From the just released Huawei annual financial report, we can see that in the past year, although Huawei's revenue fell by 49.6%, net profit rose by 75.9%. This is exciting news, under the siege and interception of the outside world, Huawei's profits have not decreased but increased, which shows that Huawei has withstood the pressure. In addition, under the strict defense of Europe, Huawei's 5G communication equipment sales still rank first, and it also actively lays out the "five major legions" and "ten reserve legions". Huawei not only persevered, but also expanded, indicating that Huawei is not short of funds. But is this really the case?
Where huawei's profits come from
Huawei's financial report shows that in the net profit of 113.7 billion yuan last year, the income from the sale of subsidiaries and fixed assets was also taken into account. Although the money is in place, the "change of property" is a one-time profit after all, and making such money is not a long-term solution. Huawei's consumer revenue fell by 49.6% last year, and it is difficult for Huawei to support itself by selling mobile phones alone. As a result, Huawei can only adjust its business layout and rely on enterprise business and carrier business to support the operation of enterprises, but these services tend to grow slowly, compete fiercely, and have limited profit margins. In the short term, it is difficult for Huawei to achieve a substantial positive growth in revenue.
Glory, hyperconvergence sold
On this basis, Huawei has sold the glory and supercontencence that are relatively profitable. The former's annual sales volume has steadily exceeded 100 million, accounting for 60% of Huawei's total sales at its peak, helping Huawei become the second in the world. The latter was already the second in the domestic industry before it was sold, and after the sale, it repeatedly won the first place, and it is a well-deserved giant in the server industry. After losing glory, Huawei lost the entire mid-range machine market, and after losing superconvergence, Huawei even the server business has slowly become an outsider, so behind Huawei's rising profits, there are many upcoming crises.
Good brothers lend a helping hand
The good news is that after Huawei fell into a crisis, good brothers such as mobile, telecom, and Unicom reached out to Huawei. At present, in the domestic 5G market, Huawei's proportion has reached more than 60%, Nokia's market share in China has dropped to the freezing point, and Ericsson's "righteous speech" has also plummeted by 74%, and most of these orders have eventually been supported by telecom companies. When the door of Europe and the United States closed the door to Huawei, domestic telecom companies gave their own attitude, Huawei's technology is trustworthy, not as unreliable as the "people with hearts" said.
Mobile: I buy it when I have it
As a stable supplier of mobile, Huawei receives the largest server order for mobile every year, but last year, Huawei did not get a single order in the mobile server collection bidding. Speaking of this is not strange to move, at that time Huawei under the pressure of the old United States, the chip supply chain was broken, resulting in the server has no way to mass production, which hurt the loss of mobile orders, and this year we were pleasantly surprised to find that in the mobile server orders, Huawei's Kunpeng chip server accounted for more than 16.55%, which is almost the small number of Huawei's production capacity, all "wrapped up".
Unicom: Good brother and me
Not long ago, Unicom also came with good news. Its official website announced that Huawei won the project with 100% of the winning share of the bidding for the 1.3 phase of the cloud data center in a western city. Huawei is mainly responsible for the equipment supply, installation, system commissioning, commissioning, and after-sales service of this project. China Unicom said that this is a long-term project, and in the subsequent project operation and expansion, Huawei will also be the preferred partner of China Unicom. This is enough to see that Lenovo is also full of sincerity to Huawei, hoping to get more cooperation opportunities.
The cloud business is rising, and the server business has not given up
At present, Huawei's cloud business development momentum is rapid, this year's Huawei financial report, we can see that Huawei's cloud business, an increase of 30% year-on-year, the current HUAWEI CLOUD business has ranked among the top five in the world, after the server business into a downturn, the cloud business may become, Huawei's new "profit cow". Of course, Huawei has not given up the server business, the blockade of the core technology, does give Huawei's server business into trouble, but at present Huawei is also concentrating on the development of the RISC-V architecture, the future bypassing the X86 architecture, the establishment of RISC-V architecture servers, is also worth looking forward to. The hard days are temporary, and Huawei's footsteps will not stop. (Huo Hao)
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