Huawei continued to grow revenue and net profit in 2020 despite operational difficulties brought about by Covid-19 and ongoing sanctions imposed on the company by the US government.
The Shenzhen-based company's annual revenue grew 3.8 per cent to $136.7 billion, while net profit increased 3.2 per cent to $9.9bn. Revenue in the fourth quarter declined for the first time on record, however, dropping 11 per cent on the same period a year earlier to $33.5bn.
Year-on-year growth slowed, but the company's business performance was largely in line with its forecast, Huawei said.
"Over the past year we have held strong in the face of adversity," Ken Hu, the company’s current chairman, said.
“We have 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,” he added.
Huawei is now the world's sixth-biggest smartphone maker with an 8 per cent market share, according to Counterpoint Research.
The company, which employs more than 197,000 people, has been engaged in a trade dispute with the US administration, which considers the company to be a national security threat.
The White House has also pushed its allies to exclude Huawei from 5G network deals. The telecoms firm has repeatedly refuted claims that its products could be used for spying.
“No matter the circumstances, we will continue to embrace transparency by disclosing operational data to governments, customers, suppliers, employees and partners,” Huawei said in a statement on Wednesday.
The company said US-led sanctions had created supply chain disruptions, with Mr Hu adding that "both upstream and downstream players are the victims”.
“The US suppliers are suffering … on average, Huawei purchased $10bn to $20bn from them every year.
“If a political decision is damaging different players, in the whole value chain, shouldn’t it be reviewed and corrected? It is a losing situation … this is very unfair situation to Huawei and it has caused a lot of damage to us,” he said.
Huawei said it is working with carriers worldwide to verify and test 5G networks. Thus far, it has delivered over 100 5G networks globally.
The company said it has had to burn through cash to build stockpiles of chips to use in its smartphones and 5G equipment. Cash flow from operations fell 61 per cent to $5.4bn.
“In response to the restrictions around chip supplies and unfair trade sanctions, we have purchased stockpiles with a lot of cash to satisfy the needs of our customers,” said Mr Hu.
“As global digital transformation moves further, there will be more reliance on chips and their shortage is affecting various fields, not just the areas that Huawei is engaged in. It has led to consequences around the world.”
The company, which has more than 1 billion connected devices and 730 million Huawei smartphone users worldwide, earned more than 50 per cent of its revenue – $74.1bn – from its consumer business. Its enterprise and carrier businesses contributed $15.4bn and $46.4bn, respectively.
Huawei's carrier business, which includes its 5G networks, currently deals with more than 1,500 operators in over 170 countries. It is delivering more than 3,000 5G projects in over 20 industries such as coal mining, steel production, ports, and manufacturing, the company said.
According to the company's 2019 annual report, Huawei derived more than 65 per cent of its revenue from China ($89.7bn). Its Europe, Middle East and Africa unit generated 20.2 per cent of sales, Asia Pacific 7.2 per cent and the Americas 4.5 per cent.
Huawei considers the Middle East as one of its fastest-growing markets.
“We are very satisfied with our performance in the Middle East. [The region] contributed a very important share to our overall revenues,” said Mr Hu.
“We are keen to support key events such as Expo 2020 in Dubai and 2022 FIFA World Cup in Qatar,” he added.
The company is one of the world’s largest investors in research and development. It spent 15.9 per cent of its revenues on R&D in 2020 and employs 105,000 people – 53.4 per cent of its total workforce – in the division.
KILLING OF QASSEM SULEIMANI
Quick pearls of wisdom
Focus on gratitude: And do so deeply, he says. “Think of one to three things a day that you’re grateful for. It needs to be specific, too, don’t just say ‘air.’ Really think about it. If you’re grateful for, say, what your parents have done for you, that will motivate you to do more for the world.”
Know how to fight: Shetty married his wife, Radhi, three years ago (he met her in a meditation class before he went off and became a monk). He says they’ve had to learn to respect each other’s “fighting styles” – he’s a talk it-out-immediately person, while she needs space to think. “When you’re having an argument, remember, it’s not you against each other. It’s both of you against the problem. When you win, they lose. If you’re on a team you have to win together.”
World%20Food%20Day%20
%3Cp%3ECelebrated%20on%20October%2016%2C%20to%20coincide%20with%20the%20founding%20date%20of%20the%20United%20Nations%20Food%20and%20Agriculture%20Organisation%2C%20World%20Food%20Day%20aims%20to%20tackle%20issues%20such%20as%20hunger%2C%20food%20security%2C%20food%20waste%20and%20the%20environmental%20impact%20of%20food%20production.%20%0D%3C%2Fp%3E%0A
MATCH INFO
Uefa Champions League quarter-final second leg:
Juventus 1 Ajax 2
Ajax advance 3-2 on aggregate
Learn more about Qasr Al Hosn
In 2013, The National's History Project went beyond the walls to see what life was like living in Abu Dhabi's fabled fort:
Results:
5pm: Maiden (PA) | Dh80,000 | 1,200 metres
Winner: Jabalini, Szczepan Mazur (jockey), Younis Kalbani (trainer)
5.30pm: UAE Arabian Derby (PA) | Prestige | Dh150,000 | 2,200m
Winner: Octave, Gerald Avranche, Abdallah Al Hammadi
6pm: Arabian Triple Crown Round 3 (PA) | Group 3 Dh300,000 | 2,200m
Winner: Harrab, Richard Mullen, Mohamed Ali
6.30pm: Emirates Championship (PA) | Group 1 | Dh1million | 2,200m
Winner: BF Mughader, Szczepan Mazur, Younis Al Kalbani
7pm: Abu Dhabi Championship (TB) | Group 3 | Dh380,000 | 2,200m
Winner: GM Hopkins, Patrick Cosgrave, Jaber Ramadhan
7.30pm: Wathba Stallions Cup (PA) | Conditions | Dh70,000 | 1,600m
Winner: AF La’Asae, Tadhg O’Shea, Ernst Oertel
Killing of Qassem Suleimani
EMILY%20IN%20PARIS%3A%20SEASON%203
%3Cp%3ECreated%20by%3A%20Darren%20Star%3C%2Fp%3E%0A%3Cp%3EStarring%3A%20Lily%20Collins%2C%20Philippine%20Leroy-Beaulieu%2C%20Ashley%20Park%3C%2Fp%3E%0A%3Cp%3ERating%3A%202.75%2F5%3C%2Fp%3E%0A
Pharaoh's curse
British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.
