2019 Annual Report released by Huawei
Huawei unveils its 2019 Annual Report on 31st March 2020, encompassing a robust business performance. The company's international sales income in 2019 rounded off at USD$123 billion, up 19.1% year-on-year; its net profit attained USD$9billion; and its cash flow from operating activities topped USD$13.1 billion, up 22.4% year-on-year. As part of a long-term, ongoing investment in technological innovation and research, Huawei made investments 15.3% of its 2019 revenue or nearly USD$18.8 billion back into R&D. Its total R&D spends over the previous decade now surpasses USD$85.9 billion.
"2019 was a vibrant year for Huawei," mentioned Eric Xu, Huawei's Rotating Chairman. "In spite of huge outside pressure, our team forged ahead with a singular focus on creating value for our clients. We worked hard to gain their respect and trust, as well as that of our partners across the world. Business remains solid."
In 2019, Huawei's carrier business led the commercial rollout of 5G networks. In addition commercial adoption and promote new innovation in 5G applications, the organization established 5G joint innovation centers together with carriers globally. Huawei's Rural Star base station solutions can effectively address coverage problems in remote areas. These solutions are being used in over 50 countries and regions, bringing mobile Internet to more than 40 million people dwelling in remote areas. In 2019, sales revenue from Huawei's carrier business reached USD$42.5 billion, up 3.8% year-on-year.
Huawei's enterprise business remains to support the digital transformation of clients throughout industries as the company assists lay the foundations for the digital world. Globally, more than 700 cities and 228 Fortune Global 500 companies have chosen Huawei as their digital transformation partner. In 2019, Huawei declared its computing strategy with the goal of cultivating fertile soil for the brilliant world to flourish. As part of this strategy, the company released the world's fastest AI processor, the Ascend 910, and the AI training cluster Atlas 900. In 2019, sales revenue from Huawei's enterprise business reached USD$12.8 billion, up 8.6% year-on-year.
Huawei's client business remains to see robust growth, with a total of 240 million smartphones shipped all through the year. The company reports further progress in developing the Seamless AI Life ecosystem throughout all scenarios and devices, which includes personal computers, tablets, wearables, and smart screens. In 2019, sales revenue from Huawei's client business reached USD$66.9 billion, up 34% year-on-year.
"The external environment will only get more complicated going forward," Xu cautioned. "We need to keep developing the competitiveness of our products and services, promoting open innovation, and creating greater value for our clients and society at large. This is the only way we can seize the historic opportunities presented by the digital and intelligent transformation of industries, and maintain strong growth in the long run."
All financial statements in the 2019 Annual Report were independently audited by KPMG, an international Big Four accounting firm. To download the 2019 Annual Report, visit www.huawei.com/en/press-events/annual-report/2019
