In 2022, ZTE reports a two-fold increase in revenue and operating profit
ZTE Corporation reported in 2022 an operating revenue of 122.95 billion RMB, 7.4% more than the previous year.
According to the 2022 annual report released by ZTE, the net profit attributable to holders of ordinary shares of the publicly traded company reached RMB 8.08 billion, an increase of 18.6% over the previous year.
The net profit after extraordinary items attributable to the holders of ordinary shares of the publicly traded company for 2022 was RMB 6.17 billion, an increase of 86.5% compared to 2021.
2022 marked the beginning of the Company’s expansion phase. During the year, the Company, despite having to face the great challenges posed by the uncertainty of the complex global context, continued to consolidate its position with innovative solutions, while maintaining constant operations at the same time. True to the corporate strategy of maintaining quality growth, ZTE has been able to meet the challenge of global digitalization and decarbonization development, strengthen investment in full-stack and full-domain R&D of DICT, and continuously improve the competitiveness of technologies and of the company’s key products. In 2022, the Company annually invested RMB 21.60 billion in R&D, covering 17.6% of the turnover. At the same time, ZTE continues to deepen the digital and intelligent transformation, enhance the flexibility, resilience and resilience of the organization, and ensure the orderly, efficient and healthy development of all businesses.
In 2022, operating revenues in both domestic and international markets and operating revenues of the company’s three major businesses, including network carriers, government and corporate businesses, and consumer businesses, experienced year-on-year growth. Domestic market operating revenue reached RMB 85.24 billion, accounting for 69.3% of total operating revenue, while international market operating revenue reached RMB 37.71 billion, accounting for 30.7% of total operating revenue overall operations.
As for network carriers, the company gathered an annual operating revenue of RMB 80.04 billion in 2022, an increase of 5.7% from the previous year. During the period, ZTE continued to increase the global market share of key products such as wireless networks and wired networks. According to the latest report, in 2022 the company’s annual shipments of 5G base stations, 5G core networks and 200G coherent port ranked second in the world, while POL OLT’s revenue rose to second place globally.
In administrative and corporate business, ZTE achieved operating revenue of RMB 14.63 billion, an increase of 11.8% over the previous year. ZTE’s core products, such as servers and storage, GoldenDB distributed databases and cloud computers, have achieved rapid growth in the number of top customers in all industries including financial and Internet. Furthermore, ZTE, focusing on business needs of resilience, systematic growth and cost reduction, and relying on efficient digital infrastructure and the “Digital Nebula” built with cloud-native transaction architecture, has deeply integrated ICT technologies with industry sectors to explore the digital transformation of finance, internet, energy, transportation and large enterprises.
For the consumer sector, ZTE generated operating revenue of RMB 28.28 billion, an increase of 9.9% over 2021. The company has gradually integrated mobile phones, mobile Internet products, home information terminals and green features to provide individuals and families with a rich selection of intelligent products. In 2022, ZTE, Nubia and Red Magic have launched a series of mobile phones to meet different market needs. Meanwhile, ZTE’s MBB & FWA 5G mobile Internet product remained the world‘s first in terms of global shipments. During the period, the company’s home information terminals experienced tremendous growth, with shipments of PON CPE and DSL CPE ranking first globally, and its STB remained in the leading position in terms of market share.
In the future, ZTE will be dedicated to realizing its positioning as “Driver of Digital Economy”, maintaining its strategic determination and leveraging the progress of digitization and decarbonization. With focused and pragmatic efforts, the Company will further strengthen its management capacity, with the aim of improving operational efficiency and achieving steady growth.