ZTE said its net profits amounted to CNY2.74 billion in Q1, representing an increase of 3.7% year-on-year
Chinese vendor ZTE announced revenues of CNY30.58 billion ($4.22 billion) for the first quarter of 2024, surging 4.9% year-on-year.
Meanwhile, the vendor’s net profits amounted to CNY2.74 billion, representing an increase of 3.7% year-on-year. Its net cash flows from operating activities increased by 28.3% to CNY2.98 billion, compared to the same period last year.
ZTE noted that the overall performance during the quarter maintained stable growth, with both operating revenue and net profit showing year-on-year growth.
“In Q1 2024, the domestic growth of the operator network faced pressure due to the overall investment environment, prompting the company to accelerate its transition from full connectivity to ‘connectivity + computing power’ to expand market space. Internationally, ZTE continued to achieve continuous breakthroughs with major telecom operators in key countries, sustaining its growth trend. Simultaneously, in terms of government-enterprise business and consumer business, the company intensified its expansion in these two sectors, with both segments returning to rapid growth paths,” the vendor said.
ZTE also said it is committed to deeply integrating AI technology with terminals to drive product innovation and intelligent upgrades. In the first quarter of 2024, the company’s research and development expenses amounted to CNY6.38 billion, accounting for 20.9% of operating revenue.
In the field of connectivity, ZTE said it has has achieved competitiveness in key technologies and products, adding that it continues to evolve around next-generation ICT technologies such as 5G-A, all-optical networks and 6G.
“Moving forward, ZTE is committed to actively embracing the digital construction wave, accelerating its transition towards “connectivity + computing power,” thereby driving the company’s high-quality development. The company will continue collaborating with industry partners to establish highly efficient, green and intelligent digital infrastructure, aiming to advance the development of the global ICT industry.”
ZTE had announced 5G-A products during MWC 2024, which took place earlier this year in Barcelona, Spain.
During the event, ZTE unveiled 10 5G-A products including UBR and FDD massive MIMO products, mmWave products and non-terrestrial networks (NTN) ground base station to extend 5G-A scenarios, and the a series of products with integrated communication and computing for rich B2C, B2B applications.
During MWC, ZTE noted that 5G-A is about to enter large-scale construction, adding that it will work with all sectors in the industry to jointly promote the continuous iteration and commercial practice of 5G-A technology.
