Chinese tech giant Huawei reported revenue of $ 98.6 billion in the first three quarters of 2020, an increase of 9.9% from the same period last year. The company’s net profit margin during this period was 8.0%, based on unaudited figures prepared in accordance with International Financial Reporting Standards.
In the first three quarters of 2020, Huawei’s business results have essentially “ lived up to expectations. ” The company’s third quarter revenue growth slowed sharply from the previous quarter due to its inability to source critical high-end semiconductors due to US restrictions and the negative impact of the Covid pandemic -19 on the supply chain.
The company said that due to the Covid-19 pandemic, its global supply chain is under intense pressure and its production and operations face significant challenges. The company continues to do its best to find solutions, survive and move forward and fulfill its obligations to its customers and suppliers.
The Chinese telecommunications equipment and smartphone maker stressed that it would leverage its strengths in ICT technologies such as AI, cloud, 5G and computing to provide scenario-based solutions, develop industrial applications and unleash the value of 5G networks with its partners.
The company’s net profit margin in the first three quarters was 8.0%, compared to 8.7% in the same period last year. Analysts predict the company’s semiconductor inventories will only last until June 2021.
After three rounds of export restrictions, Huawei has lost almost all access to semiconductors using American technology, especially the high-end chips it needs for its telecommunications and cell phone companies.
Like countries in the UK and the EU, the US administration has sought to push India to pull Chinese companies Huawei and ZTE out of upcoming 5G trials in India and other tech networks in India. Communication and Information Technology (ICT) as the United States and India explore ways to improve trade links in the sector.
Huawei is owned by its Chinese employees who make up about 60% of its global workforce of 194,000. It began publishing its financial results ten years ago in an attempt to appear more transparent and allay foreign security concerns.