But a year later, ZTE is stepping out of the shadow. On December 14, at the China economic annual meeting hosted by China International Economic Exchange Center, Liu Jian, senior vice president of ZTE, talked about the current development of ZTE. He acknowledged that ZTE has experienced some twists and turns in the past two years, but now it has returned to the level of 2017's revenue, with gross profit rate more than 32% of 2017's.
With the improvement of profit level, Liu Jian said ZTE also increased investment in innovation. This year, ZTE's R & D investment increased from 11% last year to 14.6%.
ZTE also sees this technology as an important opportunity for 5g. Liu Jian said that China's 5g technology level has reached the forefront of the world,Huawei and ZTE are 10-11 months ahead of Ericsson and Nokia in 5g Technology。 In the first phase of construction, China's operators have made 130000 5g base stations. I believe that with the deepening of 5g construction, there will be more applications, so as to promote the whole economic and social development.
According to ZTE's results for the first three quarters at the end of OctoberZTE's cumulative revenue is 64.24 billion yuan, up 9.3% year on year; net profit attributable to common shareholders of listed companies is 4.13 billion yuan, up 156.9% year on year; basic earnings per share is 0.98 yuan.
ZTE said it expects to make a profit of 4.3 billion to 5.3 billion yuan in 2019, compared with a loss of 6.983 billion yuan in the same period of 2018.