The summer is coming, and the time of the year is over half. Recently, Huawei, Nokia, Ericsson and ZTE's four major telecom equipment vendors have released semi-annual performance reports. According to the reporter's summary, the summary data is Huawei (revenue of 41.8 billion US dollars, an increase of 15%, operating profit margin of 11%). Nokia (revenue of 11 billion euros, about 12.9 billion US dollars; operating profit of 574 million euros, about 674 million US dollars, an increase of 73%; operating profit margin of 8.2%). Ericsson (revenue of 96.3 billion Swedish kronor, about 11.6 billion US dollars; loss of 1.45 billion US dollars, operating profit margin of 7%). ZTE (revenue of 54 billion yuan, about 8 billion US dollars, an increase of 13%; profits of 2.3 billion yuan, about 340 million US dollars, an increase of 30%). Through the panoramic analysis of the financial reports of the four major equipment manufacturers, we can see the characteristics of “Dongsheng West Drop, Seating Rearrangementâ€. Some companies celebrated the overcharge of food, and some began to sound the alarm for the future. Some are struggling in a difficult situation. Overall, the current peak period of 4G construction has passed, and the 5G construction has not yet begun. The network investment of operators has declined, and the global telecommunications equipment industry is generally under pressure. It is an inevitable choice for equipment manufacturers to survive and develop in the future by hard work, increasing investment in research and development, and building advantages through differentiated competition.
Huawei: Elephants rest, reserve "cotton jacket"
Huawei’s semi-annual report gives the overall impression that “an elephant can’t always sprint 100 metersâ€. Compared with the increase of 40% in the same period last year, Huawei's revenue growth in the first half of 2017 has slowed down significantly. Operating profit margins also declined slightly. In addition to the continued growth of consumer business, with an increase of 36%, the growth of carrier business and corporate business is not ideal. Although it continues to grow, it is more dependent on the strong growth of consumer business. According to estimates, the growth rate of Huawei's carrier business and corporate business should be less than 10% in the first half of the year. Of course, with Huawei's huge volume, the net increase of nearly 40 billion yuan is still considerable. Under the big market where the overall economic environment is not good, Huawei's half-year performance has outperformed the market. In particular, the performance of the consumer business is very good, further consolidating the status of the world's third-largest smartphone maker. The gap between Samsung and Apple.
Among Huawei's three major businesses, the carrier business leads 5G cooperation innovation and 4.5G continuous evolution, helping operators build a cloud-based network. In enterprise business, innovative products and solutions such as cloud computing, cloud networking, enterprise wireless, Internet of Things, big data, storage and servers are widely used. The consumer business ranked first in the country and third in the world, and its operating income exceeded 100 billion yuan for the first time.
In the communication equipment industry, Huawei has been riding the dust for a long time. It is in the unique realm of no pursuit after the benchmark, and has been arduously exploring in the no-man's land, shouldering the responsibility of leading the industry's major innovation and sustainable development. Huawei will do more connections, support the pipeline, and enable the digitalization of the industry as a key strategy for the future development of smart society. At the same time, we are committed to building an open ecological chain and exploring the future together with our partners. In addition, increasing R&D investment is a major measure for Huawei to respond to industry uncertainty. Huawei has invested a total of 313 billion yuan (US$45.07 billion) in the past ten years, of which 2016, it reached 76.4 billion yuan (US$11 billion), accounting for 14.6%; it is expected to expand to more than US$15 billion annually, and continue to develop in the long run. Reserve core strategic technologies.
It is worth noting that whenever Huawei develops at a slower pace, President Ren Zhengfei begins to warn managers that they are "ready to start the winter." To achieve "profitable growth and cash flow profits," don't rush to expand the size of the business. For some contract orders that are not ideal for profit, "send it and give up." Huawei does not pursue "puffiness" but must survive the industrial winter. It is always remembered that survival is the top priority, and it is necessary to prepare for the "cotton jacket" of winter.
Nokia: Performance is steady and ranks second
The performance of Nokia's semi-annual report can be defined by "stable performance." According to sales revenue, Nokia has surpassed Ericsson's $11.6 billion for $12.9 billion and has become the world's second largest equipment manufacturer. In terms of financial performance, Nokia is much stronger than Ericsson.
In the first half of the year, Nokia's network business revenue fell 5% to 6%, and the second quarter fell less than the first quarter. In the second quarter, the gross profit margin reached 39.1% and the operating profit margin reached 8.2%. Operating profit reached US$674 million, a year-on-year increase of over 70%. Nokia Technology benefited from the patent licensing agreement signed by Apple and Xiaomi, and its sales revenue increased by 90%. On the day of the earnings announcement, Nokia's share price rose by 5%.
Nokia’s four pillars strategy has progressed. In terms of the first pillar strategy, the order volume in the first half of the year has increased year-on-year by providing high-performance end-to-end networks for operators, and the number of large-scale contract signings has also increased compared with the same period last year. In terms of the second pillar strategy, the sales network has been extended to the new vertical market, and the traction of orders, customers and technology has been continuously enhanced. The growth rate of new customers has increased significantly compared to last year. The sales of the application and analysis business in the second quarter increased significantly compared with the same period last year, and orders still showed an increasing trend. In the patent licensing strategy, Nokia's licensing agreement with Apple and Xiaomi has brought a lot of money.
Nokia's communications carrier business will be more severe in 2017 than previously predicted. The global market decline is between 3% and 5%. Nokia will be in line with market performance. Nokia believes that the acceleration of 5G in the US, China and Japan will help it fully enter the market in 2019. Despite many challenges such as market downturns in the future, Nokia is confident of maintaining a favorable position in the competition with its robust and effective operational management structure and capabilities.
It is worth mentioning that in the Greater China region, Nokia's business development in the second quarter achieved double-digit growth, with overall net sales reaching 627 million euros, up 13% from the previous quarter. In particular, the establishment and operation of Shanghai Nokia Bell Co., Ltd. will continue to provide important performance support for Nokia.
Manual Motor Starter,Motor Starter,KNS12,China Motor Starter
Wenzhou Korlen Electric Appliances Co., Ltd. , https://www.korlenelectric.com