Huawei's H1 revenue up 19 percent year-on-year at $22 billion

No. 2 telecom equipment maker expects to generate an operating margin of 18.3 percent in the first six months of 2014

Reuters

TAIPEI (Reuters) - Huawei Technologies Co Ltd, the world's No. 2 telecom equipment maker, said on Monday it will achieve sustainable growth in 2014 after posting a 19 percent jump in first-half revenue to 135.8 billion yuan ($21.88 billion).

The Shenzhen-based company also said it expected to generate an operating margin of 18.3 percent in the first six months of 2014. The company did not elaborate in its brief statement.

"Driven by increasing investments in LTE networks worldwide, Huawei has further solidified its leadership position in mobile broadband," Huawei's CFO Cathy Meng said in the statement.

"Rapid growth in software and services helped maintain steady growth in our carrier network business."

Meng said Huawei achieved "sustainable growth" in its consumer business, which includes smartphone manufacturing, thanks to better brand awareness.

Huawei's sales growth in the first half, which the company said was in line with its expectations, comes after a 222 percent to 270 percent jump in first-half net profits flagged by cross-town competitor ZTE Corp last week.

ZTE attributed the growth to improving margins and revenue from new contracts for China's next-generation telecoms network.

Last year, Huawei reported a 10.8 percent rise in its first-half revenue. The company reported 12.2 percent growth in its operating margin in 2013.

Huawei earlier this year set a target revenue of $70 billion yuan by 2018, or annual growth of about 10 percent a year, after posting 8.6 percent growth last year.

(Reporting by Yimou Lee; Editing by Stephen Coates)

ArticleTools

Related Tags

Featured Reports

Understanding and Capitalizing Upon Telecom APIs for Communications Enabled Applications
Big Data and Analytics software and applications will play a crucial role in making IoT a success. The data generated through sensors embedded in various things/objects will generate massive amounts of unstructured (big) data on real-time basis that holds the promise for intelligence and insights for dramatically improved decision processes.

 

Market Opportunity: Big Data in the Internet of Things
Big Data and Analytics software and applications will play a crucial role in making IoT a success. The data generated through sensors embedded in various things/objects will generate massive amounts of unstructured (big) data on real-time basis that holds the promise for intelligence and insights for dramatically improved decision processes.

 

Concise, Practical Market Reports on Big Data, IoT, CDN & More!
Access the exclusive new series of market research reports brought to you through the partnership of Mind Commerce research and TelecomEngine.com.
Browse the latest titles

 

 

Featured Events & Partners

GEN 15
Nov. 16-19, 2015

Omni Hotel, Dallas, Texas

The global gathering of networking professionals enabling the future of agile, assured and orchestrated services powered by CE 2.0, LSO (Lifecycle Service Orchestration), SDN and NFV.

Visit event website...
 

 

Business Wire