Huawei released its 2021 Annual Report today, revealing that the company had maintained solid performance throughout the past year and how Huawei will move forward to leverage the ICT sector for the overall good.
An event has been organized in Dhaka today on the occasion of unveiling the annual report. The keynote address is delivered by Pan Junfeng, CEO of Huawei Technologies (Bangladesh) Ltd.; Jason Lizongsheng, Bangladesh Board of Directors; Kevin Xu, Chief Technical Officer; Yuying Karl, Director of Public Affairs and Communications and other Huawei officials.
As per the report, Huawei achieved BDT 8.65 trillion (USD 99.97 billion) in revenue in 2021, and BDT 1.54 trillion (USD 17.85 billion) in net profits, an increase of 75.9% year-on-year. The company’s R&D expenditure reached BDT 1.93 trillion (USD 22.40 billion) in 2021, representing 22.4% of its total revenue, and bringing its total R&D expenditure over the past 10 years to over BDT 11.48 trillion (USD 132.66 billion). Moving forward, the company also plans to continuously increase investment in R&D.
Huawei wants to work intensively on digital power and cloud. Therefore, in the coming days, the company has adopted a plan to continuously increase their investment in the research and development sector.
In this discussion with reporters, Pan Junfeng highlighted the various contribution of Huawei in the following the dream of Digital Bangladesh. He said, “Huawei has been working in Bangladesh for Bangladesh for the last 23 years. During these years, Bangladesh has come a long way in the field of information and communication technology and we are very happy to be an active member of this transition. We want to work through innovation, localization and collaboration in the immense potential of Bangladesh.”
Within this shot time, Huawei’s cloud service ranks fifth globally and third in China. Besides, Huawei is working in the digital power sector. Huawei’s Smart Photovoltaic Solution has been used at Mymensingh Solar Plant in Bangladesh. This year, Huawei wants to provide even better support for these sectors in Bangladesh.
On the other hand, Huawei has been working for many years to create ICT talent in Bangladesh. In 2021, Huawei Bangladesh jointly launched a new program called ‘Bangladesh ICT Skills Competition’ with Bangladesh ICT Division.
Jason Lizongsheng said, “The ICT-based future will create many needs for skilled youth in the world. One of the great strengths of Bangladesh is the youth of this country. We want the youth of this country to create their place in the world market and take Bangladesh forward with their skills and great ideas. So, we have been working for many years to make the youth of this country proficient in the ICT sector. By the year 2025, we have planned to make about one lakh young people in South Asia skilled in ICT where many youths from Bangladesh will be able to participate. This year more than six thousand young talents from Bangladesh will get this opportunity.”
Meng Wanzhou, Huawei’s CFO, also spoke at the event, “Despite a revenue decline in 2021, our ability to make a profit and generate cash flows is increasing, and we are more capable of dealing with uncertainty.” Thanks to the enhanced profitability of its major businesses, the company’s cash flow from operating activities dramatically increased in 2021. Its liability ratio also dropped to 57.8%, and its overall financial structure has become more resilient and flexible.
In 2021, Huawei’s carrier business generated BDT 3.82 trillion (USD 44.19 billion) in revenue and helped carriers around the world deploy leading 5G networks. Third-party test results have found that 5G networks built by Huawei for customers in 13 countries, including Switzerland, Germany, Finland, the Netherlands, South Korea, and Saudi Arabia, provide the best user experience. By working with carriers and partners, Huawei has signed more than 3,000 commercial contracts for industrial 5G applications. These kinds of 5G applications are currently seeing large-scale commercial use in sectors like manufacturing, mines, iron & steel plants, ports, and hospitals.
Thanks to continuing digital transformation trends, Huawei’s enterprise business also grew rapidly. In the past year, Huawei launched 11 scenario-based solutions for key sectors such as government, transportation, finance, energy, and manufacturing. The company also established multiple dedicated teams, including a Coal Mine Team, a Smart Road Team, and a Customs & Port Team, to combine resources in a way that more efficiently serves the needs of its customers. Over 700 cities and 267 Fortune Global 500 companies have chosen Huawei as their digital transformation partner and Huawei now works with more than 6,000 service and operation partners around the world.
Huawei’s consumer business zeroed in on consumer wants and needs, further building out the global ecosystem for a smart, all-connected era, as part of the company’s Seamless AI Life strategy for consumers around the world. This business generated BDT 3.30 trillion (USD 38.21 billion) in revenue in 2021 and continued to see steady sales growth in smart wearables, smart screens, true wireless stereo (TWS) earbuds, and Huawei Mobile Services (HMS). In particular, the smart wearable and smart screen segments both saw 30%+ year-on-year growth. In total, HarmonyOS was used in over 220 million Huawei devices as of 2021, becoming the world’s fastest growing mobile device operating system.
During the past year, Huawei also focused on building out its openEuler, MindSpore, and HarmonyOS ecosystems based on the principles of open collaboration and shared growth. Over X million developers are currently using Huawei’s open platforms, open-source software, and development tools to explore new business scenarios and business models.
Guo stressed, “Moving forward, Huawei will advance its journey of digitalization, intelligent transformation, and low carbon. Relying on talent, scientific research, and an innovative spirit, we will continuously increase investment to reshape our paradigms for fundamental theories, architecture, and software, and build our long-term competitiveness.”
All financial statements in the 2021 Annual Report were independently audited by KPMG, an international Big Four accounting firm. To download the 2021 Annual Report, please visit https://www.huawei.com/en/annual-report/2021.
About Huawei
Founded in 1987, Huawei is a leading global provider of information and communications technology (ICT) infrastructure and smart devices. We have 195,000 employees and we operate in more than 170 countries and regions, serving more than three billion people around the world.
Our vision and mission is to bring digital to every person, home and organization for a fully connected, intelligent world. To this end, we will work towards ubiquitous connectivity and inclusive network access, laying the foundation for an intelligent world; provide diversified computing power where you need it, when you need it, to bring cloud and intelligence to all four corners of the earth; build digital platforms to help all industries and organizations become more agile, efficient, and dynamic; and redefine user experience with AI, making it smarter and more personalized for people in all aspects of their life, whether they’re at home, on the go, in the office, having fun, or working out. For more information, please visit Huawei online at www.huawei.com or follow us on:
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