Huawei Posts Strong H120 Financial Results

Despite an ongoing attack by the U.S. government, Huawei today announced that revenues grew 13.1 percent in the first half of 2020.

“As countries around the globe are grappling with the COVID-19 pandemic, information and communications technologies have become not only a crucial tool for combatting the virus, but also an engine for economic recovery,” a Huawei statement notes. “Huawei reiterated its commitment to working with carriers and industry partners to maintain stable network operations, accelerate digital transformation, and support efforts to contain local outbreaks and reopen local economies.”

Huawei says that it generated $64.88 billion in revenues in the first half, up 13.1 percent year-over-year. Its net profit margin was 9.2 percent, up from the 8.7 percent it reported in the same period last year.

Huawei’s consumer business, which is responsible for its smartphone products, was its biggest, having contributed 56 percent of the firm’s total revenues. Huawei’s carrier business, which is trying to win as many 5G contracts as it can in the face of external pressures, contributed 35 percent of Huawei’s revenues. And its enterprise business brought in 8 percent.

Huawei only obliquely referenced the damaging U.S. campaign to undermine its businesses.

“The complex external environment makes open collaboration and trust in global value chains more important than ever,” Huawei continued. “Huawei has promised to continue fulfilling its obligations to customers and suppliers, and to survive, forge ahead, and contribute to the global digital economy and technological development, no matter what future challenges the company faces.”

Update: After I published this, the UK government announced that it would reverse course and ban Huawei equipment in its high-speed wireless infrastructure, appeasing its U.S. ally.