Huawei Increases Profits by 25%



China’s third-largest smartphone maker  China Huawei Technologies Co., Ltd. announced its annual profit increase on Friday, benefiting from record sales of mobile phones; at the same time, Huawei continued to be accused of espionage Strict review by countries around the world.

Huawei’s consumer business revenue in 2018 reached a record 348.9 billion yuan ($52 billion), benefiting from sales of high-end models such as the P-series and the Mate series. Huawei has rapidly grown into a leader in the smartphone industry.

This performance is in line with the company’s expectations in January, when the company said it could become the world’s largest smartphone maker by year.


The Chinese group denies accusations of cyberespionage and claims to have security standards above the industry average.

The Chinese telecommunications group Huawei won 59,300 billion yuan last year, about 7,850 billion euros, 25.1% more than the same period of the previous year. The rise in profits was mainly due to the increase in its turnover -which surpassed for the first time in its history the psychological barrier of 100 billion dollars-, and particularly of the income from its consumer division, based on the sale especially mobile phones. The strength of Chinese technology accounts, which are not listed on the stock exchange, comes amid growing global scrutiny of the group, particularly from the United States and some of its allies, over suspicions about its ties to the Communist Party of China and amid accusations of espionage.

Huawei last year entered 721.2 billion yuan, about 95,400 billion euros, 19.5% more than in 2017. Turnover rose 45.1% in the consumer segment, which includes the sale of mobile phones , tablets, computers and other smart devices, whose turnover amounted to 348.9 billion yuan (46.2 billion euros). It is the first time in the history of the company in which this division exceeds in revenue the traditional business of telecommunications equipment for operators, which in 2018 fell by 1.3% to 294,000 million yuan (about 39,000 million euros) . The company attributed this decline to “fluctuations in the investment cycle of telecommunications.”

Huawei increases profits by 25% and gains 7.850 billion in 2018 Brussels gives three months to verify the risks of Huawei’s 5G network.

Huawei steps on the heels of Apple to become the world’s second-largest mobile seller

The Chinese firm also announced that it sold 206 million mobile phones worldwide last year, which puts it on a par with Apple as the second world mobile manufacturer, only behind Samsung, according to data from the specialized consultancy Gartner.

Despite the good results of 2018, the Chinese company has been in the spotlight in the United States in recent months in the face of accusations that its teams allow the Chinese government to spy on communications in the countries that use them. On Thursday, the United Kingdom issued a report in which it “has identified technical problems in the Huawei engineering process that imply new risks for the British telecommunications networks.”


Despite the doubts that fall on the company,Huawei rotating chairman Guo Ping said  that these have not translated into fewer sales during the first months of this 2019 and said that revenues have increased by about 30% year on year in January and February. As for the attitude of the US administration, which is pressuring several countries to reject the deployment of 5G technology by the hand of Huawei, the CEO dismissed it as “not very elegant”. “The US has been a leader in many areas, but the current government’s attitude is that of a loser. [The US administration] wants to defame Huawei because he is not able to compete with us in this specific domain, “said the executive, referring to 5G technology.

In the most recent business unit -based on cloud computing services, artificial intelligence and the Internet of things, among others-, Huawei’s revenues grew by 23.8%. The company does not break down the benefits by segment, so it is unknown which of the three (consumers, operators or companies) is the most profitable. By geographical areas, the business of the company still depends to a large extent on its income in China, which accounts for just over half of the total.

Reviewer overview

Huawei Increases Profits by 25% - /10


The Chinese group denies accusations of cyberespionage and claims to have security standards above the industry average.

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