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Monday, March 31, 2014
Huawei Posts Record Earnings

Huawei forecast a 10 percent increase in sales this year after posting record earnings on rising demand from wireless carriers for gear.

China?s biggest maker of phone network equipment on Monday said it revenue will rise from 239 billion yuan ($38 billion) last year. Net income for 2013 was 21 billion yuan, it said, or 36 percent more than it reported the previous year.

The company is broadening its product lineup with smartphones, tablets and business-computing products and services as it fights cybersecurity concerns that have restricted access for its network equipment in the U.S. and Australia.

Sales at Huawei?s carrier network unit rose 4 percent, while the consumer business boosted sales 18 percent. The enterprise division increased revenue 32 percent to 15.2 billion yuan, according to the company.

The company?s worldwide smartphone sales last year trailed Samsung Electronics and Apple as Huawei boosted its share of the global market to 4.9 percent from 4 percent the previous year, researcher International Data Corp. reported in January.

Huawei plans to boost its global market share to 8 percent this year by increasing smartphone sales.

Huawei is also searching for new sources of growth such as cloud hosting, digital networks and other computing products and services for business customers.

Earlier this month, the New York Times and Der Spiegel reported that the spying efforts by the U.S. National Security Agency created back doors into Huawei's networks. Huawei condemned those attacks and called for a global effort to address the challenges of network security.

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