Huawei Technologies Co (華為) yesterday said that first-half revenue grew 23.2 percent from a year ago, despite an intense US campaign against it that ultimately became a trade ban from the middle of May.
That compares with annual growth of 15 percent in the same period last year.
Unlisted Huawei, which only started disclosing quarterly results this year, said revenue rose to 401.3 billion yuan (US$58.3 billion) from 325.7 billion yuan a year ago, with smartphone shipments reaching 118 million units, up 24 percent.
Huawei’s supply chain was significantly disrupted when it was put on a trade blacklist by Washington in May.
The US government alleges it is a national security risk as its equipment could be used by Beijing to spy, which Huawei has repeatedly denied.
It has since been given a three-month reprieve till Aug. 19, and US President Trump signaled Washington would be relaxing the sanctions on Huawei, but his administration has done little to clarify what sales would be permitted.
The lack of clarity on what US firms can supply to the world’s top producer of telecommunications equipment as long as it is on a so-called “entity list” is likely to cast a shadow over this week’s US-China trade negotiations in Shanghai.
“Revenue grew fast up through May,” Huawei chairman Howard Liang (梁華) told reporters at an earnings briefing.
“Given the foundation we laid in the first half of the year, we continue to see growth even after we were added to the entity list. That’s not to say we don’t have difficulties ahead. We do, and they may affect the pace of our growth in the short term,” Liang said.
Huawei founder and chief executive Ren Zhengfei (任正非) told reporters last month that the impact of the blacklisting was worse than expected.
It could cost the company US$30 billion in revenue, and its revenue this year and next year could stay roughly the same as last year at about US$100 billion, he said.
Analysts say strong domestic smartphone sales and new 5G carrier contracts helped offset the impact from the export ban that threatens to cut Huawei’s access to advanced US components and software, such as Google Android apps.
According to data from Canalys, Huawei expanded its lead in China’s smartphone market in the second quarter, while overseas smartphones sales dropped slightly year-on-year.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
Gold surged to a fresh record on Friday, fueled by US dollar weakness and low interest rates, while silver headed for its best month since 1979. Spot bullion is up more than 10 percent this month, as US real yields lingered near record lows. While the ferocity of rallies in gold and silver cooled in the middle of the week, most market watchers predict there might be more gains ahead. Both metals have added about 30 percent this year, with gold and silver exchange-traded funds boosting holdings to a record, as concern about the fallout from the COVID-19 pandemic fuels demand for
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion