SHENZHEN, China – Leading information and communications technology provider Huawei Technologies Co. Ltd. is bullish about the prospects of the Asia Pacific region including the Philippines, projecting a double-digit increase in its global revenues over the next five years.
Huawei vice president and head of international media affairs Scott Sykes told journalists from the Philippines that the Asia Pacific region where it started its operations 25 years ago would play a crucial role in its growth over the next few years.
“We feel very bullish about the future and growth potential for Asia Pacific countries including the Philippines,†Sykes stressed.
He pointed out that the company’s global sales revenues went up by eight percent to $35.4 billion last year while its profits surged 33 percent to $2.5 billion.
According to him, about 70 percent of the company’s total global revenues came from outside China while 30 percent came from China.
He said about 17 percent of the Huawei’s global revenues last year came from the Asia Pacific including the Philippines while Europe, the Middle East, and Africa accounted for 35 percent and 15 percent from the Americas.
“Going forward in the next five years we project that we are going to hit a 10 percent compounded annual growth each year and we are kind of heading into the direction of where revenue mix that is more evenly split between the carrier business and the device business and the enterprise business,†Sykes added.
Data showed that the revenues from Huawei’s enterprise business group surged 25.8 percent last year followed by the consumer business group with 8.4 percent and its carrier business group with 6.7 percent.
He said Huawei would continue to expand its presence in the Asia Pacific region including the Philippine by hiring more workers due to its huge population and improving economic condition.
The domestic output as measured by the gross domestic product (GDP) of the Philippines expanded by 6.6 percent last year, surpassing the five percent to six percent target set by the Cabinet-level Development Budget Coordination Committee (DBCC).
Economic managers see the country’s GDP growing between six percent and seven percent this year.
“We feel very bullish and confident about the Philippines. We have invested there to hire a lot of local staff. This is an important part of our company’s expansion which we call localization strategy,†he added.
Zhao Rui, head of public relations of Huawei Technologies Phils. Inc., said the Shenzhen-based ICT provider employs close to 900 workers in the Philippines including 130 Chinese employees.