According to the Chinese Business Network, Huawei’s revenue surged by 34.3% to reach CNY 417.5 billion, while net profit rose by 18.2% to CNY 55.1 billion. These figures mark the most profitable first half in the company’s history, underscoring its resilience in the face of ongoing trade restrictions.
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Before the U.S. sanctions were imposed in mid-2020, Huawei experienced its strongest financial performance in the first half of that year. The sanctions, however, significantly impacted the company’s operations. Yet, the record-breaking numbers in the first half of 2024 highlight Huawei’s remarkable recovery. Although the company’s revenue for this period narrowly missed its previous high of CNY 454 billion set in 2020, the net profit reached an all-time high of CNY 55.1 billion, surpassing the CNY 50 billion threshold for the first time and reflecting a profit margin of 13.2%.
Huawei operates across five key sectors: ICT Infrastructure, Consumer Business, Cloud Computing, Digital Power, and Intelligent Automotive Solutions. While the company does not disclose exact revenue figures for each sector, consumer products, particularly its high-end Mate and P-series smartphones, continue to be significant revenue drivers. However, Huawei Cloud is currently the fastest-growing segment. These smartphones are powered by Kirin and Ascend processors manufactured by SMIC, a Chinese semiconductor company. Despite the perceived technological limitations for SMIC, it appears Huawei has managed to secure an arrangement where its contractor absorbs the production costs.
Related Keywords: Huawei, U.S. sanctions, Chinese technology, financial performance, ICT Infrastructure, Consumer Business, Cloud Computing, SMIC, Kirin processors, trade restrictions.
