By Che Pan and Laurie Chen
BEIJING, March 31 (Reuters) – China’s Huawei Technologies reported on Tuesday 2.2 growth in 2025 revenue, as its core businesses of infrastructure network and consumer devices reported modest growth, while its cloud computing operation saw a revenue decline.
The Shenzhen-based company posted 2025 sales revenue of 880.9 billion yuan ($127.5 billion), up 2.2% from a year earlier, marking a sharp slowdown from 22.4% growth recorded in 2024.
The 2025 result marks Huawei’s second-highest annual revenue, trailing a record 891 billion yuan sales achieved in 2020.
Huawei’s smartphone business had suffered a dramatic decline after U.S. sanctions restricted access to advanced chips and Google’s Android operating system, driving its total revenue down 29% in 2021. Last year was the fourth consecutive year of growth since that trough.
Revenue from the consumer unit, which includes smartphones and other digital devices, rose 1.6% to 344.5 billion yuan, while its information and communication technology infrastructure segment — the largest revenue contributor — posted 2.6% growth in sales to 375 billion yuan, Huawei said in a statement.
Its smaller yet important cloud computing business reported a 3.5% drop in revenue, while intelligent automotive solutions unit, which helps traditional automakers develop smart vehicles, saw a revenue surge of 72.1% to 45 billion yuan.
Huawei continued to allocate significant resources to research and development to mitigate the effects of ongoing U.S. sanctions.
R&D spending surged to 192.3 billion yuan in 2025, representing 22% of its annual revenue, as the company invested heavily in software, chips and manufacturing tools to reduce reliance on restricted U.S. technology.
In a statement, chairwoman Meng Wanzhou, daughter of Huawei founder Ren Zhengfei, said the company is navigating a future “full of uncertainty,” and pledged that Huawei would continue cultivating its developer ecosystem.
($1 = 6.9058 Chinese yuan renminbi)
(Reporting by Che Pan and Laurie ChenEditing by Keith Weir)
