Huawei 2024 revenue surges to near-record high as China smartphone comeback takes hold
Huawei Technologies Co. Ltd, the Chinese multinational technology company, on Monday, reported a significant 22.4% increase in its 2024 revenue, driven by its core businesses of telecommunications and consumer electronics. The company's revenue reached 862.1 billion Chinese yuan ($118.2 billion), marking the second-highest revenue figure in the company's history, just short of the record 891.4 billion yuan reported in 2020.
The consumer business division, which includes smartphone sales, contributed heavily to the revenue surge, registering sales of 339 billion yuan. This represents a sharp acceleration of 38.3% from the previous year, primarily driven by strong smartphone sales in China.
The report comes at a time when Huawei has been aggressively adapting its business model to cope with U.S. sanctions that have limited its access to essential technologies, including semiconductors.
However, the company's net profit experienced a decline, falling to 62.6 billion yuan, a drop of 28% compared to the previous year. Huawei attributed this decline to increased investments, a necessary step to ensure the company’s future growth and sustainability.
“In 2024, the entire team at Huawei banded together to tackle a wide range of external challenges, while further improving product quality, operations quality, and operational efficiency,” said Huawei’s rotating chairwoman, Meng Wanzhou, in the company’s annual report.
The past few years have been challenging for Huawei following the U.S. sanctions that effectively cut off its access to American technology and suppliers. The sanctions have forced the company to pivot and focus more on its domestic market while also pushing into new areas like cloud computing and smart cars.
Despite these challenges, Huawei's impressive revenue figures reveal the resilience of the company and its ability to adapt in a rapidly changing global business environment.
The company's financial performance in 2024 demonstrates its continued commitment to innovation and quality, even amidst external uncertainties. It also underscores Huawei's significant role in the global tech industry, particularly in the telecommunications and consumer electronics sectors.
With its 2024 financial results, Huawei has shown that despite external pressures, it remains a formidable player in the global tech arena. In the face of adversity, the company continues to push forward, innovating, growing, and adapting to meet the demands of the ever-evolving technology landscape.