Business

ZTE loses $1.1 billion in 1H 2018 due to US ban but expects growth to return in 2019

After battling the US sanctions for the most part of 2018, ZTE finally settled for $1.7 billion in sanctions and paid $1.4 billion back in July. This has resulted in the worst half ever by recording a net loss of $1.1 billion.

But despite the bad first half of 2018, the company is still expected to post a net profit between $3.54 million and $146.40 million throughout Q3 2018. Orders and production have returned to normal and are in line with July and August plans. The projected net loss due to the US ban is right on point – between 7 and 9 billion yuan.

Looking ahead, the company sees great potential in the 5G technology next year and will be right on track with the projected growth. Although, there might be more hidden obstacles along the way with that international trade war going on right now.

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