Huawei Reports Drop in Net Profit Despite Revenue Increase

BEIJING (Reuters) – Chinese tech giant Huawei reported a drop in net profit despite a jump in revenue on Thursday for the first nine months of the year, according to a statement to the Shanghai Clearing House.

The firm recorded a 13.7% drop in nine-month net profit to 62.9 billion yuan ($8.83 billion) for the January-September period, as stated by the telecoms giant and smartphone maker.

Revenue rose to 585.9 billion yuan from 452.3 billion yuan.

Huawei did not provide a breakdown of earnings for individual units, but its mainstay consumer business—including smartphones, PCs, and smart car components—performed strongly.

Huawei saw a 42% surge in smartphone sales in China in the third quarter, according to data from researcher IDC last week.

The company reentered the 5G premium smartphone market last year with its Mate 60 series and this year with the high-end P series phones.

The latest Pura 70 model was released earlier this year on the same day as Apple’s iPhone 16.

($1 = 7.1195 Chinese yuan renminbi)