-0.1 C
Saturday, December 2, 2023

Huawei’s net profit rises to $5.1bn as it focuses on growth opportunities

BusinessHuawei's net profit rises to $5.1bn as it focuses on growth opportunities

Huawei Technologies Co announced on Friday that it had generated a net profit of 35.6 billion yuan ($5.1 billion) in 2022, with total revenue of 642.3 billion yuan. Despite facing continued pressure from external factors, including the prolonged US government restrictions, the company’s overall business results were in line with its forecast. The revenue from Huawei’s carrier, enterprise, and consumer businesses was 284 billion yuan, 133.2 billion yuan, and 214.5 billion yuan, respectively.

Xu Zhijun, rotating chairman of Huawei, stated during the company’s annual report press conference that the next few years will be critical to Huawei’s sustainable survival and development. The company plans to focus on creating growth opportunities, with a strong emphasis on research and development.

Meng Wanzhou, chief financial officer of Huawei, said that the company’s financial position remains solid, with strong resilience and flexibility. Despite substantial pressure in 2022, Huawei’s liability ratio was 58.9 percent, and the net cash balance was 176.3 billion yuan. The balance of total assets reached one trillion yuan, with current assets such as cash, short-term investments, and operating assets comprising a significant portion.

In 2022, Huawei’s total R&D spending was 161.5 billion yuan, accounting for 25.1 percent of the total revenue, among the highest in the company’s history. “In times of pressure, we press on, with confidence,” Meng said. Xu also stated that while Huawei faces considerable pressure ahead, the company has what it takes to come out the other end with opportunities to grow, a resilient business portfolio, a unique competitive edge, the enduring trust of its customers and partners, and the courage to invest heavily in research and development.

Huawei’s solid financial position and its emphasis on research and development reflect the company’s commitment to its long-term business strategies. As it continues to adjust its operations in response to external challenges, Huawei is poised to navigate through challenging times and emerge even stronger.

Read More:

Check out our other content

Check out other tags:

Most Popular Articles