Huawei has posted a revenue of Ksh6.07 trillion during the first half of 2019 that was highlighted by a geopolitical tiff between the Chinese multinational and US President Donald Trump.
Amid the sanctions imposed on Huawei that impacted associations with firms such as Google and Android, the tech company has still gone on to post a 23% year on year revenue growth.
With Kenya’s budget for the financial year 2019/20 standing at approximately Ksh3.01 trillion, the revenues made by Huawei in the first half of 2019 amount to double the national budget of the country.
The HY revenues growth was also a bump having posted 15% over the same period in 2018.
The revenues jump however also came with a slow down in profit, as Huawei said in a statement that its profit margin for H1 was 8%. Last year, the tech firm had recorded a 14% profit margin increase.
Despite the spike in financials, Huawei did not rule out difficulties in the short term. “That’s not to say we don’t have difficulties ahead. We do, and they may affect the pace of our growth in the short term,” said the firm’s Chairman, Liang Hua.
Huawei added that its consumer business division saw H1 sales revenue hit 3.3 trillion. This was due to by an upsurge in the sale of most of its devices.
In a statement on its website, the tech firm said, “Huawei’s smartphone shipments (including Honor phones) reached 118 million units, up 24% YoY. The company also saw rapid growth in its shipments of tablets, PCs, and wearables.”
“To date, the Huawei Mobile Services ecosystem has more than 800,000 registered developers, and 500 million users worldwide,” the company said
H1 sales revenue in its carrier business reached Ksh2.2 trillion on steady growth in production and shipment of equipment for wireless networks, optical transmission, data communications and IT among others.
“Huawei has secured 50 commercial 5G contracts and has shipped more than 150,000 base stations to markets around the world,” the tech firm wrote.
The firm’s enterprise business in H1 saw sales revenue of Ksh478 billion. This is the arm of Huawei dealing with ICT portfolio across multiple domains, including cloud, artificial intelligence, campus networks, data centers, Internet of Things, and intelligent computing.
Huawei has been the subject of a ban by US President Trump over suspicion of spyware in its devices, although analysts predict the move is meant to stifle the Chinese firm’s development in the 5G race.
Even as international firms have parted ways with Huawei, Kenya’s giant telco Safaricom said that it will still continue to back the tech firm.
