Huawei doubles profits in 2023

Above: Ken Hu.

Huawei reported net profit doubled in its 2023 financial year, reaching CNY87 billion as revenue grew across its multiple arms of business.
In its 2023 Annual Report, released on March 30, 2024, the company reported that its performance was in line with forecast, having generated CNY704.2 billion in revenue.

Huawei said that throughout the past year, its ICT infrastructure business remained solid, and its consumer business met expectations. Both its cloud computing and digital power businesses grew steadily, and its intelligent automotive solution business began large-scale delivery.
With its core focus on research and innovation, Huawei invested CNY164.7 billion back into R&D in 2023, which accounted for 23.4% of its annual revenue. Altogether, the company’s R&D investment over the past decade has amounted to CNY1.11 trillion.

“The company’s performance in 2023 was in line with forecast,” said Ken Hu, Huawei’s Rotating Chairman. “We’ve been through a lot over the past few years. But through one challenge after another, we’ve managed to grow. The trust and support of our customers, partners, and friends around the world is what helped us keep going, keep surviving, and keep growing.”

2023 revenue by business

The ICT infrastructure business generated CNY362 billion, up 2.3% YoY.
The consumer business recorded CNY251.5 billion, up 17.3% YoY.
The cloud computing business brought in CNY55.3 billion, up 21.9% YoY.
The digital power business earned CNY52.6 billion, up 3.5% YoY.
The intelligent automotive solution business generated CNY4.7 billion, up 128.1% YoY.

Moving forward, Hu said that Huawei will keep investing in technology and open innovation to advance technology and help different industries modernize. The key to the company’s success, he said, was to succeed through quality, and so he noted that the company would continue its efforts to make quality one of its core competitive strengths.

Huawei reported that it was a strong advocate for open collaboration, and Hu revealed that the company currently engages with 9.5 million developers and 46,000 ecosystem partners around the world. With this approach, Hu said that the company would continue to focus on developing core ICT technologies, as well as building up platform capabilities for complex hardware and sophisticated software systems, which would then be opened up to partners.

“A new journey awaits us in 2024,” Hu concluded. “We will create greater value for our customers and society by driving open innovation, building thriving ecosystems, and succeeding through quality. Here I’d like to thank those who have joined us – and will join us – along the way. Together, let’s make something extraordinary. Let’s build a fully connected, intelligent world.”

All financial statements in the 2023 Annual Report were independently audited by KPMG, an international Big Four accounting firm. To download the 2023 Annual Report, please visit https://www.huawei.com/en/annual-report/2023
Note: The 2023 closing exchange rate is US$1.00 = CNY 7.0808