Huawei reports higher first-half revenue as R&D spending rises and profit falls

Huawei Investment & Holding reports that its first-half revenue rises to RMB 467.82 billion, an increase of about 9.6% year on year, while net profit declines to RMB 23.43 billion from RMB 37.05 billion. Across the period, Huawei’s research and development spending increases to about RMB 121.4 billion, up roughly 25% from a year earlier.

Both outlets cite the company’s half-year figures showing that R&D spending accounts for about 25.9% of revenue. The South China Morning Post highlights that Huawei allocates more than a quarter of revenue to R&D, framing this as an emphasis on self-reliance, while also noting that profit drops sharply in the first half. TechNode similarly focuses on the financial results and the scale of R&D outlays, including the rise in spending as a share of revenue.

Taken together, the reports present a picture of revenue growth alongside reduced profitability, coinciding with significantly higher investment in R&D during the first half of the year.