Huawei annual report indicates steady operations, sustainable survival and development

AMMAN — Huawei released its 2022 annual report on Friday which indicates steady operations throughout 2022. The company generated $92.37 billion in revenue and $5.12 billion in net profits. 

Huawei continues to strengthen investment in research and development (R&D), with an annual expenditure of $23.22 billion in 2022, representing 25.1 per cent of the company's annual revenue and bringing its total R&D expenditure over the past 10 years to more than $140.55 billion, according to a Huawei statement. 

Eric Xu, Huawei's rotating chairman, said at the annual report conference: "In 2022, a challenging external environment and non-market factors continued to take a toll on Huawei's operations."

"In the midst of this storm, we kept racing ahead, doing everything in our power to maintain business continuity and serve our customers. 

We also went to great lengths to grow the harvest — generating a steady stream of revenue to sustain our survival and lay the groundwork for future development," he said. 

Sabrina Meng, Huawei's CFO, said: "Despite substantial pressure in 2022, our overall business results were in line with forecast. At the end of 2022, our liability ratio was 58.9 per cent and our net cash balance was $25.35 billion. In addition, our balance of total assets reached $0.15 trillion, largely composed of current assets such as cash, short-term investments, and operating assets. Our financial position remains solid, with strong resilience and flexibility. In 2022, our total R&D spending was CNY 23.22 billion, representing 25.1 per cent of our total revenue."

In 2022, revenue from Huawei's carrier, enterprise and consumer businesses amounted to $40.84 billion, $19.15 billion, and $30.84 billion, respectively.

"2023 will be crucial to Huawei's sustainable survival and development," Xu noted.