China's Huawei 2024 profit drops; revenue rises at fastest rate in five years
Net profit tumbled 28% to 62.6 billion yuan ($8.63 billion), which a company spokesperson attributed to heavy investment into research and development - reaching 179.7 billion yuan or about 20% of revenue - and not receiving any income from unit sales.
Huawei sold its budget smartphone unit Honor to a Shenzhen government consortium in 2020 after U.S. sanctions limited its access to high-end chips and services from Alphabet's (GOOGL.O), opens new tab Google, with payments boosting profit in subsequent years.
The Shenzhen-based firm reported 862.1 billion yuan in 2024 revenue, up 22.4% from 2023, with information and communication technology infrastructure contributing most to the figure, growing 4.9% to 369.9 billion yuan, Huawei said in a statement.
Last year was the third successive year of growth since revenue tanked nearly a third in 2021 amid intensified U.S. curbs on access to advanced chips due to security concerns. It also came close to its 2020 peak of 891.3 billion yuan.
Revenue from Huawei's consumer segment - which includes smartphones and other digital gadgets - rose 38% to 339 billion yuan, the second-highest growth across its five major segments.
Huawei's intelligent automotive solutions unit - which helps traditional automakers make smart cars - saw revenue jump by more than 4.5 times to 26.4 billion yuan. It also eked out a profit for the first time last year.
In a press release, Huawei's rotating chairwoman and chief financial officer, Meng Wanzhou, the daughter of Huawei founder Ren Zhengfei, said the results were in line with forecasts.
"In 2024, the entire team at Huawei banded together to tackle a wide range of external challenges," Meng said, adding that Huawei devices are back in the fast lane.
Huawei said it will continue to open up its platform capabilities to ecosystem partners and provide developers with tools and products in domains including its HarmonyOS, Kunpeng, Ascend and cloud computing products.
Huawei has emerged as a centre for Chinese technological innovation in chips and operating systems amid a Sino-U.S. tech war, with its executives previously saying that U.S. action had pushed the company into "survival mode".
The company has in past months struck a more confident tone, with founder Ren Zhengfei telling Chinese President Xi Jinping in May that concerns China had about a lack of home-grown chips and operating systems had eased.
($1 = 7.2503 Chinese yuan renminbi)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Wales Online
an hour ago
- Wales Online
White paint thrown over new taxi office and owner told to 'go back home'
White paint thrown over new taxi office and owner told to 'go back home' 'They threatened my life. They warned me my office would be set on fire. This is not normal in 2025' White paint was thrown across the fascia sign of Cresta Cars' planned new office in Flint (Image: Cresta Cars) A taxi company boss has vowed not to be intimidated following a string of attacks on his new Flintshire premises ahead of its opening. Xristos Tsorvas, from Mold-based Cresta Cars, said he was shocked and saddened at the vandalism targeting the firm's taxi office in Flint. He claimed windows were shattered and white paint was splashed across the building's front. Xristos, one of three company directors who is originally from Athens, Greece, said he also received threatening messages telling him to "go back to my own country". North Wales Police confirmed it had received two reports of criminal damage at the site and one of harassment, reports North Wales Live. Officers are investigating the incidents and have issued an appeal for public information. Read the biggest stories in Wales first by signing up to our daily newsletter here "You'd be shocked if you saw the messages I've been sent," said Xristos. "I've had messages telling me to go back to my own country. They threatened my life. They warned me my office would be set on fire. "This is not normal in 2025. Breaking windows and splashing paint - it is really sad. All we want is to provide a service for the people of Flint. "They were wearing balaclavas – why do people want to stop us with this gangster behaviour? It's not normal." Article continues below The taxi firm claimed windows were broken prior to the paint attack (Image: Cresta Cars) Cresta Cars has enjoyed rapid expansion since launching in Mold in 2019 with just three vehicles. By the end of 2024, the firm was operating a fleet of 160 with additional offices in Buckley, Connah's Quay and Broughton. Late last year a new outlet was opened in Chester and the planned Flint office will expand the branch network to six. After the Chester Street incidents in early August, Cresta Taxis was asked to leave its new premises. Xristos has now agreed an alternative location in the town and intends to begin operating from there on September 1. Enhanced security measures will be implemented. He said: "I am not stopping - I will open an office in Flint. I am not scared, I am more determined now. This behaviour is not right and it will not deter us from operating. "This is just a business.... I can't stop just because I receive bullying and threats. We have 280 people who rely on the business for jobs and families. "Not just the drivers, the receptionists and secretaries too. A lot of people need the business to make a living, so I can't stop." North Wales Police confirmed it received a complaint from Cresta Cars at around 2.20pm on Friday, August 8. A spokesperson said: "It is reported a window was smashed on Monday, August 4, before paint was thrown over the exterior of the building in the early hours of August 8. "Reports of harassment were also made. Officers are investigating the alleged incidents and are asking anyone with information to contact us." Article continues below You can report information to the force either through its website or by calling 101. When contacting, please quote the reference number 25000654223.
Fashion United
an hour ago
- Fashion United
AI start-up ChatBlu raises 500,000 US dollars in pre-seed funding
London-based artificial intelligence start-up ChatBlu, which bills itself as the first autonomous AI agent for multi-platform inventory management, has raised 500,000 US dollars in pre-seed funding. The round was led by Matador Venture Capital, with participation from angel investors associated with Google and Amazon Web Services. The funding will support ChatBlu's product development and go-to-market rollout, which is planned for September 2025. Initially, the AI technology will serve English-speaking markets, with expansion into the Hispanic e-commerce sector planned for 2026. The start-up, founded by 20-year-olds Kristian Lukauskis and Alexander Dillon, aims to solve a widespread pain point in digital commerce: syncing listings, managing stock, and adjusting pricing across storefronts like Shopify, Amazon, Etsy, and WooCommerce by enabling store owners to issue simple, natural-language commands for all backend tasks autonomously across channels. Industry research estimates that poor inventory coordination results in 1.8 trillion US dollars in lost revenue for retailers every year. ChatBlu's team believes its product can help merchants increase conversion rates by up to 20 percent through intelligent listing optimisation and real-time inventory control. Dillon said in a statement: 'E-commerce has evolved, but inventory management hasn't kept up. ChatBlu is here to change that and set a new standard for how stores operate across platforms.' The company was developed within the 2024–2025 cohort of the Genoa Entrepreneurship School, a European accelerator programme that boasts a 75 percent funding success rate.
Reuters
an hour ago
- Reuters
UK house prices rise 3.7% year-on-year in June
LONDON, Aug 20 (Reuters) - British house prices in June were 3.7% higher than a year earlier, up from an annual increase of 2.7% in May, the Office for National Statistics said on Wednesday. House price inflation reached its highest in more than two years at 5.5% in March ahead of the expiry of a tax break on many property purchases. Private-sector rents were 5.9% higher than a year earlier in July, down from 6.7% in June and the smallest annual increase since January 2023.
