Huawei Technologies said on Monday its first-quarter Earnings jumped 39 percent to 179.7 billion yuan ($26.81 billion), at the Oriental technology firm’s first-ever Rs results.
The Shenzhen-based company, the world’s largest telecoms equipment maker, also said its net profit margin was around 8 per cent for the quarter, which it included was slightly higher than the exact same period last year. Huawei did not disclose its actual net profit.
The restricted results announcement comes at a time when Washington has intensified a campaign against unlisted Huawei, alleging its equipment could be used for espionage and urging US allies to ban it from building next-generation 5G cell networks.
Huawei has repeatedly denied the allegations and started an unprecedented media blitz by opening up its campus to journalists and making its typically low-key founder, Ren Zhengfei, available for media interviews.
The Chinese firm, that is also the world’s No. 3 smartphone maker, said the amount of contracts it has won to provide 5G telecoms gear increased despite the US campaign.
By the end of March, Huawei said it had signed 40 commercial 5G contracts with carriers, shipped more than 70,000 5G base stations to markets across the world and hopes to have sent 100,000 by May.
Huawei’s network firm saw its first fall in earnings in two years in 2018. However, Ren Zhengfei said in an interview with CNBC earlier this month that network equipment sales climbed 15 percent while sales of the consumer business increased by more than 70 percent in the first quarter.
“These figures demonstrate that we’re still growing, not decreasing,” Ren said.
Guo Ping, rotating chairman of the company, has said he expects all three business groups – consumer, carrier and enterprise – to post double-digit growth this year.
Huawei also said on Monday it had shipped 59 million smartphones in the first quarter. It didn’t disclose year-ago comparable figures, but according to market research company Strategy Analytics, Huawei sent 39.3 million mobiles in the first quarter of 2018.