The Huawei booth at the Mobile World Congress in Barcelona, 2025.
Arjun Kharpal | CNBC
Huawei on Monday reported a sharp jump in 2024 revenue as its core telecommunications and consumer businesses accelerated.
Huawei reported revenue for 2024 of 862.1 billion Chinese yuan ($118.2 billion), a 22.4% year-on-year rise.
It is the company’s second-highest revenue figure ever, according to CNBC calculations, just shy of the record 891.4 billion yuan reported for 2020.
Net profit fell, however, to 62.6 billion yuan, a decline of 28% versus 2023. Huawei said this was a result of increasing investments.
It comes as the Chinese technology giant tries to adapt its business to deal with U.S. sanctions that have restricted its access to key technologies like semiconductors.
“In 2024, the entire team at Huawei banded together to tackle a wide range of external challenges, while further improving product quality, operations quality, and operational efficiency,” Huawei’s rotating chairwoman Meng Wanzhou said in the company’s annual report.
Huawei spent 179.7 billion yuan on research and development, equating to 20.8% of its revenue. That’s higher than 2023’s 164.7 billion R&D figure. Huawei has been diversifying its business in areas including data centers for AI, cloud computing and automotive technology.
“Over the next three years, despite an economic downturn, we will increase investment in strategic depth, particularly in building foundational technologies, and seek growth opportunities through differentiation,” Meng said.
Huawei’s sales last year were driven by its two biggest businesses — ICT infrastructure and consumer — which together account for around 82% of the company’s total revenue.
Revenue at the ICT infrastructure division, which includes its carrier business, rose 4.9% year-on-year to 369.9 billion yuan. This is the Shenzhen headquartered-firm’s biggest business by revenue. Huawei is one of the world’s largest telecommunications equipment companies and the company said large-scale deployment of next-generation 5G networks had helped drive growth.
The company also said that 2024 was the first year of commercial deployment of next-generation networks, dubbed 5.5G or 5G advanced, which also helped give sales a boost.
China smartphone revival
An acceleration in Huawei’s consumer business also aided its revenue figures. The consumer business raked in sales of 339 billion yuan, a 38.3% rise and a sharp acceleration from the growth seen last year.
From the end of 2023, however, a semiconductor breakthrough in China allowed Huawei to regroup and release high-end phones that have sold very well domestically.
In 2024, Huawei’s smartphone shipments in China jumped 37% year-on-year, while its market share rose to 16% from 12% in 2023, according to data from Canalys. This came at the expense of Apple, which saw its market share decline and shipments fall.
Meanwhile, Huawei also released HarmonyOS 5 in 2024, the first version of its self-developed mobile operating system that reportedly no longer uses any open-source code from Google Android.
Still, analysts have told CNBC that Huawei’s overseas prospects remain a challenge given its lack of access to Android, which runs on the majority of the world’s smartphones, and continued restrictions in accessing the most cutting-edge chips, such as those found in Apple and Samsung devices.
New business focus
To mitigate some of the effects of U.S. sanctions over the past few years, Huawei has been pushing into new areas such as its digital power division, which includes a focus on energy infrastructure in areas such as electric cars and renewables.
This segment — still a very new business — saw revenue rise 24.4% to 68.7 billion yuan.
Cloud computing revenue came in at 38.5 billion yuan, up 8.5% year-on-year. Huawei said that when cloud sales to its own business units are taken into account, the total revenue for the division is 68.8 billion.
Huawei’s smallest business, called Intelligent Automotive Solution, reported a 474.4% year-on-year rise in revenue to 26.4 billion yuan. Huawei develops in-car software as well as driver assistance systems for third-party automakers.
A Zoox autonomous robotaxi in San Francisco, California, US, on Wednesday, Dec. 4, 2024.
David Paul Morris | Bloomberg | Getty Images
Amazon‘s Zoox robotaxi unit issued a voluntary recall of its software for the second time in a month following a recent crash in San Francisco.
On May 8, an unoccupied Zoox robotaxi was turning at low speed when it was struck by an electric scooter rider after braking to yield at an intersection. The person on the scooter declined medical attention after sustaining minor injuries as a result of the collision, Zoox said.
“The Zoox vehicle was stopped at the time of contact,” the company said in a blog post. “The e-scooterist fell to the ground directly next to the vehicle. The robotaxi then began to move and stopped after completing the turn, but did not make further contact with the e-scooterist.”
Zoox said it submitted a voluntary software recall report to the National Highway Traffic Safety Administration on Thursday.
A Zoox spokesperson said the notice should be published on the NHTSA website early next week. The recall affected 270 vehicles, the spokesperson said.
The NHTSA said in a statement it had received the recall notice and that the agency “advises road users to be cautious in the vicinity of vehicles because drivers may incorrectly predict the travel path of a cyclist or scooter rider or come to an unexpected stop.”
If an autonomous vehicle continues to move after contact with any nearby vulnerable road user, it risks causing harm or further harm. In the AV industry, General Motors-backed Cruise exited the robotaxi business after a collision in which one of its vehicles injured a pedestrian who had been struck by a human-driven car and was then rolled over by the Cruise AV.
Zoox’s May incident comes roughly two weeks after the company announced a separate voluntary software recall following a recent Las Vegas crash. In that incident, an unoccupied Zoox robotaxi collided with a passenger vehicle, resulting in minor damage to both vehicles.
The company issued a software recall for 270 of its robotaxis in order to address a defect with its automated driving system that could cause it to inaccurately predict the movement of another car, increasing the “risk of a crash.”
