Chinese technology giant Huawei Technologies Co Ltd has estimated that its 2022 revenue remains flat. They clarified the impact of the US Sanctions that slopes its business has finally come to a standstill.
Huawei Recorded a Slight Growth
The company recocorder a slight growth of just 0.02%. This figure was revealed by Huawei rotating chairman Eric Xu. The update came in Huawei’s annual new year’s letter.
In the letter that was released to staff and sent to the media. Eric Xu emphasized that the US restrictions are now their new norm and that they are back to business as usual.
According to the information Xu stated in the letter, the company’s revenue expectation for the year was 636.9 billion yuan ($$91.53 billion). This amount represents a slight increase of the company’s revenue for 2021.
In the year 2021, the company hit a revenue amount of 636.8 billion yuan. This amount was a 30% year-over-year decline in revenue. This was mainly because of the US Sanctions.
Huawei has been a company that always discloses its full annual financial reports. The networking equipment giants usually do this in the first quarter of the following year. However, the chairman’s letter did not disclose the company’s profit for the year.
Huawei Was on Course To Be The Leader of The Smartphone World
Huawei may have a stable revenue now according to the details of the end of year’s letter. But it’s current revenue is still far from what the company recorded in 2019. Before the santions from the United States government stepped in. Huawei reported a record breaking revenue which stood at $122 billion.
At that time, the company had some of the hottest Android smartphones on the global market. And the company was sure on course to be the leader of the world’s smartphone market.
In that same year 2019, the then US government led by Donald Trump placed a ban on Huawei. This ban barred the tech firm from doing business with all American companies. This also included using US-origin technologies.
Source / Via: Reuters