Huawei announces half profit drop in Q1 of 2023

Chinese tech giant Huawei announced on Friday its profits of the first quarter of 2023, which saw a continue to plunge in the face of sanctions with sales largely stagnant, growing just 0.8 percent year on year and a net profit margin of 2.3 percent.

Huawei has generated CNY132.1 billion in revenue, which equates to around 3 billion yuan in profit, or around $434 million, according to company’s statement added.

The report also mentioned that the company is again increasing investment in R&D “to keep innovating for the future,” or perhaps more accurately, innovating around U.S. sanctions.

“In 2022, a challenging external environment and non-market factors continued to take a toll on Huawei’s operations,” Eric Xu, rotating chairman at Huawei, said in a statement.