ZTE Corporation saw operating revenue grow 4.09 per cent year-on-year to RMB21.859 billion (US$3.375 billion) in the first quarter of 2016.
Net profit attributable to shareholders of the listed company amounted to RMB950 million (US$146.7 million), representing a 15.97 per cent increase from the same period last year; while basic earnings per share amounted to RMB0.23 (US$0.035), the company reports in its Q1 financial results.
The company highlighted its research and development (R&D) activities in Q1, which saw it invest a record 13.96 per cent of revenue into R&D; which it said is in line with ZTE’s strategy to innovate mobile ICT.
In the carrier network market, ZTE said it continued growth in traditional businesses including long-term evolution (LTE) and fiber optic networks, while also focusing on developing cutting-edge technologies and sectors such as Pre5G/5G, Big Video, software-defined networking/network function virtualization (SDN&NFV) and Internet of Things (IoT). The company said it made headway in the SDN/NFV and next generation IoT spaces through strategic collaborations with the mainland’s three biggest operators.
ZTE also won contracts and commenced deployment of smart city 2.0 solutions in Shenyang and Huaian; continued to work on smart rail transport projects in Denmark, Greece and India; and said it is becoming more competitive in the smart energy sector with private power line LTE wireless networks in China and Africa.
In the consumer space, the company said network video communication products and TV set-top boxes are winning an increasing percentage of the global market. Focus also continues to sharpen on the high-end smartphones market, ZTE said.