Last year revenue growth of over 60 billion yuan over Huawei, ZTE
In the overall income scale, Huawei, ZTE is still far behind
In the international telecommunications market into a bleak, contrarian equipment manufacturers in China rose pattern become more pronounced.
Yesterday, ZTE (000063.SZ, 00763.HK) announced the 2009 performance report, in 2009 ZTE's total revenue for the first time more than 60 billion yuan, up 36.08 percent revenue growth, it is the first record of the industry .
According to Hong Kong Financial Reporting Standards and accounting principles generally accepted in China, ZTE in 2009 operating income of 60.273 billion yuan, up 36.08 percent compared with 2008, net profit of 2.458 billion yuan, an increase of 48.06% compared to 2008. Companies operating activities Cash flow per share 2.12 yuan.
The top half of the sky from the domestic market
Although in the past year, the international telecommunications market slowdown more obvious, but the domestic 3G licensing will bring lots of investment to ensure the ZTE and the overall performance of the domestic market continue to grow rapidly.
Filing shows ZTE domestic market operating income of 30.404 billion yuan, up 74.07%. ZTE said that this mainly due to ZTE fully grasp the opportunities of domestic 3G launch, the three operators of the network construction tender outstanding, become the biggest market of 3G network equipment providers, particularly in the TD- SCDMA, CDMA, XPON represented products have achieved good sales.
While in 2008, ZTE's income share in the international market has reached 60.57%, but in 2009 the domestic situation of a good to the domestic market propped up half the sky ZTE performance last year, the proportion of total income over 50%.
According to financial reports, international market in 2009, ZTE achieved operating income of 29.869 billion yuan, up 11.34%, the proportion of total revenue up 49.56 percent.
In particular, in 2009, ZTE's breakthrough in the European market, in addition to the terminal, the ZTE bearer network, access network, business network and other related products have entered the U.S. and Europe has been an important country in Europe and the United States market, ZTE is gradually becoming an important performance growth area.
ZTE said in 2009, ZTE's mainstream products in carrier networks has made more substantial breakthrough and growth. At present, ZTE's 3G market in China, the first comprehensive ranking, Europe and the United States market, sales revenue in the international market began to rapidly increase the proportion of ZTE has achieved a comprehensive breakthrough in the mainstream market.
Growth rate of more than Huawei
Before departing president Yin Yimin, ZTE things, was the industry that "probably because of the performance pressure", but yesterday, ZTE flaunted the earnings break this argument, because in the past year, ZTE continues to maintain rapid growth and growth rate than Huawei.
In 2009, Huawei's sales revenue of 149.1 billion yuan, an increase of 19%, net profit of 18.3 billion, excluding exchange gains and losses if the changes brought by Huawei in 2009 profit increase of 26.5%. The ZTE these two indicators were 36.08% and 48.06% growth rate of more than Huawei.
Objectively speaking, the overall income of ZTE in the scale of Huawei still lag behind, because the two companies differ in overall size, direct comparison between the growth rate is not entirely appropriate, but from the view of revenue growth over the past three years, ZTE Huawei has narrowed the gap with the trend.
2007 to 2009, the scale of Huawei's revenue was 109.1 billion yuan, respectively, 115.4 billion yuan and 149.1 billion yuan, while ZTE was 34.78 billion yuan, 44.3 billion yuan and 60.273 billion yuan. ZTE's revenue growth from 2007 31.88% to 38.39% in 2008 and then to 40.42 percent in 2009, is gradually catch up with the pace of Huawei.
Although Huawei and ZTE are two perennial competitors, but a way, is precisely because of the existence of competition, so that the two companies have maintained fast running posture, their common benefit from China's economic growth and China's cost advantage, but also common in the global downturn in the telecommunications market did rise side by side.
New Year's Day holiday all right, analysis of the play, and do not represent the views of any organization or individual.
Huawei and ZTE comparison of the data
First, the data source note 1. Huawei's income data from the data of electronic hundred
2. ZTE ZTE data from the Annual Report.
3.2009 annual data, Huawei New Year message from the chief, ZTE's data from the data in the forum above are in U.S. dollars are translated into RMB exchange rate was 6.8. ZTE's data without verification.
