The Chinese company expects 23.8% year-over-year revenue growth
Chinese telecom equipment provider ZTE announced 2015 net profits will reach RMB 3.78 billion ($574 million), an increase compared to RMB 2.63 billion reported for 2014, according to preliminary unaudited results published by the company.
The Chinese company also said full-year revenue is forecast to be RMB 100.8 billion, climbing 23.8% compared to the previous year.
“ZTE recorded higher sales of 4G LTE network solutions internationally, in addition to China, reflecting the strength of the company’s innovations in telecommunications networks. The company also posted increased sales of optical network solutions as demand for broadband networks strengthens,” the firm explained.
ZTE said annual revenue growth was also driven by increased sales of high-end routers in overseas markets. ZTE also recorded higher revenue from sales of enterprise ICT solutions including smart city and data center solutions to companies and government departments. In addition, ZTE also boosted sales of LTE smartphones outside China.
ZTE’s products and services are sold to more than 500 operators in more than 160 countries. ZTE said it commits 10% of its annual revenue to research and development activities.
Reliance Communications, Reliance Jio sign LTE agreements in India
In other APAC news, Indian telecommunications services providers Reliance Jio Infocomm and Reliance Communications Limited inked two agreements for the provision of LTE services in India.
The telcos signed deals for change in spectrum allotment in the 800 MHz band across nine telecom circles from Reliance Communications to Reliance Jio Infocomm, and for sharing of spectrum in the 800 MHz band across 17 circles. The operators did not provide information about the financial terms of the deals.
“The spectrum arrangements between Reliance Jio and Reliance Communications will result in network synergies, enhanced network capacity and will optimize spectrum utilization and [capital expense]efficiencies. Both operators anticipate considerable savings in operating costs and future investment in networks,” Reliance Communications said in a statement.
Reliance Communications’ subscribers are said to benefit from access to Reliance Jio’s nationwide LTE network under the reciprocal sharing and intra-circle roaming agreements.
According to recent reports, Reliance Jio is looking to launch commercial LTE services in April or May using spectrum in the 800 MHz, 1800 MHz and 2300 MHz bands. Reliance has had a pan-India LTE license in the 2300 MHz band since 2010.
Last month, the telco launched LTE services for its employees and friends.