Huawei said its revenues rose 4% to CNY 427 billion in H1, marking its strongest first-half revenue since 2020
In sum – what to know:
Profit falls despite revenue growth – First-half net profit dropped 32% to CNY37 billion, even as revenue rose 4% to CNY427 billion, the company’s strongest since 2020.
R&D spending accelerates – Investments reached CNY96.9 billion in the first half, underscoring Huawei’s push to strengthen chip and equipment capabilities.
Chinese vendor Huawei reported a sharp decline in profit for the first half of 2025, as the company continued to allocate resources into research and development to mitigate the effects of ongoing U.S. sanctions.
Net profit fell 32% year-on-year to CNY 37 billion ($5.17 billion) for the first half of the year, while revenues rose 4% to CNY 427 billion, marking its strongest first-half revenue since 2020.
R&D spending surged to CNY96.9 billion in the first six months, up from CNY88.9 billion a year earlier, as the company invested heavily in chips and manufacturing tools to reduce reliance on restricted U.S. technologies.
Huawei re-entered the 5G premium smartphone segment in 2023 with its Mate 60 series, which has been primarily sold in China. The company did not provide a unit-by-unit breakdown of earnings for the first half of this year.
Huawei reported CNY862.1 billion in revenue last year, climbing 22.4% year-on-year. The vendor’s net profit declined 28% to CNY62.6 billion, impacted by an extraordinary gain in 2023 from the sale of Honor and an increase in its “future-oriented investments.”
In its annual report, the Chinese company had noted it allocated CNY179.7 billion to research and development (R&D), representing 20.8% of its total revenue. Over the past decade, the company has invested a total of CNY1.249 trillion in R&D.
