The Shenzhen-headquartered company, which was put on the U.S. trade blacklist in 2019, announced Friday that it generated 320.4 billion yuan ($49.6 billion) in revenue in the first half of 2021. It’s a significant fall from the 454 billion yuan that Huawei recorded in the first half of 2020.
Eric Xu, Huawei’s rotating chairman, said in a statement that the company had set its strategic goals for the next five years. “Our aim is to survive and to do so sustainably,” he said.
Huawei said it recorded a 9.8% profit margin, which is its highest since 2019, and added that the overall performance was in line with forecasts.
The chairman of Huawei said the Chinese technology company’s “aim is to survive” as revenue fell almost 30% in the first half of the year. Huawei’s business is split into three subdivisions: carrier, enterprise, and consumer.
The company said its carrier business that has been involved in the kind which sells 5G and other telecommunications infrastructure has been growing out and about steadily outside China in the first half of the year. However, China, which is its largest market by far, it was affected by delays in the 5G network rollout.
To better serve its customers, Huawei divides its operations into three distinct divisions: carrier, enterprise, and consumer.
Since Huawei will be selling off its Honor division at the end of 2020, the company has reported a decrease in consumer business revenue from the previous year, from 255.8 billion yuan to 135.7 billion yuan.
The company’s carrier division, which offers 5G and other telecoms infrastructure, had its first-half revenue drop to 136.9 billion yuan from 159.6 billion yuan in the first half of 2020.
According to Huawei, carrier business expanded steadily outside of China in the first half of 2018. However, the company reported being impacted by delays in the rollout of 5G networks in China, its most important market.
Since China Mobile, China Broadcasting Network, China Telecom, and China Unicom are all working on 5G, Huawei predicts the carrier business will continue to expand gradually over the next six months.
According to Huawei, enterprise sales rose to 42.9 billion yuan in the first half of 2020, up from 36.3 billion yuan a year earlier.
Huawei’s enterprise business expanded faster internationally than in China, and the company expects it to be the “most promising development engine” in 2019.
Despite a drop in consumer business income due to external causes, Xu is optimistic about the future growth of the company’s carrier and enterprise businesses.
He continued, “These are difficult times, and all of our personnel have been pushing through with remarkable drive and strength. I appreciate all that the Huawei team has done.