On July 30, Huawei held a performance conference in the first half of 2019 in Shenzhen. Liang Hua, chairman of Huawei, attended and delivered a keynote speech. Liang Hua said that in the first half of 2019, Huawei’s business operations were stable, organizationally stable, and effective in management. The financial indicators performed well and achieved stable operations.

Liang Hua said: “Before May, Huawei’s revenue grew rapidly. After the ‘entity list’, there was growth due to market inertia. Huawei still faces great difficulties, and these difficulties may temporarily affect our pace of progress. However, we will not change our direction. We are confident in the future and will continue to invest in the future. We plan to invest RMB 120 billion in research and development in 2019. I believe that Huawei will enter a new period of development after overcoming short-term difficulties and challenges.”

The following is the live speech of Liang Hua

Media friends: Hello everyone! Welcome to attend the first half of Huawei’s performance conference.

First of all, I want to share a message for you. Over the past six months, Huawei has encountered tremendous pressure from the US government. From the beginning of the year to today, more than 2,600 journalists from all over the world visited Huawei, interviewed management and employees, visited laboratories and production lines, experienced staff canteens and cafes, and recorded Huawei in the eyes of reporters. I believe everyone also looks at it. It is under the pressure of Huawei’s working state.

Below, I will introduce the performance and operation of Huawei in the first half of the year.

 Good performance in the first half of the year, stable operation

In the first half of 2019, Huawei achieved sales revenue of 401.3 billion yuan, a year-on-year increase of 23.2% and a net profit margin of 8.7%. Among them, the operator’s business income was 146.5 billion yuan, the enterprise business was 31.6 billion yuan, and the consumer business was 220.8 billion yuan.

The first half of 2019 was a very special period, but during this period, the company was not chaotic. Our business operations were stable, organizational stability, and management were effective. The financial indicators performed well and achieved stable operations.

The US “entity list” has caused some interference to Huawei’s development, but the scope and extent of the impact on the company are controllable. The company’s main products are basically unaffected, and customers still believe in Huawei. The customer’s order and consumer choice are the trust of Huawei. Special thanks to customers and consumers around the world for their trust and support!

 5G commercial globally leading, ICT infrastructure shipments are generally normal

Suppliers and partners have also given Huawei great trust and support, ensuring Huawei’s stable supply and timely delivery to customers. Our business continuity management and diversified supply strategies have also been verified in the market. So far, Huawei has not stopped production for one day, and has not interrupted shipments to customers for one day.

In the field of ICT infrastructure, production and delivery conditions are generally stable. In addition to the impact of intelligent computing services, production shipments of wireless networks, optical transmission, data communications, and IT are all growing. Especially in the 5G field, we have obtained 50 commercial contracts and shipped more than 150,000 base stations, and 5G commercials are leading the world.

Global consumers still trust Huawei

In the consumer business, in the first half of 2019, Huawei’s smartphone shipments (including glory) reached 118 million units, a year-on-year increase of 24%. The full-scenario business layout of the consumer business has also made key progress. In addition to mobile phones, the shipments of tablets, PCs, and wearable devices have also achieved healthy and rapid growth. In the whole scene, the ecological capacity building has also begun to take shape, such as Huawei’s terminal cloud service ecosystem. The number of registered developers worldwide has exceeded 800,000, bringing together 500 million users worldwide.

At present, Huawei’s smart phones are leading the world in terms of technical functions such as photography, AI, communication, and battery life. This is why consumers trust Huawei. Huawei will also redouble its efforts to create more and better end products and give back to consumers.

Facing difficulties and challenges, we persist in strategic direction, and continue to invest in research and development