Huawei expects 40pc jump in operating profit

City A.M. Reporter
CHINA’S Huawei Technologies, the world’s second-largest telecommunication equipment maker, yesterday said revenue is likely to have risen last year by around eight per cent, less than its original target of 10 per cent.

Huawei, which ranks behind Sweden’s Ericsson in telecom equipment sales, said unaudited global revenue reached around 238bn yuan to 240bn yuan (£24.16bn) in 2013. Unaudited operating profit for 2013 was likely in the range of 28.6bn yuan to 29.4bn yuan, the company said. That compared with an audited 2012 operating profit of 19.96bn yuan – an increase of 43.3 per cent.

Huawei became the world’s third-biggest smartphone manufacturer last year, mainly due to a fast-growing Chinese market. That is helping cushion the impact of a global slowdown in network equipment spending, which caused the company to miss its revenue growth target last year.