Second, the data comparing 1. Comparative tabular data 
2. Comparative income differences 
3. Comparison of growth rates 
Third, data analysis
1. Ignores the basic data of 97 years, growth rates can not be compared.
2. Huawei 01-02 years of revenue growth in income is very small, income hovers at 16,000,000,000, while the same period in 2001 ZTE's growth rate of over 100%. ZTE's income hovering around 22.0 billion segment.
3. Since 2000, 4 years, ZTE and Huawei, the gap continued to shrink, 04,05 years, only 1.4 times the minimum time for the corner overtaking stage.
4. ZTE in 2005 there appeared a year of negative earnings growth, while Huawei's growth rate over the same period about 40%, the gap began to widen,
5.06 years, the gap between Huawei and ZTE to the local peak of 2.9 times.
6. Huawei's growth rate is relatively smooth, 01,02-year low in 2003 from the accelerated growth rate gradually declined after 2005, presumably because of the scale of enlargement. ZTE's growth rate over the same period volatile. 98 years and in 2001 more than 100%, and 05 for the negative growth in 2006 a small increase, mainly due to stop the construction of PHS.
7. Zhongxing 07-09 average annual growth rate slightly higher than Huawei. 2009 Construction on the domestic 3G ZTE Huawei contribution rate should be higher than the contribution rate and large.
First of all that, I February 17, 2009 was to communicate, "elimination", on March 23 officially left. Huawei time difference of one week in five years. Recall the days and nights in the five years of Huawei, feeling a lot, wrote a post, "Huawei is not at home - five years of bitter separation of Huawei staff" did not think this post has some effect on a lot of brothers Huawei office read, and some called me, not to speak only sigh. Separation process somewhat cumbersome, but also run smoothly. Like what old-age insurance, are run by the company came forward, leaving 800 in Shenzhen that is brother on behalf of the open. Here to be grateful. N +1 after one month's compensation credited into account option is also discounted, and even have cashed in winners. Some brothers often look at swearing jar companies do not know people with ulterior motives stir up trouble, or is the black heart is really in charge greedy former employees of the hard-earned money, no investigation can not talk nonsense, my own example, the company gave last year, about 50%, although much smaller, but I have contentment.
Just been informed of "the End" when the feeling tremendous pressure all night insomnia. When I asked the director of Office of separation procedures, manager replied, you go first to work it and then some. Find a job pretty well, after all, Huawei out, other companies would be willing to be so. Found a new company started to do separation procedures, did not expect that to companies issuing employee turnover, I returned to Shenzhen to open left proved too unrealistic, and the new company and anxious, urge me to do once the entry formalities. I went back to office and said product manager, product manager, said, I'll easily find a chapter to the engineering department built it for you. Project managers did not expect did not agree. Huawei my head told me that you can prove that such companies issued. At this time, found a brother to sign the former partner "Initial verification book", I place no one called him a call, told him: "look blank A4 paper, in the lower right foot to build a chapter to the project I am. "partners brother is happy to build a chapter in my public writing on white A4 paper," Our employees are hereby XX ... ... "the new company for me to do a smooth entry procedures, achieved in my career seamlessly. Through this incident, I recall my first meeting Huawei product manager spoke about this in the story: "that there was a child at a sudden high fever, the child's mother, a neighbor went to a doctor please, take care of the child. Neighbor to go for a long time a people come back, the mother asked the neighbor, how doctors did not come? neighbor replied, doctors are not at home, but did not take cell phone, outside raining again! mother had told neighbors that you can help me take care of a child, I went to see a doctor. not long the time the doctor came over to find her mother, neighbors asked her mother, how did you find it. mother answered, I asked the doctor's family, doctors usually where this time, I went from place to place, good news The first place I went, they found a doctor. outside of the storm is nothing to me! "before listening to the story, just listened and did not think through the things that I do leave, I just Huawei product manager," neighborhood "I own is the" mother ", so when the new company, both on the next for me if they want to coordinate the completion of one thing, their interests must be found, only the completion of this benefit to them, they to mothers, or just a help, "neighbors"! Huawei's product manager and I communicate with the bottom, say I only know that when the bow work, is true. Some things really need to regularly sum up, always thinking. Unfortunately, only when I left Huawei, I realized! Thank Huawei
March 31, according to informed sources, Huawei has just released its 2009 annual report. The report shows that Huawei 2009 global sales of 1,491 billion yuan, up 19%. 14.1% operating margin, net profit of 18.3 billion yuan, net profit margin of 12.2%.
