Founded in 1987, Huawei is a leading global provider of information and communications

       
Huawei Investment & Holding Co., Ltd.
Results of Operations
Financial Performance
(CNY Million)
2020
2019
YoY
Revenue
891,368
858,833
3.8%
Gross profit
327,132
322,689
1.4%
– Gross profit margin
36.7%
37.6%
(0.9)%
Total operating expenses
(254,631)
(244,854)
4.0%
– as % of revenue
28.6%
28.5%
0.1%
Operating profit
72,501
77,835
(6.9)%
– as % of revenue
8.1%
9.1%
(1.0)%
Net finance expenses
(367)
178
(306.2)%
Income tax
(7,655)
(15,367)
(50.2)%
Net profit
64,649
62,656
3.2%
Huawei’s total revenue in 2020 reached CNY891,368 million, representing a 3.8% YoY increase. Net profit grew 
slightly less, 3.2% YoY, to CNY64,649 million. This is attributable to the following factors:
■
 
Our enterprise business maintained steady growth thanks to the digital transformations in multiple 
industries.
■
 
As we increased our investment in future-oriented research and innovation, branding, and ecosystem 
building, our total operating expenses as a percentage of revenue increased slightly.
Total operating expenses
(CNY Million)
2020
2019
YoY
Research and development expenses