Huawei reported a significant increase in net profit for 2023, which more than doubled compared to the previous year, driven by improved product offerings and a 9.6% year-on-year revenue growth to 704.2 billion yuan ($99.18 billion). Net profit also saw a substantial increase of 144.5% to 87 billion yuan, thanks to higher quality operations and increased sales in certain business segments.
The company made a strong comeback in the smartphone market in 2023 with the release of its Mate 60 Pro in China, showcasing advanced semiconductor technology that enabled 5G download speeds. Despite U.S. restrictions on accessing high-end tech, Huawei’s smartphone shipments in China surged by 47% in the fourth quarter, placing the company in fourth position by market share, ahead of Xiaomi.
In 2022, Huawei experienced a modest 0.9% revenue growth to 642.3 billion yuan, following a challenging year in 2021 with a significant decline in sales. Net profit in 2022 had also decreased by 69%. However, in 2023, the company’s intelligent automobile solutions business saw a remarkable 128.1% revenue growth, reaching 4.7 billion yuan.
Huawei’s consumer business also performed well, with a 17.3% year-on-year revenue growth to 251.5 billion yuan in 2023. ICT remained the company’s primary revenue driver, generating 362 billion yuan in revenue in 2023, a 2.3% increase from the previous year. Additionally, cloud revenue grew by nearly 22% to 55.3 billion yuan.
Overall, Huawei’s strong performance in 2023 was attributed to a combination of successful product launches, improved operations, and strategic partnerships in key business segments.
In February 2024, Huawei showcased one of the largest displays at the Mobile World Congress in Barcelona. The Chinese telecommunications company reported that its net profit for 2023 more than doubled compared to the previous year, reaching 87 billion yuan. This significant increase was attributed to a 9.6% growth in revenue to 704.2 billion yuan.
Huawei’s comeback in the smartphone market was highlighted by the release of the Mate 60 Pro in China in late August 2023. The device, powered by an advanced semiconductor chip, offered high-speed 5G connectivity despite restrictions imposed by the U.S. on Huawei’s access to American technology since 2019. The Mate 60 Pro contributed to a 47% surge in smartphone shipments in China in the fourth quarter, placing Huawei in fourth place by market share.
In 2022, Huawei experienced a slight revenue growth of 0.9% to 642.3 billion yuan after a challenging year in 2021 which saw a significant decline in sales. The company’s net profit in 2022 dropped by 69%, the largest decrease on record, attributed to various factors including rising commodity prices and increased research and development spending.
Huawei’s intelligent automobile solutions business saw a significant revenue increase of 128.1% to 4.7 billion yuan in 2023. The company provides software and technology to car manufacturers and has partnered with an automaker to launch the Aito electric car brand. The consumer business also performed well, with a 17.3% year-on-year revenue growth to 251.5 billion yuan.
The ICT sector remained Huawei’s primary revenue driver, generating 362 billion yuan in revenue in 2023, marking a 2.3% increase from the previous year. Additionally, the cloud revenue experienced significant growth of nearly 22% to 55.3 billion yuan.
Overall, Huawei’s improved product offerings, increased sales, and successful expansion into new business areas contributed to its strong financial performance in 2023. The company’s efforts to diversify its revenue streams and innovate in sectors such as smartphones and intelligent automobile solutions have helped Huawei maintain its position as a leading player in the telecommunications industry.
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