Huawei Announces H1 2019 Revenue: Consumer business witness 24% YoY Growth

Huawei Announces H1 2019 Revenue: Consumer business witness 24% YoY Growth

[Shenzhen, China, July 30, 2019] Huawei announced its business results for the first half of 2019: CNY401.3 billion in revenue, a 23.2% increase over the same period last year. The company’s net profit margin for H1 2019 was 8.7%.

In Huawei’s consumer business, H1 sales revenue hit CNY220.8 billion. Huawei’s smartphone shipments (including Honor phones) reached 118 million units, up 24% YoY. The company also saw rapid growth in its shipments of tablets, PCs, and wearables. Huawei is beginning to scale its device ecosystem to deliver a more seamless intelligent experience across all major user scenarios. To date, the Huawei Mobile Services ecosystem has more than 800,000 registered developers and 500 million users worldwide.

According to Huawei’s Chairman, Liang Hua, operations are smooth and the organization is as sound as ever. With effective management and an excellent performance across all financial indicators, Huawei’s business has remained robust in the first half of 2019.

Huawei has achieved many milestone, it became number 2 smartphone manufacturer globally this is as per the report from IDC. Huawei had a year-over-year growth of 50.3 percent in 1Q19 with volumes of 59.1 million units and a 19.0 percent market share. Huawei sold 200 million smartphones in 2018, setting yet another new milestone for the company. The company had managed to ship 100 million devices by the end of May, thus reaching the 100 million mark faster than it did last year. Huawei has managed to mark a new 3-month sales record with its P30 series managing to reach 10 million sales in a mere 85 days,  which,  incidentally,  is two months faster than the P20 series from last year. Not only the P30 series, but the Huawei Watch GT also broke sales records having sold over 2 million units since its launch in October, making it the most popular Huawei smartwatch.

R&D plays a pivotal role in Huawei’s product offerings and the fact that it invests around minimum 10% of their revenue towards R&D bears testimony towards their commitment towards innovation. Huawei spent over $15 billion in R&D last year. They rank fifth globally in the 2018 EU Industrial R&D investment scoreboard. Huawei’s legacy in R&D investment has made the brand one of the largest patent holders in the world.

“Revenue grew fast up through May,” said Liang. “Given the foundation we laid in the first half of the year, we continue to see growth even after we were added to the entity list. That’s not to say we don’t have difficulties ahead. We do, and they may affect the pace of our growth in the short term.”

He added, “But we will stay the course. We are fully confident in what the future holds, and we will continue investing as planned – including a total of CNY120 billion in R&D this year. We’ll get through these challenges, and we’re confident that Huawei will enter a new stage of growth after the worst of this is behind us.”

[1]: The financial data disclosed here are unaudited figures compiled in compliance with the International Financial Reporting Standard. Converted into United States dollars (“USD”) using the market rate at the end of June 2019, USD1.00 = CNY6.8785.