Chinese giant Huawei Technologies posted a 16.5% drop in its first-quarter revenues as its consumer business declined, the company reported in a statement.
- Revenue fell to CNY152.2 billion attributed to the weak performance of its consumer business as a result of selling its Honor smart device brand in November.
- Net profit margin climbed to 11.1%, after the firm took efforts to improve operations and management efficiency. It also generated $600 million from patent royalties.
- Huawei Rotating Chairman Eric Xu said the company’s future development strategy will start to take shape this year.
- The company is gearing to roll out 5G networks of carriers across the globe, as it continues to improve its software engineering capabilities.
- Huawei will also ramp up investments in the software sector to gradually hike its share to the total revenue mix.
- Xu said more investments will be made in research and development to address supply issues brought about by market restrictions.