Huawei’s revenues dropped significantly in 2021
Huawei had faced a major decline in revenue in 2021 to $99.9 billion due to US sanctions and fallout from the coronavirus.
It achieved $99.9 billion in revenue in 2021 and 17.8 billion in net profits, an increase of 75.9% year on year.
The Chinese tech giant total revenue stood at $136.7 billion in 2020 which dropped to $99.9 billion in 2021.
On Monday, Huawei released its 2021 Annual Report, revealing that its operations remained stable over the past year.
Huawei had reported USD 99.9 billion in revenue in 2021 on Monday.
It also revealed 17.8 billion in net profits, an increase of 75.9% year-on-year.
In 2021, the company’s R&D spending was around USD 22.38 billion, accounting for 22.4% of total revenue.
The total spending on R&D amounts to over USD 132.5 billion over the previous ten years.
The company also intends to increase its R&D investment in the future.
Guo Ping, Huawei’s Rotating Chairman, said at the press conference said that overall performance was in line with the forecast.
He said that the carrier business remained stable, enterprise business experienced steady growth.
The consumer business quickly expanded into new domains.
He said that they had also put ourselves on a fast track for ecosystem development.”
Huawei Pakistan had arranged a virtual press conference for the selected journalists.
Meng Wanzhou, Huawei’s CFO, said despite a revenue decline in 2021, the ability to make a profit and generate cash flows was increasing. We are more capable of dealing with uncertainty, she said.
The company’s cash flow from operating activities dramatically increased in 2021, amounting to USD 9.3 billion.
Its liability ratio also dropped to 57.8%, and its overall financial structure had become more resilient and flexible.
In 2021, Huawei’s carrier business generated USD44.1 billion in revenue.
It helped carriers worldwide deploy leading 5G networks.
Third-party test results have found 5G networks built by Huawei provide a better user experience.
The company tested in 13 countries, including Switzerland, Germany, Finland, the Netherlands, South Korea, and Saudi Arabia.
Meanwhile, Huawei has secured over 3,000 commercial contracts for industrial 5G applications by collaborating with carriers and partners.
These 5G applications are currently seeing large-scale commercial use in manufacturing, mines, iron and steel plants, ports, and hospitals.
