The Chinese tech giant has made a 40% rise in annual operating profit despite being blacklisted in the United States because of claims of cyber spying. The record growth is attributed to Huawei growing in emerging markets.
The results of 2013 showed that Huawei had a tough year, as two of the largest markets (the US and Australia) refused to let the company take government contracts. Huawei chose another way and placed its hopes in developing markets and Europe, where it has made headway building 4th-generation mobile networks.
The unlisted company has denied any spying links with the Chinese government and recently reported an unaudited 2013 operating profit of $4.8 billion (increase of 43%). Huawei’s revenue was $39.3 billion (8% increase, despite the goal of 10%). The Chinese giant, which ranks behind Ericsson in telecom gear sales, is expected to release audited financial results for 2013 in the 2nd quarter of 2014. Huawei’s flagship carrier business, which provided almost 3/4 of revenue in 2012, sells equipment to telecom operators.
In addition, smartphone shipments reached 52 million units worldwide in 2013, though the goal was 60 million unit target. The company is recognized as the 3rd-largest smartphone maker globally in the 3rd quarter of 2013, with a 5% market share. But the company is far beyond Samsung and Apple, accounting for 35% and 13% share respectively. Finally, Huawei also has an enterprise segment, which builds and sells communications equipment to businesses and institutions.