- Huawei’s revenue climbed 13% year-over-year in the first half of 2020.
- This comes despite a pandemic and a US trade ban.
- Its growth wasn’t as strong as it was in years past, though.
Huawei has faced multiple global crises in recent months, but that hasn’t stopped the Chinese technology giant from enjoying some success.
The company just reported a revenue of 454 billion Chinese yuan (about $64.9 billion) for the first half of 2020, or about 13.1% more than it made in 2019. It even increased its net profit margin from 8% to 9.2% over that period.
While Huawei didn’t go into detail for the currently unaudited figures, it believed the COVID-19 pandemic wasn’t as damaging as it has been to other companies. Communications and information tech has become a “crucial tool” for both fighting the virus and spurring economic recoveries, the company said.
This performance came in spite of a bleak first quarter, when the company saw just a 1.4% year-over-year hike in revenue. The pandemic has affected the entire mobile industry, leading companies to slow production, close retail stores, and lose some device sales. Huawei appeared to have been particularly hard-hit during that first quarter, when the pandemic was at its height in the company’s native China.
Huawei enjoyed a decent first half of 2020, but it’s not out of the woods yet.
It’s also notable that the failure came in spite of continued pressure from the US. The country extended the order behind its trade ban until May 2021, and reports at The Telegraph and elsewhere suggest the UK may be rethinking its decision to allow Huawei equipment in non-core portions of its 5G networks.
Huawei’s results suggest the days of rapid growth may be in the past, mind you. While the 13.1% growth is notable, it’s much smaller than the 39% surge Huawei saw a year earlier. This was reportedly anticipated when Huawei said its first quarter results met expectations, but there’s little doubt the company has slowed down — and without access to markets like the US, the firm might not have much room to grow.