Contract revenue in China 10 billion U.S. dollars
In achieving sustained growth in sales and net profit at the same time, Huawei's operating cash flow increased by 237%, reaching 21.7 billion yuan, achieving a "sales" and "operational" indicators of double harvest. By the end of the end of 2009, Huawei has accumulated a variety of taxes to the state to pay 68.5 billion yuan.
In 2009, Huawei is still in the international market to maintain strong growth momentum - wireless access market, the world's second-largest supplier; in Oslo, the successful delivery of the world's first LTE / SAE commercial contracts; the first release from the router to the transmission system 100G-end solution ... ...
Concern is that in the international market, Huawei has also burgeoned, and accurately the first year of China's 3G market opportunities. According to the report data, 2009 Love is in the Chinese market to achieve sales of 10 billion U.S. dollars contract, and won the largest market share in China's 3G market. At present, Huawei's WCDMA network in China Unicom and China Telecom's CDMA2000
EV-DO network equipment market, both ranking first in China Mobile TD-SCDMA network equipment in more than 30% market share, ranking second.
Four areas of the comprehensive advantages of the formation of ALL-IP
In addition to successfully seize market opportunities in China, the long-standing innovation based on customer needs, Huawei is also the steady development over the past year, a key factor.
In 2009, Huawei still sticks to R & D investment, the annual R & D costs amounted to 13.3 billion yuan, an increase of 27.4%. At present, Huawei's R & D accounted for 46% of the total number of employees in China, the United States, Germany, Sweden, Russia and India established 17 research institutes, together with the leading operators set up 20 joint innovation center. The smooth functioning of these innovative organizations, Huawei will be the leading technology into a competitive advantage for our customers and to lay a solid foundation for business success.
In the customer-driven philosophy under the guidance of the core, Huawei is now based in the telecommunications network, business and software, and professional services and end the four business areas, forming a comprehensive end to end competitive advantages, which have sustained to help operators improve revenue (ARPU), improve the competitiveness of the bandwidth (Bandwidth) and reduce overall operating costs (Cost), integrated services to achieve business success capability. Huawei has accumulated over the years, the fixed network, mobile network, data communications and other core areas of IP technology to establish an advantage, to become a major supplier industry.
A telecommunications industry expert analysis, Huawei has integrated fixed, mobile and IP 3 combined strengths. Meanwhile, Huawei has invested heavily to 3G/4G, Multi-play and IMS solutions, such key is the All-IP based FMC solution of one of the leaders. On the whole, operators, Huawei is the era of convergence the best partners in the coming era of convergence will bring unique value to customers.
Huawei relevant responsible person said, because long-term adherence to customer-centric, Huawei understand and grasp the full IP convergence trend and the fusion of the times as the best partner for operators, Huawei services of the 50 operators have been from 36 in 2008 rose to 45. 2010, Huawei will continue to achieve solid growth in sales revenue is expected to grow 20%.
17 years ago, Huawei CEO Ren Zhengfei that "10 years later, the world third world telecommunications industry, Huawei will account for a"
. From the chase to follow and then to go beyond, and now, Huawei has finally achieved that goal. Scale according to income calculation, Huawei has successfully established itself as the world's second-largest equipment manufacturers.
Today, Huawei officially announced the audited results for 2009, annual report, Huawei 2009 global sales of 149.1 billion yuan (about 21.8 billion U.S. dollars), up 19%. 14.1% operating margin, net profit of 18.3 billion yuan, net profit margin of 12.2%.
It is worth noting, Huawei released the 2008 profit was 11.5 billion U.S. dollars, in accordance with the 2009, 18.3 billion yuan (about 2.68 billion U.S. dollars) in net terms, in 2009 net profit increase of more than 100%.
