ZTE's total revenue of 75.23 billion yuan,

Through the earnings readings, we can see the following data and information:

1, the revenue dropped 7.1 billion yuan

ZTE 2013 revenue of 75.23 billion yuan, compared to 2012 84.219 billion yuan fell nearly 9 billion yuan. It is mainly from ZTE's 2013 mobile phone business revenue decline: ZTE Terminal Business 2013-year revenue of 21.7 billion yuan, compared with 2012 28.8 billion yuan fell about 7.1 billion yuan.

Two other main industries:

Operators network Business 2013-year revenue of 40.7 billion yuan, compared to 2012 41.6 billion yuan fell about 900 million yuan.

Telecom software systems, services and other products 2013-year revenue of 12.8 billion yuan, compared to 2012 13.7 billion yuan declined about 900 million yuan.

2. Gross profit and net profit rise sharply

ZTE 2013 gross margin of 20.46 billion yuan, compared to 2012 18.57 billion yuan rose 1.89 billion yuan. Group net profit of 1.43 billion yuan, with 2012 loss of 2.6 billion yuan increased by 4.03 billion yuan. The shareholder profit of the parent company was 1.358 billion yuan, which rose by about $4.2 billion over the 2012 loss of 2.84 billion yuan.

Earnings show that ZTE in 2012 has completed the sale of Shenzhen long fly 81% of the stake and Shenzhen zhongxing Special Equipment Co., Ltd. 68% of the equity, and in January 2013 completed the sale of the total holdings of Shenzhen zhongxing power of 81% of the equity, the company no longer included in the 2013 consolidated report. The sale of Wuxi zhongxing optoelectronics 65% Equity, disposal period of October 28, 2013, included in the financial statements this year. In other words, ZTE's 2013-year profit increase is mainly due to improvements in its main business costs rather than the financial gains from selling its subsidiaries.

ZTE also said in its earnings reports that the main reasons for the return to profitability are: 2013, the company strengthened contract profitability management, strict control of the signing of low gross profit margin contracts, international project gross Profit margin improvement, domestic system project operating income accounted for increased; The group strengthens the cost control, enhances the efficiency, the total period expense (sale expense, Management fees and research and development costs were significantly lower than a year earlier.

3. The profit of terminal business decreases obviously

From the three main industries, ZTE Network Business 2013-year gross margin of 148.08 billion yuan, year-on-year increase of 11.04 billion yuan in 2012 obvious. Gross margin was 34.6% in 2013, up 8.1% from 26.5% in 2012.

Telecom software systems, services and other products 2013-year gross margin of 3.2 billion yuan, year-on-year increase of 3 billion yuan in 2012. Gross margin was 24.9% in 2013, up 3% from 21.9% in 2012.

It is noteworthy that ZTE 2013 terminal business margin of 3.18 billion yuan, the 2012 4.53 billion yuan fell significantly. Gross profit margin also from 2012 15.7% down to 2013 14.6%, gross margin is only the operator's business of 42%, also far below the group's overall gross profit margin 27.2% level. Shows that in the domestic mobile phone industry in the fierce competition, ZTE mobile phone business in 2013, the profitability of the decline.

4. Cash Flow

Earnings showed that ZTE's cash flow at the end of 2013 was about $20.12 billion, a decrease from 2012 to 22.66 billion, but the overall adequacy.

5. Regional market

ZTE 2013 domestic revenue of 35.63 billion yuan, accounting for the group's overall revenue of 47.4%, international market revenue of 39.6 billion yuan, accounting for the group's overall revenue of 52.6%.

According to the regional market, China has the highest gross profit margin of 33.3%, up 6.93% from the same period last year, and Asia (excluding China) has the lowest gross profit margin of 24.59%, up 4.06% from the same period last year. The African market has a gross profit margin of 25.78%, down 3.78% from last year. Europe and the United States and Oceania Gross profit margin 26.78%, up 7.46% year-on-year.

6. Controlling shareholder

Earnings showed that, as of December 31, 2013, the controlling shareholder ZTE held a new 30.78% stake in ZTE. The new ZTE is formed by Xi ' an microelectronics (34%), aerospace Guangyu (17%), ZTE (49%) Tripartite shareholders.

7. Executive Change

At the end of 2013, ZTE announced a major adjustment to the original organizational structure, the establishment of terminals, enterprises and departments, and the new appointment of Executive Vice President Zeng Xuzhong and senior Vice president Pang responsible for the independent operation of the terminal and the market. At the same time, senior Vice President Pang is fully responsible for the operation of the Enterprise network business, executive vice President Chao Xianming as CTO.

ZTE reported that January 20, 2014, the company's sixth session of the Board of directors 14th meeting, agreed that the company no longer employ Shiyou as the company's executive vice president, agreed to appoint Zeng Xuzhong, Chao Xianming as the executive vice president, agreed to appoint Xionghui, Zhang Zhenhui for the company's senior vice president.

The

shares are reduced in accordance with the rules governing the shares of the company and its changes under the directors, supervisors and senior management of listed companies. The directors, supervisors and senior management of the company do not hold H shares in the company's issued share capital during the reporting period. No directors have waived remuneration during the year.