Huawei displayed some really good quarterly results a few days ago and has now revealed its annual earnings. The company took some big steps ahead this year and quickly grew to be ranked amongst the seasoned smartphone manufacturers. They even managed to score a big global market share surpassing the likes of Sony, LG, Lenovo and Xiaomi.
Sales And Revenues in 2015 for Huawei
The company had previously revealed that they had surpassed their targets and shipped over 100 million smartphones in 2015. Huawei saw a 33 percent increase in sales and became only the third manufacturer to make this achievement after Apple and Samsung. It is still some way behind Samsung’s 400 million sales but the achievement was nothing less than astounding when compared to 2014.
The Chinese giant announced this week that they managed a 35.3 percent increase in revenue compared to the previous year. Huawei managed to score a massive 390 billion yuan ($60.1 billion) this year.
Huawei also showcased a “solid increase in profits and cash flow” in 2015, said the rotating and acting Chief Executive Guo Ping in an open letter. The company doesn’t release quarterly results and most of the news comes via third-party reports and estimates. The Chinese company only provides a few financial numbers in an annual report which is released sometime around April.
The State of Chinese Smartphone Makers in 2015
2015 saw the Chinese smartphone market saturate to an extent that demand was visibly less compared to previous years. Despite that, Huawei managed some top notch numbers thanks to its strong smartphone sales with its flagship lines like Mates, P8’s and the Honor line of devices. Each one of these line-ups targeted a specific market. Having their own chipsets also helps in decreasing external expenses.
According to IDC, a market research firm, Huawei’s international shipments grew 61 percent in the third quarter outpacing the overall global market growth, which was a good 6.8 percent, by nine folds.
Guo Ping also said that Huawei needs to make sure that it locates the right directions as it moves into new markets. He said his company must “allow room for failure when appraising employee performance.”
Ping said the company is investing close to 110 billion yuan a year, with 50 billion of them being invested in research and development while the rest is used for marketing, customer support and sales.