Amidst the coronavirus pandemic, business is not doing good for most industries around the world. Huawei ‘s revenue growth has also been immensely affected, as a result. In Q1 2020, the company raked in 182.2 billion yuan (~$25.8 billion). Compared to Q1 2019, Huawei’s revenue was just a minute 1.4% up.
The net profit margin was also down to 7.3% from 8% in Q1 last year. A similar period last year the company posted a 39% increase quarter to quarter, but it’s good to note that this was before the US ban kicked in later in May.
Despite the current downtimes which are being faced by most industries, Huawei’s problems are more intense, due to the still ongoing US ban.
Nonetheless, the Huawei says its “business is continuing as usual and its overall business results in Q1 2020 are in line with expectations”
The Chinese tech giant attributes its resilient growth to continuous investment and planning in R&D plus its employee share-ownership structure.
Coronavirus has also affected the company’s operations in production and has even shut some of its factories to keep its workers safe. They have, however, teamed up with their supplies network “to address the tough challenges facing production and resume operations,” the company wrote in a statement.
As a telco equipment supplier, the company has upped its game to ensure stable and secure network operations for carriers during this crisis which have to lead to increased workload for telcos around the world.