So far in 2008, Huawei 18.3 billion U.S. dollars of total income, the proportion of overseas income has reached 75%
Huawei recently bought a new longer-Benz, which makes Huawei CEO Ren Zhengfei also a little curious, when he saw Zheliang limousine when there was a point of dissatisfaction with the complaint, "an expensive car, had only a little longer so !, "but go complain complain, or take the money spent.
Huawei told CBN reporter, a middle, Huawei to buy this car because like the African Brothers. In fact, people who visited Huawei headquarters will Bantian Industrial Park, in addition to the beautiful endless emotion, the will be Huawei's ultra-luxury fleet of the shock: the general height of highly trained drivers, as well as an all-Benz cars.
The team provides services such as Huawei, Ren Zhengfei not executives, but those who come to visit partners of Huawei. Huawei headquarters received every day from around the world partner. Huawei who explained that the above-mentioned "extended-Benz" is cast on the main African partners likes, Huawei need to always be prepared to receive international attention in the review.
So far in 2008, Huawei 18.3 billion U.S. dollars of total income, the proportion of overseas income has reached 75%, while almost all other competitors in trouble in the financial crisis, but Huawei is still hope in 2009 to 300 billion dollars sales, compared with 30% growth in 2008.
U.S. Global Edition, "Business Week" recently published an international investment banker Kuhn (Dr.
Kuhn) Comments: Located in Shenzhen, Huawei has become the world's most powerful communication device, one of which by virtue of patents and innovation, China's new corporate logo. Although many people have criticized the Huawei is "second-rate company," but now, "Huawei has become the world's innovation leader", it's the rise of the "shock of the original bigwigs - such as Nortel, Nokia, Alcatel-Lucent."
Pain and happiness
Huawei recently are going through a medium-intensity "trouble": December 8 will be made in China, India, Ministry of Finance announced that the synchronous digital transmission equipment (SDH) to impose provisional anti-dumping duty rate of 50% of Huawei. ZTE, war, Alcatel Shanghai Bell, in his column, some enterprises have even higher rates.
SDH is an important transmission products, but not products of Huawei's core earnings. Huawei India is one of the most important overseas market, the Indian market in 2008, Huawei achieved 1.7 billion U.S. dollars in revenue.
Huawei in overseas markets is not the first problem. Earlier this month, the Indian operator BSNL has just canceled Huawei in south India 20 million lines of GSM telecommunications equipment contracts, order the amount of nearly 20 billion dollars.
The so-called "military factor", has been given to foreign operators of unfair treatment Huawei is one important excuse. BSNL is the first of "security" grounds, to refuse to grant contracts of Huawei in western India on the grounds that it is India's "sensitive areas."
Huawei India's experience is a microcosm of the overseas market only, but this phenomenon and from the side show, this company has been strong from China to the point where people have new eyes.
December 18, the Nordic telecommunications operator Tele2 AB and Telenor
ASA joint venture company will build its 4G network contract awarded Huawei. Marked by much more than practical significance is that Sweden is the most important competitor Huawei, Ericsson's "nest."
This was the second time in a short time into the Huawei each other, "the hinterland." November 10, Huawei announced the world's largest telecom operator Telenor has selected Huawei as one of the group's headquarters in Norway the next 6 years the sole supplier of wireless Ce, removal, upgrade all of Telenor in Norway, 2G/3G networks will eventually deploy one covering the whole territory of Norway's far Europe's largest commercial LTE network. December 14, the network as the world's first commercial LTE network in operation.
This means that Huawei is narrowing the field in the LTE and equipment manufacturers "take the lead in Big Brother," the gap between Ericsson, while Huawei is Europe and the United States and other Western equipment manufacturers in the traditional "territory" breakthrough.
Do not work hard, it will only sadness
Since 1996, Huawei began its international exploration difficult. Huawei's internationalization started in Russia. Alexey is the first batch of Russian employees of Huawei, Huawei, he always remembered how difficult those years: "Every time we appear in the Telecom, many visitors were questioned and ridiculed the attitude of holding, 'you produce switch? What company? Where to buy the license? 'They do not believe that Chinese companies are also doing research and development. "
First few years, Huawei in overseas markets saw bid but not awarded, saw input but not output. In many countries overseas, Huawei has been sustained into 2045 have not see the benefit of the case, this is a psychological protracted war, it is a capital in the protracted war.
