Huawei Reports Marginal Revenue Growth in First Three Quarters of 2023

Leading technology giant Huawei has announced impressive financial results for the first three quarters of 2023, showcasing a remarkable resurgence in its business operations.
Huawei Harmony OSHuawei has posted a 2.4 percent increase in revenue, reaching CNY456.6 billion (approximately $62.4 billion) for the first three quarters of the year. Additionally, the company achieved a net profit margin of 16 percent, with a significant 177.8 percent increase in profits to 73.05 billion yuan, according to calculations by Reuters.

The surge in profits can be attributed to several factors, including payments related to Huawei’s sale of its Honor smartphone unit in November 2020. Furthermore, the company’s efforts in management and sales strategy improvements have played a pivotal role in this financial upswing, as indicated by a company spokesperson.

Huawei, a global leader in the technology sector, generates its revenues from diverse business areas, including telecom network equipment, smartphones, and enterprise networking products.

Notably, Huawei’s position in the Chinese smartphone market has strengthened, with Counterpoint data revealing that it ranks as the sixth-largest smartphone brand in China for the quarter, capturing a market share of 12.9 percent. This figure represents a substantial increase from 9.1 percent during the same period in the previous year.

Huawei’s success in the smartphone sector can be attributed to the release of the Mate 60 series at the end of August. Several research firms, including Counterpoint Research, reported a 37 percent year-on-year surge in smartphone sales for the company during this period.

Canalys Research Analyst Lucas Zhong said earlier: “The Huawei Mate 60 series launch sparked the market in China. If Huawei expands the new Kirin chipset into its low-to-mid-range portfolio in the future, it has the potential to disrupt the competitive dynamic among leading vendors.”

Huawei’s spokesperson pointed out that the strong revenue growth during the third quarter is also linked to the company’s expansion into digital power, cloud services, and auto parts businesses. The release of the Mate 60 series, although relatively late in the quarter, has clearly made a substantial impact on the company’s overall performance.

Richard Yu, Huawei’s Smart Car CEO, shared exciting news about the company’s electric-vehicle brand, Aito. He announced that Aito had received more than 70,000 orders for its revamped M7 model and was investing in its supply chain to meet this soaring demand.

Huawei’s robust financial results for the first three quarters of 2023 underscore the company’s ability to adapt, innovate, and thrive in a highly competitive and ever-evolving tech landscape. The company’s growth across various sectors indicates a promising future in the global technology industry.