Huawei’s Net Profit Surges 114.5% as Company Bounces Back in the Smartphone Market

In February 2024, Huawei showcased one of the largest displays at the Mobile World Congress in Barcelona. The Chinese telecommunications company reported a significant increase in net profit for 2023, which was attributed to improved product offerings and a 9.6% year-on-year revenue growth to 704.2 billion yuan ($99.18 billion). Net profit saw a substantial surge of 114.5% year-on-year to 87 billion yuan. Huawei credited the profitability to higher quality operations and sales of some businesses.

Despite restrictions from the US since 2019, Huawei made a comeback in the smartphone market with the launch of the Mate 60 Pro in China. The device offers download speeds associated with 5G due to an advanced semiconductor chip, and its release helped drive Huawei’s smartphone sales in China, with shipments increasing by 47% year-on-year. This placed Huawei fourth in market share ahead of Xiaomi.

In 2023, Huawei’s intelligent automobile solutions business also saw significant growth, with revenue increasing by 128.1% to 4.7 billion yuan. The company sells software and technology to car manufacturers and has partnered with an automaker for the Aito electric car brand. Revenue from the consumer business grew by 17.3% to 251.5 billion yuan in the same year, while ICT remained the biggest revenue driver at 362 billion yuan, up 2.3% year-on-year. Cloud revenue also saw significant growth, increasing by nearly 22% to 55.3 billion yuan