Strong Smartphone And 4G Demand Boost Huawei Revenues By 30 Percent

Huawei has claimed strong financial growth across all of its major businesses as the Chinese manufacturer continues to go from strength to strength.

The only figure released from its H1 2015 results showed sales increased by 30 percent year on year to 175.9 billion yuan (£18.1bn), as its smartphones, networking equipment and carrier products all saw strong growth across the world.

The results showed “stable and healthy growth” in all three of Huawei’s business segments, Huawei’s chief financial officer Meng Wanzhou said:

“Thanks to the extensive application of our cloud computing, storage, agile network, and other flagship products and solutions in the smart city, finance, education, and ISP markets in and outside of China, our growth in the enterprise business began to pick up in the first half of this year.”

Dialled in

The results leave Huawei well on target to hit its target of shipping 100 million smartphones across the world by the end of 2015, having sold nearly 10 million smartphones every month since May, according to a leaked memo, seen by Reuters, from the head of the company’s consumer business, Richard Yu.

In 2014, Huawei sold 75 million smartphones – less than its original 80 million target – as it seeks to make an impact on the increasingly competitive smartphone market.

Recent Gartner figures showed that Huawei held 5.4 percent of the global smartphone market share in the first quarter of this year, far behind Samsung, Apple and Lenovo, but this figure could soon grow, particularly as the company is reportedly set to make Google’s next Nexus device.

“Huawei’s mid-range and high-end smartphones, Mate7 and P8 (pictured above) in particular, as well as Honor-branded phones, have made solid progress, helping us guarantee quality and sustainable growth in the consumer business,” said Meng.

Speeding on

But there was also praise for Huawei’s carrier business, which has seen a large amount of “future-oriented investment” as the company looks to launch a commercial 5G network by 2020.

This investment includes a large amount of work around the development of next-generation network technologies such as software-defined and cloud computing, as well as Huawei’s “SoftCOM” projects focusing on software-defined technology.

“Investment continued to pour into 4G network construction in China. In addition, the growth in global data traffic drives investment in network capacity expansion, while carriers’ digital transformation pushes up investment in the ICT industry,” Meng said.

“With Huawei’s well-balanced, worldwide presence, we are confident that we will maintain effective growth and steady and healthy development in all business segments in 2015.”

What do you remember about the smartphones of 2014? Try our quiz!

Mike Moore

Michael Moore joined TechWeek Europe in January 2014 as a trainee before graduating to Reporter later that year. He covers a wide range of topics, including but not limited to mobile devices, wearable tech, the Internet of Things, and financial technology.

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