BUSINESS TECH | Growth slowed but performance in line with forecast — Huawei

Huawei reaffirms commitment to creating greater value for customers and society in the face of adversity.

Ken Hu, Huawei's rotating chairman

Huawei released its 2020 Annual Report on Wednesday. Growth slowed, but the company’s business performance was largely in line with forecast. Huawei’s sales revenue in 2020 rounded off at CNY891.4 billion (USD$136 billion), up 3.8% year-on-year, and its net profit reached CNY64.6 billion (US$9.86 billion), up 3.2% year-on-year.

Despite operational difficulties brought about by US sanctions in 2019 and 2020, Huawei disclosed that the company continued to invite KPMG to independently and objectively audit our financial statements. The document produced by KPMG is a standard unmodified audit opinion. The China-based tech giant said it will continue to “embrace transparency by disclosing operational data to governments, customers, suppliers, employees, and partners.”

In 2020, Huawei said that its carrier business continued to ensure the stable operations of more than 1,500 networks across more than 170 countries and regions, which helped support telework, online learning, and online shopping throughout COVID-19 lockdowns. Working together with carriers around the world, the company added that it helped “provide a superior connected experience and moved forward with more than 3,000 5G innovation projects in over 20 industries like coal mining, steel production, ports, and manufacturing.”

Over the past year, Huawei also revealed that its enterprise business stepped up efforts to develop “innovative scenario-based solutions for different industries and create a digital ecosystem that thrives on joint creation and shared success.”

During the pandemic, Huawei said that they provided technical expertise and solutions that were vital in the fight against the virus. One example is an “AI-assisted diagnostic solution based on HUAWEI CLOUD that helped hospitals the world over reduce the burden on their medical infrastructure.” Huawei also worked with partners to launch cloud-based online learning platforms for more than 50 million primary and secondary school students.

With the rollout of HarmonyOS and the Huawei Mobile Services (HMS) ecosystem, Huawei’s consumer business “moved forward with its Seamless AI Life strategy (“1 + 8 + N”) to provide consumers with an intelligent experience across all devices and scenarios, focusing on smart office, fitness & health, smart home, easy travel, and entertainment.”

“Over the past year we’ve held strong in the face of adversity,” said Ken Hu, Huawei’s rotating chairman. “We’ve kept innovating to create value for our customers, to help fight the pandemic, and to support both economic recovery and social progress around the world. We also took this opportunity to further enhance our operations, leading to a performance that was largely in line with forecast. We will continue to work closely with our customers and partners to support social progress, economic growth, and sustainable development.”

All financial statements in the 2020 Annual Report were independently audited by KPMG, an international Big Four accounting firm.

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