Huawei posts Q1 results, says biz remains resilient | THE DAILY TRIBUNE | KINGDOM OF BAHRAIN

Huawei posts Q1 results, says biz remains resilient

TDT | Manama

The Daily Tribune – www.newsofbahrain.com

Huawei yesterday announced first quarter 2021 results, reporting a rise in profit, despite a decline in quarterly revenues hurt mainly by a drop in consumer business revenues. First-quarter results, the company said, were in line with the forecast.

Huawei said its net profit margin for Q1 was up 3.8 percentage points year-on-year at 11.1%, as revenues slipped 16.5% to USD23.17 billion.

Network business, the company said, maintained steady growth, while consumer business revenue declined, in part as a result of selling the Honor smart device brand in November 2020.

Royalty income

The company attributed the growth in net profit margins to ongoing efforts to improve quality of operations and management efficiency, as well as a patent royalty income of US$600 million. “2021 will be another challenging year for us, but it’s also the year that our future development strategy will begin to take shape,” said Eric Xu, Huawei’s Rotating Chairman.

“We thank our customers and partners for their ongoing trust. No matter what challenges come our way, we will continue to maintain our business resilience. Not just to survive but do so sustainably.

As always, we will remain focused on the needs of our customers and keep delivering practical business value.” “Huawei is driving efforts to fully unleash the value of 5G.

It is helping carriers around the world roll out their 5G networks, meeting the demands of consumers and industries alike while boosting its delivery efficiency. It continues to improve its software engineering capabilities and ramp up investment in the software sector to gradually increase the proportion of software and services in its total revenue mix.” “As always, we remain committed to technological innovation and investing heavily in R&D as we work to address supply continuity challenges caused by restrictions in the market”, stressed Xu.

“We will continue making breakthroughs in basic science and pushing the frontiers of technology.”