Huawei Technologies’ (Huawei) consumer business suffered a decline because of the sale of its Honor smartphone unit in November with its first-quarter revenue down by 16.5% year-on-year (YoY). But its network business maintained a steady growth.

Since the United States under former President Donald Trump banned the Chinese technology company on suspicions of network security, Huawei has focused its efforts on strengthening its network business specifically 5G technology. As a result, Huawei’s net profit margin was up 3.8 percentage points YoY at 11.1%. This received a boost from the company’s patent royalty income of $600 million.

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At present, Huawei has 100,000 active patents in more than 40,000 patent families worldwide and is the largest patent-holder in China.

“As always, we remain committed to technological innovation and investing heavily in R&D as we work to address supply continuity challenges caused by restrictions in the market,” said Eric Xu, Huawei’s Rotating chair. “We will continue making breakthroughs in basic science and pushing the frontiers of technology.”