Home / Business and Economy / Huawei's Slowdown: Revenue Growth Hits 3-Year Low
Huawei's Slowdown: Revenue Growth Hits 3-Year Low
31 Mar
Summary
- Huawei's revenue growth slowed to 2.2% in 2025, the slowest in three years.
- Cloud computing revenue declined 3.5%, and smartphone growth was weak at 1.6%.
- Research spending reached a record Rmb192.3bn, over a fifth of revenue.
Huawei reported its slowest revenue growth in three years for 2025, with a 2.2% increase reaching Rmb880.9bn. This marks a significant deceleration from the 22.4% growth achieved in the prior year. Net profit saw a modest rise of 8.7% to Rmb68bn.
The tech conglomerate's performance was impacted by a 3.5% decrease in cloud computing revenues to Rmb32.1bn. Additionally, its crucial consumer business, which includes smartphones, experienced weak growth of only 1.6%. This segment faced competition from strong iPhone sales in late 2025.
Despite these headwinds, Huawei's connectivity business navigated industry cycles, and its consumer division overcame formidable challenges. The company's automotive unit was a bright spot, with revenues soaring 72% to Rmb45bn, driven by demand for its chips and infotainment systems.
Huawei also underscored its commitment to technological advancement by increasing research and development spending to a record Rmb192.3bn, representing over a fifth of its revenue. This increased investment targets AI and semiconductor technologies as the company continues to compete globally.
