Huawei revenue surges despite US pressure

Huawei has maintained its focus on infrastructure and smart devices and continued to boost the efficiency and quality of its operations.

HUAWEI

Chinese tech giant Huawei said yesterday its revenue for the first nine months of the year grew by almost a quarter despite a United States campaign to isolate the company globally.

The group’s revenue jumped 24.4 per cent year-on-year to 610.8 billion yuan (RM361.18 billion) and its profit margin increased 8.7 per cent, it announced.

Huawei, based in the southern Chinese city of Shenzhen, is the world’s leading supplier of telecommunications networking equipment and the number-two global smartphone vendor.

But it has been under pressure this year as US officials lobbied allies worldwide to avoid the company’s telecom gear over security concerns, amid a wider trade conflict between the two economic superpowers.

The US has expressed concern that Huawei equipment could contain security loopholes that allow China to spy on global communications traffic. The company has repeatedly denied the accusation.

“Huawei has maintained its focus on (information and communications technology) infrastructure and smart devices, and continued to boost the efficiency and quality of its operations,” according to a company statement.

“This contributed to increased operational and organisational stability and solidified the company’s performance in the first three quarters of the year.”

The US blacklist could prevent Huawei from getting hold of key hardware and software, including smartphone chips, and exclude it from the Google Android operating system, which equips the vast majority of smartphones in the world, including those of Huawei.

Huawei said there has been little impact on smartphone sales so far this year. Shipments in the first three quarters surpassed 185 million units, up 26 per cent yearon-year.

Last year, the company crossed US$100 billion (RM419 billion) in annual revenue for the first time.