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Huawei Posts 11% Revenue Growth

Telecom equipment maker Huawei has reported an 11 percent rise in sales in the first half of 2011 thanks to a booming Smartphone and tablet market.

The company said in a statement that sales for the six months ending on June 30 rose to 98.3 billion yuan or $15 billion while the operating profit was at 12.4 billion yuan. Huawei failed to provide last year’s figures for the sake of comparison.

The figures come as the company continues to diversify beyond its core telecom equipment and services to smartphones and tablets. Chief Executive Officer Ren Zhengfei informed that the company plans to achieve ten percent growth for the entire 2011 financial year.

“Although the global economy continues to face uncertainty, we remain confident of achieving our annual sales target of 199 billion yuan with our device and enterprise businesses as new growth drivers," the company's chief financial officer, Cathy Meng, said in a statement.

Huawei said that its growth is in line to meet its April forecast of reaching a 199 billion yuan or $31 billion sales figure for 2011. Analysts believe that the Chinese telecom equipment will close in on Ericsson few years down the line.

Huawei has been eyeing the ever growing market of Smartphones and Tablet PCs and has revealed that its shipments of these devices rose 40% to 72 million units for the first half.