RACE CARD
6.30pm Al Maktoum Challenge Round-1 Group 1 (PA) Dh119,373 (Dirt) 1,600m
7.05pm Handicap (TB) Dh102,500 (D) 1,200m
7.40pm Handicap (TB) Dh105,000 (Turf) 1,800m
8.15pm UAE 1000 Guineas Trial (TB) Dh183,650 (D) 1,400m
9.50pm Handicap (TB) Dh105,000 (D) 1,600m
9.25pm Handicap (TB) Dh95,000 (T) 1,000m
RESULT
Manchester City 1 Sheffield United 0
Man City: Jesus (9')
Tips%20for%20holiday%20homeowners
%3Cp%3EThere%20are%20several%20factors%20for%20landlords%20to%20consider%20when%20preparing%20to%20establish%20a%20holiday%20home%3A%3C%2Fp%3E%0A%3Cul%3E%0A%3Cli%3E%3Cstrong%3ERevenue%20potential%20of%20the%20unit%3A%3C%2Fstrong%3E%20location%2C%20view%20and%20size%3C%2Fli%3E%0A%3Cli%3E%3Cstrong%3EDesign%3A%20furnished%20or%20unfurnished.%3C%2Fstrong%3E%20Is%20the%20design%20up%20to%20standard%2C%20while%20being%20catchy%20at%20the%20same%20time%3F%3C%2Fli%3E%0A%3Cli%3E%3Cstrong%3EBusiness%20model%3A%3C%2Fstrong%3E%20will%20it%20be%20managed%20by%20a%20professional%20operator%20or%20directly%20by%20the%20owner%2C%20how%20often%20does%20the%20owner%20wants%20to%20use%20it%20for%20personal%20reasons%3F%3C%2Fli%3E%0A%3Cli%3E%3Cstrong%3EQuality%20of%20the%20operator%3A%3C%2Fstrong%3E%20guest%20reviews%2C%20customer%20experience%20management%2C%20application%20of%20technology%2C%20average%20utilisation%2C%20scope%20of%20services%20rendered%3C%2Fli%3E%0A%3C%2Ful%3E%0A%3Cp%3E%3Cem%3ESource%3A%20Adam%20Nowak%2C%20managing%20director%20of%20Ultimate%20Stay%20Vacation%20Homes%20Rental%3C%2Fem%3E%3C%2Fp%3E%0A
Company profile
Date started: 2015
Founder: John Tsioris and Ioanna Angelidaki
Based: Dubai
Sector: Online grocery delivery
Staff: 200
Funding: Undisclosed, but investors include the Jabbar Internet Group and Venture Friends
UAE currency: the story behind the money in your pockets
Mohammed bin Zayed Majlis
The specs
Engine: 5.0-litre supercharged V8
Transmission: Eight-speed auto
Power: 575bhp
Torque: 700Nm
Price: Dh554,000
On sale: now
Global state-owned investor ranking by size
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UAE
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Norway
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Canada
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Infiniti QX80 specs
Engine: twin-turbocharged 3.5-liter V6
Power: 450hp
Torque: 700Nm
Price: From Dh450,000, Autograph model from Dh510,000
Available: Now
What are NFTs?
Are non-fungible tokens a currency, asset, or a licensing instrument? Arnab Das, global market strategist EMEA at Invesco, says they are mix of all of three.
You can buy, hold and use NFTs just like US dollars and Bitcoins. “They can appreciate in value and even produce cash flows.”
However, while money is fungible, NFTs are not. “One Bitcoin, dollar, euro or dirham is largely indistinguishable from the next. Nothing ties a dollar bill to a particular owner, for example. Nor does it tie you to to any goods, services or assets you bought with that currency. In contrast, NFTs confer specific ownership,” Mr Das says.
This makes NFTs closer to a piece of intellectual property such as a work of art or licence, as you can claim royalties or profit by exchanging it at a higher value later, Mr Das says. “They could provide a sustainable income stream.”
This income will depend on future demand and use, which makes NFTs difficult to value. “However, there is a credible use case for many forms of intellectual property, notably art, songs, videos,” Mr Das says.
The specs
Engine: 6.2-litre V8
Transmission: seven-speed auto
Power: 420 bhp
Torque: 624Nm
Price: from Dh293,200
On sale: now
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
