Huawei brought one of the largest displays to the Mobile World Congress in Barcelona in February 2024.
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BEIJING – Chinese telecommunications company Huawei said Friday that its net profit for 2023 has more than doubled thanks to better product offerings.
The company also attributed the earnings gains to revenue growth of 9.6% year-on-year to 704.2 billion yuan ($99.18 billion). Net profit grew 114.5% year-on-year to 87 billion yuan.
According to Huawei, the higher quality of some companies’ operations and sales also contributed to profitability.
The telecommunications company made a comeback to the smartphone market in 2023 with the quiet release of its Mate 60 Pro in China in late August. Reviews indicated that the device offers download speeds associated with 5G – thanks to an advanced semiconductor chip. That’s despite U.S. restrictions since 2019 on Huawei’s ability to access high-end technology from U.S. suppliers.
The Mate 60 Pro has boosted Huawei’s sales in China. In the fourth quarter, shipments of Huawei smartphones in the country rose 47% from a year ago, putting the company in fourth place in terms of market share, ahead of Xiaomi, Canalys said. The data showed that Apple retained the top spot with 6% year-over-year growth in shipments.
Huawei’s revenue grew 0.9% to 642.3 billion yuan in 2022, as the company stabilized its business in a difficult year after sales fell more than 28% in 2021. Net profit in 2022 fell by 69 %, the largest drop ever recorded. At the time, the company cited rising commodity prices, China’s pandemic controls and growing research and development spending.
Huawei also said Friday that its intelligent automotive solutions business saw revenue grow 128.1% from a year ago to 4.7 billion yuan.
The company sells software and other technology to car companies. It is also working with a car manufacturer for the electric car brand Aito.
Huawei said its consumer business saw revenue grow 17.3% year-on-year to 251.5 billion yuan in 2023.
ICT remained by far Huawei’s largest revenue generator with revenues of 362 billion yuan in 2023, up 2.3% from a year ago.
Cloud revenue grew by almost 22% to 55.3 billion yuan.
– CNBC’s Arjun Kharpal contributed to this report.