In 1998, Huawei in Russia, nothing, nothing in 1999 or 2000, Huawei's headquarters in the heated debate: in the end is to continue putting money into Russia, or as early as possible evacuation? But the company insists down and tell you that Huawei also. Until 2001, it ushered in the first of millions of dollars on a big one.
This evaluation of Huawei Ren Zhengfei International: "defeated, will keep on fighting," but he called Huawei people should be dominant, in high spirits, across the Pacific: "Always at the gates of the market once the market is saturated, to how to the face. "
"We do not as strong as Lucent and other basic research, even if we are short of advanced products for the time being, we must take advantage of short-lived lead, as soon as possible to seize a number of markets, increase investment to consolidate and extend our advanced, or a little ahead The advantage would be short-lived, do not work hard, they will only sadness. "
Deng Tao, vice president of Huawei Huawei Technologies to develop the African market used to be a veteran after he moved to Europe. He recalled that Huawei first entered Europe only two individuals, even the operators are not get in the door. Because the Europeans think that China can only produce cheap shoes, as production of high-tech products is unheard of. When Huawei Telecom to participate in Cannes, France, the French television reports entitled: "China actually has 3G technology?" Full of suspicion and disdain.
However, Huawei had persevered. In 1999, Huawei's overseas market finally see signs of hope that year 50 million U.S. dollars of overseas income, 128 million U.S. dollars in 2000, 2005, the first time, Huawei's overseas revenue surpassed domestic, 58%, while in 2008 this figure further increased to 75%, the localization rate of overseas workers 57%.
Subversive of the Road
Huawei's success has changed to some extent foreign to the "China" negative image. Back in 1994, Ren Zhengfei on "bluster": 10 years later, the world third world telecommunications industry, Huawei will occupy a point. Although now occupy the top three companies have have changed the world, but one-third of the world Huawei's "ambition" has been largely achieved.
From market research firm Dell'Oro
Statistics show that up to the third quarter of this year, Huawei's market share has grown from 11% last year to about 20%, almost doubled, and more than Noci, second only to Ericsson, ranked communication the second company.
Not generous deal, almost all of Huawei's internationalization, "millet plus rifles," one step out of. The private high-tech enterprises, but also 20 years of company history, international history, but more than 10 years, it made international mode is the "original": that is to sell communication products of Huawei's overseas customers.
"Huawei's aggressive," from the U.S. Heavy
Reading analyst commented, "Huawei's customers are often asked, 'You are what product suppliers? Our prices can be 30% less!'"
Cost and price is really Huawei and other Chinese telecommunications companies a big advantage, and this is the advantage of China's creation. If in the beginning of Huawei or the "price butcher" image making international, then the image is changing in recent years of Huawei, Huawei not only "affordable" but also as a technology leader.
Among domestic enterprises, Huawei is the first adhere to the 10% annual revenue into R & D companies, by 2006, Huawei's NGN loss of more than 1 billion, 3G losses of more than 4 billion, but Huawei R & D investment in technology has not changed . In 2008, Huawei with the first application submitted 1737 patent applications account for the global company (people) first, as at the end of December 2008, Huawei has accumulated 35,773 patents.
In the future LTE (4G) in the field, Huawei is with 147 among the world's fourth patent in the global telecom equipment manufacturers in the second place, as at the end of August of 1272 the total number of global LTE patent stated, Huawei accounting for 12 % share. LTE advantage of a breakthrough for Huawei in further tool for the mainstream market in Europe and America. Huawei in North America is the only large-scale breakthrough did not realize strategic market.
Huawei being a leader from the challenger to the cross. According to Huawei's plan to end of this year, Huawei's sales revenue will reach 30 billion U.S. dollars. Huawei Ren Zhengfei has made long-term goal is to reach 40 billion U.S. dollars in sales revenue, it now appears that day is not too far off.