Huawei 2021 annual report shows 113.5 billion yuan profit with 75.9% YoY growth

Just recently, Huawei started its 2021 Annual Report Conference in China in presence of Guo Ping – Huawei’s rotating chairman and Meng Wanzhou – Huawei’s CFO. At the event, Huawei CFO has released the 2021 annual financial report that shows overall sales revenue, net profit, and annual growth rate.

According to the report, Huawei’s overall operation is stable with global sales revenue of 636.8 billion yuan, a net profit of 113.7 billion yuan, an increase of 75.9% year on year (YoY). In the future, Huawei will continue to increase R&D investment.

In 2021, R&D investment will reach 142.7 billion yuan accounting for 22.4% of the annual revenue. The accumulated R&D expenditure in ten years exceeds 845 billion yuan. During the event, Guo Ping pointed out that “The company’s overall business performance is in line with expectations. The operator’s business performance is stable, the enterprise business is growing steadily, the terminal business is rapidly developing new industries, and the ecological construction is entering the fast lane.”

Further, Meng Wanzhou said that “Our scale has become smaller, but our profitability and cash flow acquisition capabilities have increased, and the company’s ability to deal with uncertainty has continued to improve.” Profitability has improved.

In 2021, Huawei’s operating cash flow will increase significantly, reaching 59.7 billion yuan; the asset-liability ratio will be reduced to 57.8%, and the overall financial structure will be more resilient and resilient. It will achieve a sales revenue of RMB 281.5 billion in the operator business field.

Huawei has helped global operators deploy leading 5G networks in 13 countries. Together with operators and partners, Huawei has signed more than 3,000 commercial contracts for 5G applications in the industry, and 5G is being commercialized on a large scale in industries such as manufacturing, mining, steel, ports, and medical care.

Under the wave of digital transformation, Huawei’s enterprise business has achieved rapid growth and achieved sales revenue of RMB 102.4 billion. More than 700 cities around the world and 267 Fortune 500 companies have chosen Huawei to carry out digital transformation, and the number of service and operation partners has grown to more than 6,000.

Smart wearables, smart screens, TWS headsets, and consumer cloud services all achieved sustained growth with revenue from wearable devices, and smart screen businesses increased by more than 30% year on year. More than 220 million Huawei devices are equipped with HarmonyOS, making it the fastest-growing mobile terminal operating system in the world.

In the past year, Huawei has adhered to the concept of openness, collaboration, and altruism, and strived to create a prosperous Euler, Shengsi, and HarmonyOS ecosystem. More than 8 million developers have adopted Huawei’s open platform, open-source software, and rich development tools. Explore innovative business scenarios and business models.

Guo Ping highlighted that “Huawei will move forward in the direction of digitization, intelligence, and low carbonization, relying on the three elements of talent, scientific research and innovation spirit, continue to increase investment, and strive to realize the reconstruction of the technical base of basic theory, architecture, and software, and build a long-term Competitiveness.”

(Source: Huawei)