Huawei R&D Hits 25.9% of H1 Revenue at 121.38B Yuan as Net Profit Falls 37%
shashib · x · 2026-09-04
Huawei's H1 2026 results: revenue rose 9.6% to 467.82B yuan while R&D spending jumped 25.2% to 121.38B yuan — 25.9% of sales, up from 21.8% for full-year 2025. The cost: net profit fell 37% to 23.43B yuan ($3.48B), operating costs rose 12.4% (faster than revenue) on pricier memory and components, and operating cash flow turned negative. R&D spending exceeded 5x profit for the half. The author frames 20-25% of revenue as the R&D load this AI cycle demands.
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