Amazon acquired Zoox in 2020 for more than $1 billion, announcing at the time that the deal would help bring the self-driving technology company’s “vision for autonomous ride-hailing to reality.”
While Zoox is in a testing and development stage with its AVs on public roads in the U.S., Alphabet’s Waymo is already operating commercial, driverless ride-hailing services in Phoenix, San Francisco, Los Angeles and Austin, Texas, and is ramping up in Atlanta.
Teslais promising it will launch its long-delayed robotaxis in Austin next month, and, if all goes well, plans to expand after that to San Francisco, Los Angeles and San Antonio, Texas.
Shares of Intuit popped about 9% on Friday, a day after the company reported quarterly results that beat analysts’ estimates and issued rosy guidance for the full year.
Intuit, which is best known for its TurboTax and QuickBooks software, said revenue in the fiscal third quarter increased 15% to $7.8 billion. Net income rose 18% to $2.82 billion, or $10.02 per share, from $2.39 billion, or $8.42 per share, a year earlier.
“This is the fastest organic growth that we have had in over a decade,” Intuit CEO Sasan Goodarzi told CNBC’s “Closing Bell: Overtime” on Thursday. “It’s really incredible growth across the platform.”
For its full fiscal year, Intuit said it expects to report revenue of $18.72 billion to $18.76 billion, up from the range of $18.16 billion to $18.35 billion it shared last quarter. Analysts were expecting $18.35 billion, according to LSEG.
“We’re redefining what’s possible with [artificial intelligence] by becoming a one-stop shop of AI-agents and AI-enabled human experts to fuel the success of consumers and small and mid-market businesses,” Goodarzi said in a release Thursday.
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Goldman Sachs analysts reiterated their buy rating on the stock and raised their price target to $860 from $750 on Thursday. The analysts said Intuit’s execution across its core growth pillars is “reinforcing confidence” in its growth profile over the long term.
The company’s AI roadmap, which includes the introduction of AI agents, will add additional upside, the analysts added.
“In our view, Intuit stands out as a rare asset straddling both consumer and business ecosystems, all while supplemented by AI-prioritization,” the Goldman Sachs analysts wrote in a note.
Analysts at Deutsche Bank also reiterated their buy rating on the stock and raised their price target to $815 from $750.
They said the company’s results were “reassuring” after a rocky two years and that they feel more confident about its ability to grow the consumer business.
“Longer term, we continue to believe Intuit presents a unique investment opportunity and we see its platform approach powering accelerated innovation with leverage, thus enabling sustained mid-teens or better EPS growth,” the analysts wrote in a Friday note.
FILE PHOTO: Apple CEO Tim Cook escorts U.S. President Donald Trump as he tours Apple’s Mac Pro manufacturing plant with in Austin, Texas, U.S., November 20, 2019.
Last week, Trump said he “had a little problem with Tim Cook,” and on Friday, he threatened to slap a 25% tariff on iPhones in a social media post.
Trump is upset with Apple’s plan to source the majority of iPhones sold in the U.S. from its factory partners in India, instead of China. Cook officially confirmed this plan earlier this month during earnings.
Trump wants Apple to build iPhones for the U.S. market in the U.S. and has continued to pressure the company and Cook.
“I have long ago informed Tim Cook of Apple that I expect their iPhone’s that will be sold in the United States of America will be manufactured and built in the United States, not India, or anyplace else,” Trump posted on Truth Social on Friday.
Analysts said it would probably make more sense for Apple to eat the cost rather than move production stateside.
“In terms of profitability, it’s way better for Apple to take the hit of a 25% tariff on iPhones sold in the US market than to move iPhone assembly lines back to US,” wrote Apple supply chain analyst Ming-Chi Kuo on X.
UBS analyst David Vogt said that the potential 25% tariffs were a “jarring headline,” but that they would only be a “modest headwind” to Apple’s earnings, dropping annual earnings by 51 cents per share, versus a prior expectation of 34 cents per share under the current tariff landscape.
Experts have long held that a U.S.-made iPhone is impossible at worst and highly expensive at best.
Analysts have said that made in U.S.A. iPhones would be much more expensive, CNBC previously reported, with some estimates ranging between $1,500 to $3,500 to buy one at retail. Labor costs would certainly rise.
But it would also be logistically complicated.
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Supply chains and factories take years to build out, including installing equipment and staffing up. Parts that Apple imported to the United States for assembly might be subject to tariffs as well.
Apple started manufacturing iPhones in India in 2017 but it was only in recent years that the region was capable of building Apple’s latest devices.
“We believe the concept of Apple producing iPhones in the US is a fairy tale that is not feasible,” wrote Wedbush analyst Dan Ives in a note on Friday.
Other analysts were wary about predicting how Trump’s threat ultimately plays out. Apple might be able to strike a deal with the administration — despite the eroding relationship — or challenge the tariffs in court.
For now, most of Apple’s most important products are exempt from tariffs after Trump gave phones and computers a tariff waiver — even from China — in April, but Apple doesn’t know how the Trump administration’s tariffs will ultimately play out beyond June.
“We’re skeptical,” that the 25% tariff will materialize, wrote Wells Fargo analyst Aaron Rakers.
He wrote that Apple could try to preserve its roughly 41% gross margin on iPhones by raising prices in the U.S. by between $100 or $300 per phone.
It’s unclear how Trump intends to target Apple’s India-made iPhones. Rakers wrote that the administration could put specific tariffs on phone imports from India.
Apple’s operations in India continue to expand.
Foxconn, which assembles iPhones for Apple, is building a new $1.5 billion factory in India that could do some iPhone production, the Financial Times reported Thursday.