ZTE said that in 2021, the company will practice quality growth, with a year-on-year recovery and improvement in gross profit margin, and improvement in profitability and profit quality. The performance forecast shows that the company expects to achieve a net profit of 6.5 billion to 7.2 billion yuan attributable to ordinary shareholders of listed companies in 2021, a year-on-year increase of 52.6% to 69.0%. The net profit attributable to ordinary shareholders of listed companies after deducting non-recurring gains and losses Profits ranged from RMB 3.0 billion to RMB 3.5 billion, a year-on-year increase of 189.7% to 238.0%, both hitting record highs; in 2021, basic earnings per share will range from RMB 1.40 to RMB 1.55.
ZTE said that 2021 is the year when ZTE's strategic development period ends. In the face of the complex external environment, the company has solidified its base and expanded its new products, operated steadily, and continuously optimized its market structure. The annual operating income achieved double-digit year-on-year growth. Both business operating incomes achieved year-on-year growth.
During the operating period, ZTE deeply participated in the large-scale construction of 5G in China, continued to optimize overseas products and market structure, and maintained the steady growth of the operator's network business. In the domestic market, ZTE's market share of key products such as 5G, core network, bearer, server, and storage continued to increase. The company is committed to realizing the transformation from a mainstream supplier to a core supplier. On the basis of continuous improvement in technology leadership, product innovation, agile R&D, and efficient delivery, the company has fully launched joint R&D innovation and digital industry expansion with operators to meet the Opportunities and challenges in the digital age.
In overseas markets, ZTE has seized market opportunities such as 4G modernization, 5G construction, the fiber-optic transformation of fixed networks, bearer network upgrades, and home broadband upgrades to further optimize product and market patterns. Helping operators provide diversified digital services for ToC (consumer), ToB (industry), and ToH (home) markets. While the traditional CT business is steadily consolidating, ZTE is continuously increasing its expansion efforts in IT business, digital energy, and terminal fields, and actively creating the second growth curve of the company, so as to surpass itself and surpass the industry cycle in the period of strategic transcendence and achieve Enterprise sustainable development.
In the IT field, ZTE focuses on building the underlying competitiveness of IT products such as servers and storage, operating systems, and databases, and quickly becoming tens of billions of products. In-depth expansion of the industry application market; and comprehensive ICT technology software and hardware advantages to expand into the field of automotive electronics, the establishment of an automotive electronics product line, to help the development of intelligent, networked, and electrified in the automotive field. In the field of digital energy, at the beginning of 2022, ZTE established a digital energy operation department to officially enter the new energy market.
In the terminal field, focus on improving the user experience of mobile phone products, increasing brand channel construction, and establishing a new smart home product line, leveraging the advantages of home broadband network products, and vigorously expanding consumer-oriented home smart products. ZTE said that 2022 is the opening year of ZTE's strategic transcendence period. The company will further strengthen its strategic positioning as a "digital economy road builder", promote underlying technological innovation, continue to consolidate the foundation, and continue to strengthen the foundation through continuous innovation investment and digitalization. The revolution continues to open up the imagination space and application scenarios of the digital economy and contributes to the digital industrialization and industrial digitalization upgrade.
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