Huawei Reports FY08 Results; Cites Innovation as Driving Strong Worldwide Growth

Revenues increase 42.7% to $18.33 billion; Operating profit margin up 3% to 13%

Shenzhen, China, 22 April 2009: Huawei Technologies Co. Ltd. ("Huawei"), a global leader in the provision of next-generation telecoms network solutions, today released its audited full-year 2008 financial results highlighted by contract sales of US$23.3 billion and revenues of US$18.33 billion, an increase over the previous year of 46 percent and 42.7 percent respectively. Huawei also enhanced its operating efficiency in 2008 with operating profit margin increasing by 3 percent to a total of 13 percent.

Huawei expects contract sales to exceed US$30 billion in 2009 on the back of its innovation strategy, its established leadership in emerging markets and its proven record in meeting the increasing demand for world-class broadband solutions across developed markets.

“We are pleased with our progress in 2008 and expect the momentum to continue this year, driven by our continued focus on customer-centric innovation and industry-leading telecoms network solutions,” said William Xu, Chief Marketing Officer, Huawei. “We understand our customers’ business challenges and have consistently demonstrated our ability to respond quickly to their requirements with solutions that integrate innovation, quality and value.”



Huawei’s commitment to innovation is evidenced by its designation as the world’s leader in international patent filings with 1,737 applications in 2008. Some 43 percent of Huawei’s 87,500 employees worldwide are engaged in R&D in our 14 R&D centers located across the world.

A large part of Huawei’s growth in 2008 was in developed markets where a rapid migration to mobile broadband is underway. Strong growth has also been recorded in the emerging markets of Asia, Eastern Europe, the Americas and Africa. The next billion mobile phone subscribers will predominately come from emerging markets, demonstrating the enormous potential of these regions and their importance to Huawei’s continued growth.

Huawei’s audited full-year results are outlined in the company’s 2008 annual report released today. The annual report can be found at www.huawei.com/ar2008.