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Chinese surveillance camera supplier Hikvision posts slowest profit growth in a decade

  • Hikvision is a supplier to hundreds of government-led surveillance projects in major cities including Shanghai, Hangzhou and Urumqi

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A sales woman introduces human identification technology from state-owned surveillance equipment manufacturer Hikvision on a monitor at Security China 2018 in Beijing, China, Tuesday, October 23, 2018. One of China's largest distribution and procurement event for security equipment and services, Security China 2018 attracts hundreds of exhibitors from China and abroad showcasing the latest advancement in surveillance and security technologies. (AP Photo/Ng Han Guan)
Celia Chenin Shenzhen

Hangzhou Hikvision Digital Technology, a key camera supplier for China’s surveillance system, reported the slowest annual pace of profit growth in more than a decade amid growing headwinds in overseas markets.

Net income in 2018 rose 20.5 per cent to 11.3 billion yuan (US$1.76 billion), the Hangzhou-based company said in a filing to the Shenzhen Stock Exchange on Thursday. Revenue climbed 23 per cent to 51.2 billion yuan.

The company said it maintained a high level of investment into research development while continuing to develop domestic and overseas markets. Its shares have risen 28 per cent this year, outpacing the 10 per cent gain in the Shenzhen Composite Index.

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Hikvision has grown into the world’s biggest supplier of surveillance cameras amid booming demand from governments seeking to increase coverage of public areas in the face of rising terrorism threats and to deter crime.

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Founded in 2001, Hikvision has morphed from a former Chinese government research institute into a US$39 billion business specialising in professional video surveillance cameras. It is now a supplier to hundreds of government-led surveillance projects in major cities including Shanghai, Hangzhou and Urumqi, where its cameras can take clear shots of vehicles and passengers even in poor visibility conditions.

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