On the evening of October 21, ZTE Corporation's third-quarter report indicated that from January to September 2024, the company achieved a total revenue of 90.04 billion yuan, marking a year-on-year increase of 0.7%. The net profit stood at 7.91 billion yuan, reflecting a year-on-year growth of 0.8%. In the third quarter of this year, ZTE Corporation recorded a revenue of 27.557 billion yuan, a decrease of 3.94% year-on-year, and a net profit of 2.174 billion yuan, down 8.23% year-on-year. The net operating cash flow amounted to approximately 1.049 billion yuan, representing a year-on-year decline of 63.02%.
ZTE stated that this year, amid a complex external environment, the company actively seized the development pace of the ICT industry, accelerated technology and market innovation-driven initiatives, and enhanced its management effectiveness and operational efficiency. Overall operations remained stable in the first three quarters. The domestic carrier network business was under pressure due to the investment environment, while the international market continued to break through major countries and large telecom companies, achieving double-digit growth. Additionally, the company's consumer and government-enterprise businesses both experienced rapid growth. In the first three quarters of this year, ZTE saw a reduction in external compensation income, generated goodwill from the acquisition of equity in an associate company, and converted some investment properties to owner-occupied status.
It is understood that in the connectivity domain, ZTE continues to maintain a leading position in key products of the wireless and wired markets. According to the latest data from telecom consulting agencies, ZTE ranks second globally in cumulative shipments of 5G base stations and 5G core networks, and its market share in fixed network products also stands second globally.
In the computing power domain, ZTE has identified intelligent computing as a long-term strategic main track, offering full-stack, full-scenario intelligent computing solutions to create an open, inclusive, and prosperous intelligent computing ecosystem. In terms of intelligent computing infrastructure and platform technology, ZTE has launched an "open architecture AI server with multiple chips," compatible with mainstream GPUs, and introduced a 2*200G network card based on its self-developed chips. Moreover, ZTE emphasizes the integrated delivery of infrastructure and engineering services for large model training and applications, advancing intelligent computing infrastructure projects in various regions and industries.
In the terminal domain, ZTE adheres to the principle of "AI for All," actively promoting intelligent transformation and striving to make advanced AI products accessible to people worldwide.
Additionally, in industry empowerment, ZTE leverages the 5G+PON industrial site network and digital nebula, coupled with the nebula large model, to comprehensively support the digital and intelligent construction of various industries, including industry, transportation, emergency response, electricity, culture and tourism, education, and small and micro enterprises. ZTE's large-scale intelligent emergency response system has captured 50% of the market share in national emergency aviation capability enhancement projects, with its large unmanned helicopter rescue platform providing support on the front lines of disaster relief operations. Based on 5G+XR media integration, the company, together with partners, has created the world's first 5G-A VR large-space immersive theater project as part of digital cultural tourism construction.
In terms of research and development, ZTE's R&D expenses in the first three quarters reached 18.64 billion yuan, accounting for 20.7% of its operating revenue. The company actively promotes technological innovations in 5G-A, all-optical networks, and full-stack intelligent computing, accelerating deep integration and application landing across thousands of industries.