 2019 revenue – or CNY131.7 billion – back into research and development (R&D). Its total R&D spend over the past decade now exceeds CNY600 billion.
Commenting on the company’s performance, Huawei’s Rotating Chairman Eric Xu said 2019 was an extraordinary year for Huawei.
“Despite enormous outside pressure, our team forged ahead with a singular focus on creating value for our customers. We worked hard to earn their respect and trust, as well as that of our partners around the globe. Business remains solid,” said Huawei’s Rotating Chairman Eric Xu.
In 2019, Huawei’s carrier business led the commercial roll out of 5G networks. To further commercial adoption and promote new innovation in 5G applications, the company established 5G joint innovation centers together with carriers worldwide.
Huawei’s RuralStar base station solutions can effectively address coverage problems in remote areas. These solutions are being used in over 50 countries and regions, bringing mobile Internet to more than 40 million people living in remote areas. In 2019, sales revenue from Huawei’s carrier business reached CNY296.7 billion, up 3.8% year-on-year.
Huawei’s enterprise business continues to support the digital transformation of customers across industries as the company helps lay the foundations for the digital world. Globally, more than 700 cities and 228 Fortune Global 500 companies have chosen Huawei as their digital transformation partner.
In 2019, Huawei announced its computing strategy with the aim of cultivating fertile soil for the intelligent world to flourish. As part of this strategy, the company launched the world’s fastest AI processor, the Ascend 910, and the AI training cluster Atlas 900. In 2019, sales revenue from Huawei’s enterprise business reached CNY89.7 billion, up 8.6% year-on-year.
Huawei’s consumer business continues to see robust growth, with a total of 240 million smartphones shipped throughout the year. The company reports further progress in developing the Seamless AI Life ecosystem across all scenarios and devices, including personal computers, tablets, wearables, and smart screens. In 2019, sales revenue from Huawei’s consumer business reached CNY467.3 billion, up 34% year-on-year.
Huawei’s Rotating Chairman Eric Xu said the external environment will only get more complicated going forward.
“We need to keep enhancing the competitiveness of our products and services, promoting open innovation, and creating greater value for our customers and society at large. This is the only way we can seize the historic opportunities presented by the digital and intelligent transformation of industries, and maintain robust growth in the long run,” said Huawei’s Rotating Chairman Eric Xu.
All financial statements in the 2019 Annual Report were independently audited by KPMG, an international Big Four accounting firm.
Liang Hua Chairman of the Huawei Board said the company in 2019 faced challenges the likes of which the company had never seen and the company stood strong.
“Since the US government added us to its Entity List, we have worked day and night to patch up the holes in this embattled aircraft of ours, ensuring business continuity and timely delivery for our customers. Our operations have remained stable, and our organization is as sound as ever. With effective management, we have been able to achieve excellent performance across all financial indicators, and our business has remained robust throughout 2019,” said Chairman of the Huawei Board Liang Hua.
Chairman of the Huawei Board Liang Hua said moving forward the company will continue create value for our customers and for the wider global community.
“We will work together with our ecosystem partners to promote shared success and use that success as the foundation for sustainable development. No matter how bumpy the road ahead may be, we will stay the course and remain committed to our vision and mission: To bring digital to every person, home and organization for a fully connected, intelligent world,” said Chairman of the Huawei Board Liang Hua.
Founded in 1987, Huawei is a leading global provider of information and communications technology (ICT) infrastructure and smart devices. We are committed to bringing digital to every person, home and organization for a fully connected, intelligent world. We have more than 194,000 employees, and we operate in more than 170 countries and regions, serving more than three billion people around the world.